The government approves the compensation of contributions for businesses affected by the minimum wage increase
The Council of Ministers today approved the decision to determine the rules, criteria and amount of compensation for social and health insurance contributions for employers, as a result of the increase in the minimum wage.
According to the decision, businesses affected by the minimum wage increase will benefit from monthly financial compensation for employer social and health insurance contributions for the contribution period January-September 2026.
The compensation will be calculated based on the number of employees with a gross salary of 40 thousand to 49,999 lek, declared in the payrolls filed with the tax authorities for the month of September 2025.
The decision provides that financial compensation will be provided every month by the Regional Directorates of the National Employment and Skills Agency (AKPA), in the place where the entity carries out the main part of its activity.
Entities seeking to benefit from this scheme must meet several criteria, including not being state-owned or public entities and not having obligations for social security and health contributions to tax authorities at the time of application.
The application for compensation will be made electronically through the "e-Albania" portal, from April 1 to October 31, 2026.
According to the decision, the compensation measure will be 16.7% of the employer's contributions, calculated on the difference in salary for employees who in September 2025 were paid from 40 thousand to 49,999 lek and who, with the increase in the minimum wage, will be paid 50 thousand lek.
The financial effect for the period January-September 2026 will be covered by the state budget, in the "Labor Market" program of the Ministry of Economy and Innovation.
The decision charges the Ministry of Economy and Innovation, the National Employment and Skills Agency, and the General Directorate of Taxes with its implementation and enters into force upon publication in the Official Gazette.
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