In January-September of this year, the average monthly nominal wages of employees in the country's economy amounted to 827.4 manat.
Yeniavaz.com reports with reference to published official data, the average monthly nominal wage decreased by 1 manat 60 kopecks compared to the previous period (January-August). Thus, in January-August of this year, the average monthly nominal wages of employees in the country's economy amounted to 829 manat.
For information, the average monthly nominal wage in Azerbaijan traditionally begins to increase from the beginning of the year and decreases from the second half of the year. This can be seen from the table that we prepared based on the data of the State Statistics Committee.
|2020 year||2021 year||2022 year|
|Amount (manat)||Growth rate (%)||Amount (manat)||Growth rate (%)||Amount (manat)||Growth rate (%)|
As in previous years, this year there is also a decrease in the average monthly nominal wage. Over the past 2 months (August, September) there has been a decrease in wages.
It should also be noted that, in accordance with the requirements of the Law on Labor Pensions, the size of labor pensions in Azerbaijan is reviewed from the beginning of each year. Starting from 2018, labor pensions are indexed in accordance with the growth rate of the average monthly nominal wage announced by the State Statistics Committee.
As you know, during 2006-2017, the indexation (increase and decrease) of the insurance part of the labor pension was calculated based on the inflation rate. High inflation was recorded in the country in 2016-2017. Inflation rose to 12.4% in 2016 and 12.9% in 2017. It should be noted that in previous years - in 2014, inflation was 1.4%, and in 2015 - 4%.
Starting from 2018, labor pensions are indexed in accordance with the growth rate of the average monthly nominal wage announced by the State Statistics Committee. In 2017, the average monthly nominal wage of employees in the country's economy increased by 5.7% compared to 2016, so at the beginning of 2018, labor pensions were also increased by 5.7%. Apparently, when inflation was low, pensions were adjusted for inflation. After rising inflation, pensions began to be calculated on the basis of wages.
It should be noted that pensions increase according to the growth rate of wages at the end of the year (January-December).
From the experience of past years, we can conclude that there will be no significant changes in the average monthly nominal wage until the end of the year.