At Augé Experts-Comptables, we are pleased to inform you that the Minimum Interprofessional Wage (SMI) for 2025 has been set at 1,447.33 euros per month, which represents an increase of 5.2% compared to the previous year. This increase is double the final Consumer Price Index (CPI) for 2024, set at +2.6%.
This adjustment means that workers receiving the SMI will see an annual increase of 852.72 euros compared to 2024, significantly contributing to the improvement of their purchasing power.
The CPI, which marks the evolution of the prices of consumer goods and services, remains a key indicator for determining wage adjustment policies and other economic parameters, such as rental income.
We continue to work to ensure a fairer and more sustainable economy for all
The minimum wage is much more than an economic figure; it is a reflection of a country’s commitment to its citizens and to social justice. This measure, which establishes the minimum wage that a worker can receive, has fundamental implications that go far beyond the workplace. The minimum wage guarantees workers, especially the most vulnerable, a basic income to cover essential needs such as food, housing and health. It also acts as a barrier against labour exploitation, by establishing a level of justice in the economic conditions of those employed. When the minimum wage is set according to the cost of living and adjusted periodically, it becomes an effective tool to reduce poverty and income inequality. In addition, it contributes to improving the quality of life of large segments of the population.
Evolution of the minimum wage
Since 2019, the minimum wage has increased by 38%, while the Consumer Price Index (CPI) has increased by 20%, demonstrating a desire to outpace inflation in wage increases. For 2025, the Government has decreed that the interprofessional minimum wage will increase by 5.20% compared to the previous year. These measures aim to ensure that the minimum wage maintains its purchasing power and aligns with European standards of worker welfare.
- 2020: 1.083,33 euros per month
- 2021: 1.087,50 euros per month
- 2022: 1.201,00 euros per month.
- 2023: 1.285,00 euros per month.
- 2024: 1.376,27 euros per month.
- 2025: 1.447,33 euros per month.
Conclusion
The annual increases in the minimum wage in Andorra demonstrate the country’s commitment to social justice and improving workers’ purchasing power. Periodically adjusting this remuneration to bring it closer to 60% of the average wage, as recommended by the European Social Charter, not only helps reduce poverty and inequality, but also stimulates economic growth and strengthens collective well-being.
