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Minimum wage in Andorra

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The legislation on the minimum wage, whose origins go back to the Australia and New Zealand of the 19th century, typifies a minimum wage amount that must be paid to a worker within a certain jurisdiction through a specific law for it, either monthly, daily or per hour. This law obliges the employer to pay at least this amount to all its registered workers.

As each country or region usually establishes its own legal regulations governing the minimum wage and the way to control compliance, in this article we are going to write the one corresponding to Andorra.

Minimum wage legislation in Andorra

In Andorra, what is related to the relations between employer and employee is written in Law 31/2018 on labor relations. This law indicates that "The fixed salary cannot be less than the base salary established by the collective agreement for each professional group, and in the absence of a collective agreement or if this issue is not regulated, the minimum interprofessional salary."

This minimum interprofessional salary is regulated in article 73 of this same legislation, according to which "it is the remuneration that the company must compulsorily pay the salaried person in all cases, even in contracts in which a salary per unit has been agreed of work or a mixed salary ».

On the other hand, it is established that "the Government will set periodically, at least once a year, the minimum interprofessional wage." This is done through Decrees published in the BOPA (Official Gazette of the Principality of Andorra) published approximately mid-November of the previous year.

In this way, any salaried person over 15 years of age must be remunerated with the salary established by said decrees. In addition, minors who are 15 years old cannot carry out any work activity during the school period and can only work during school vacation periods up to a maximum of two months per calendar year, provided that they enjoy at least one month of vacation school in summer and half of the school holidays during the rest of the year.

Minimum salary for 2020

For example, the minimum wage for 2020 was set at the Decree of 6-11-2019 published in the BOPA and explained in a informative circular. Thus, for that year, a 3.2% had increased, resulting in an amount that is deducted through the following table:

Hourly wage6,25 €
Salary per day50 €
Monthly salary1083,33 €
Maximum hours per day8
Maximum hours per week40
Holidays30
Minimum wage table, 2020

Minimum salary for 2021

The data applicable to 2021, collected in the Decree of 10-21-2020 published in the BOPA and explained in their respective informative circular. According to these documents for said year, the minimum interprofessional hourly wage is increased by 3.5% with effect from January 1, 2021, resulting in the following amounts and maximum hours:

Hourly wage6,47 €
Salary per day51,76 €
Monthly salary1121,47 €
Maximum hours per day8
Maximum hours per week40
Holidays30
Minimum wage table, 2021

This salary therefore agrees approximately with what we concluded was the minimum necessary to live in Andorra according to the cost of living of the own country. We hope the article has been of interest to you, thank you very much for your attention.

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Minimum wage in Andorra

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Andorra Insiders is a professional legal, tax and accounting services platform, specialized in creating companies and establishing people in the Principality. 

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