Unified Metrics Library - Entry level wage to minimum wage ratio

Helper question

If a significant proportion of employees were compensated based on wages subject to minimum wage rules, what was the relevant ratio of the entry level wage to the minimum wage, during the period?


Entry level wages paid compared to local minimum wages show the competitiveness of an organization's wages and provide information relevant for assessing the effect of wages on the local labor market.




The lowest wage shall be calculated for the lowest pay category, excluding interns and apprentices. This is to be based on the basic wage plus any fixed additional payments that are guaranteed to all own workers.

Regulatory Definition

Minimum wage means the minimum remuneration set by law or collective agreements that an employer, including in the public sector, is required to pay to workers for the work performed during a given period.


Ratio = Entry-level wage / Minimum wage



Assuming an organisation has an entry-level wage of 15 eur per hour, and the minimum wage set by the national legislation is 10 eur per hour. Hence, the ratio would be 1.5, meaning that the entry-level wage is 1.5 times higher.