The Minister of Labour, Family, Social Affairs and Equal Opportunities has determined and adjusted the minimum wage for full-time work in Slovenia for 2026, pursuant to Articles 3, 4, 5, and 6 of the Minimum Wage Act.1
WHY THIS MATTERS
The higher minimum wage may affect overall labor costs, cost-of-living considerations for posted workers, and may necessitate adjustments to global compensation policies for cross-border assignees in Slovenia. This increase in the statutory minimum wage has direct implications for HR leaders, payroll managers, and globally mobile employees working in Slovenia.
Key Highlights
- The 2025 minimum wage was EUR 1,277.72 (gross per month).
- In accordance with Articles 5 and 6 of the Minimum Wage Act, the minimum wage is aligned annually using the statutory adjustment mechanism.
- For 2026, the minimum wage in Slovenia is EUR 1,481.88 (gross per month), representing a 15.97 percent increase compared with 2025. This is one of the higher increases in the minimum wage in recent years and could affect both employees with the lowest incomes and employers.
- With the new minimum wage level, the minimum annual leave allowance (holiday bonus) will automatically increase as well, as under the Slovene Employment Relationships Act it must be at least equal to the minimum wage applicable in the current year. The minimum winter allowance is also expected to increase, as it should amount to at least half of the minimum wage in the current year.
The minimum wage is determined by the Minister responsible for labor, after prior consultation with the social partners, and is published in the Official Gazette of the Republic of Slovenia no later than 31 January of the current year. From 2021, the minimum wage has been determined using a formula linked to minimum living costs, maintaining a fairer balance between the incomes of economically active and inactive people, especially benefiting low-income workers. The minimum wage is set within 120–140 percent of minimum living costs, taking into account inflation, wage trends, economic conditions, and employment, after consultation with social partners and within three months of any change in minimum living costs. The minimum wage is adjusted every January at least in line with annual consumer price growth, based on official data, and determined after consultation with social partners while also considering broader economic indicators.
KPMG INSIGHTS
In light of the increased minimum wage, organizations and entities may consider the following:
- Organizations could review payroll systems for compliance, communicate the changes to affected employees, and assess any downstream effects on compensation structures and posted worker arrangements.
- Organizations could revisit compensation packages for employees on assignment to Slovenia to help align them with local statutory requirements.
- HR leaders and payroll managers could help facilitate compliance with the new statutory minimum, which may have implications for labor costs and budget forecasts.
- Globally mobile employees could review compensation benchmarking and assignment package structuring.
If assignees and/or their program managers have any questions or concerns about the scope of the update, its application and potential impacts, and appropriate next steps, they should consult with their qualified professional or a member of the GMS team with KPMG in Slovenia (see the Contacts section).
ENDNOTE:
1 Government of the Republic of Slovenia, Uradni list Republike Slovenije (in Slovenian), “175. Znesek minimalne plače za leto 2026, stran 391,” published on 30 January 2026.
Contacts
Disclaimer
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The information contained in this newsletter was submitted by the KPMG International member firm in Slovenia.
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