- Date:
- 07 Oct 2021
- By:
- Dorothée David
According to the definitive results published by STATEC in its press release issued on 6 October 2021, the annual inflation rate for the national consumer price index (“indice des prix à la consommation national” or IPCN) was 2.7% for September 2021, thus triggering a new indexation.
As a result, the new sliding wage scale index for salaries went from 834.76 points to 855.62 points on 1 October 2021, resulting in a 2.5% rise in wages, salaries and pensions on this date.
So, as of 1 October 2021, the new minimum monthly social wage (SSM) has been recalculated as follows[1] (index 855.62):
- 2,256.95.- EUR gross for an non-qualified employee (over 18),
- 1805.56.-EUR for those aged 17 to 18,
- 1,692.72.-EUR for those aged 15 to 17,
- 2,708.35.- EUR gross for a qualified employee.
In addition, the salary index as of 1 October 2021 affects the different thresholds and limits stipulated by law, summarised in the table below:
|
As of 1 October 2021 (gross totals, index 855.62): |
|
|
Monthly SSM (art. L. 222-9 and L. 223-1 of the Labour Code)
|
2,256.95.- EUR (non-qualified employee) 2,708.35.- EUR (qualified employee) |
|
(art. 115 para. 1 point 9 of the L.I.R.)
|
Automatically exempt from tax up to:
26,423.16.- EUR (unchanged)
(12 x the SSM applicable on 1 January in the taxation year)
|
|
Starting minimum monthly wage required to apply a trial period of 7 to 12 months (art. L.121-5 (2) of the Labour Code)
|
4,586.12.- EUR |
|
Minimum gross annual salary required at the end of the contract to apply a non-competition clause after the end of the contract (art. L. 125-8 (3) of the Labour Code)
|
over 58,328.21.- EUR |
[1] The above amounts are provided for information purposes and are subject to official confirmation.
