another increase! How much and when?

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SMIC 2022. For the second time this year, the minimum growth wage will increase after an initial increase of 0.9% observed last January. How much will you earn? When ? We tell you everything.

[Mis à jour le 8 avril 2022 à 07h18] This is the good news of spring. All employees paid the Smic will be increased for the second time in 2022. Indeed, the Ministry of Labor has announced a new increase in the amount of the minimum growth wage (Smic) from 2.4% to 2.6% as of May 1 next. As a reminder, the minimum wage had already undergone a first increase on January 1, 2022 (+0.9%). With this new increase, the executive is trying to counter the harmful effects of inflation on the purchasing power of the poorest households. How much will you earn? What is the amount of the new minimum wage from May 2022? Here it is :

  • Gross minimum wage: 1,603 euros / 1 641 euros on May 1, 2022
  • Net minimum wage: 1,269 euros / 1 299 euros on May 1, 2022

In 2020, the Smic experienced a fairly unprecedented revaluation of 2.2% to compensate for the price increase of more than 2% between November 2020 and August 2021. It was the first time since 2011 that an automatic increase took place outside January 1. As a reminder, if an employer were to pay one of his employees below the legal amount of the minimum wage, the latter is liable to a fine of 1 500 euros. He may also be ordered to pay damages to the employee. In 2022, the second boost of the year is intended for a category of the French population that is all the more subject to successive increases in the price of a barrel of oil and therefore of fuel, gas or even foodstuffs. The food check could also make its big comeback in 2022.

After experiencing a 0.9% increase at the start of 2022, the minimum wage is now raised to 1 603,12 euros gross per month, compared to 1,589.47 euros gross monthly last year. In 2020, the Smic experienced a fairly unprecedented revaluation of 2.2% to compensate for the price increase of more than 2% between November 2020 and August 2021. It was the first time since 2011 that an automatic increase took place outside January 1. As a reminder, if an employer were to pay one of his employees below the legal amount of the minimum wage, the latter is liable to a fine of 1 500 euros. He may also be ordered to pay damages to the employee.

The Smic will experience a second revaluation in 2022, from May 1st. Indeed, to take into account the rise in inflation (+4.5% in March over one year), the minimum growth wage will be raised from 2.4% to 2.6%, i.e. a net increase of 30 at 35 euros per month. In other words, the net minimum wage will drop from 1,269 euros to 1,299 euros net on May 1, 2022.

Each year, the amount of the minimum wage is reassessed. Il reaches 1,603 euros gross per month on the basis of 35 hours per week. This increase is the result of both the evolution of inflation and the increase in the wages of workers and employees. As an indication, here is the evolution of the amount of the minimum wage since 2010:

Evolution of the minimum wage since 2010
Year Amount of the hourly minimum wage (gross) Amount of the monthly minimum wage (gross)
January 2010 8,86 euros 1 343,77 euros
January 2011 9 euros 1 365 euros
December 2011 9,19 euros 1 393,82 euros
January 2012 9,22 euros 1 398,37 euros
July 2012 9,40 euros 1 425,67 euros
January 2013 9,43 euros 1 430,22 euros
January 2014 9,53 euros 1 445,38 euros
January 2015 9,61 euros 1 457,52 euros
January 2016 9,67 euros 1 466,62 euros
January 2017 9,76 euros 1 480,27 euros
January 2018 9,88 euros 1 498,47 euros
January 2019 10,03 euros 1 521,22 euros
January 2020 10,15 euros 1 539,42 euros
January 2021 10,25 euros 1 554, 58 euros
January 2022 10,57 euros 1 603 euros

The amount of the monthly net minimum wage reached 1,269 euros, against 1,231 euros previously. As a reminder, here is the evolution of the amount of the net minimum wage, in recent years, amounted to:

Amount of net minimum wage
Year Amount of the net monthly minimum wage
January 2016 1 143 euros
January 2017 1 149,07 euros
January 2018 1 174,93 euros
January 2019 1 204 euros
January 2020 1 219 euros
January 2021 1 231 euros
January 2022 1 269,45 euros

“The amount of the net minimum wage received by the employee depends on the company concerned and on certain contributions linked to the sector of activity”, recalls public service on its dedicated page.

The amount of the hourly Smic (gross) amounts to 10.57, against 10.25 euros previously. As a reminder, the amount of the hourly minimum wage, in recent years, was:

Amount of the hourly minimum wage (gross)
Year Amount of the hourly minimum wage (gross)
January 2016 9,67 euros
January 2017 9,76 euros
January 2018 9,88 euros
January 2019 10,03 euros
January 2020 10,15 euros
January 2021 10,25 euros
January 2022 10,57 euros

The amount of the hourly Smic is extremely variable. Keep in mind that the amount may vary from one payslip to another, due to the amount of social security contributions deducted from the gross hourly minimum wage. In January 2022, the amount of the Net hourly minimum wage was approximately 8,37 euros. For example, it was weaker between January and September 2021, measured at 8.11 euros.

The minimum growth wage corresponds to the legal minimum hourly wage that the employee must receive. Deductions are however applicable, in certain cases (apprentices and employees under 18). the hourly rate is of 10,57 euros since January 2022, this is the amount paid for one hour of work. Unlike the monthly Smic, which is modeled on the basis of 35 hours per week.

The amount of the annual Smic is obtained by multiplying the amount of the monthly Smic (above) by the number of months of the year, i.e. 12. Please note, if you benefit from a 13th month paid to your employer, this is not part of the calculation of the annual minimum wage. Referring to the new amount of the Smic 2022, the net annual Smic amounts to 15 233,40 euros (1269.45×12). For its part, the gross annual minimum wage climbs to 19 236 euros (1603 x 12).

The Smic in France is 10.57 euros gross per hour for a working time of 35 hours. Not all member states of the European Union have one, but for those that have it, the differences are quite significant. According to Eurostat data, the lowest Smic in Europe is the Smic in Bulgaria (332 euros per month). The highest minimum wage in Europe is in Luxembourg (2,257 euros).

For some member countries such as Austria, Cyprus, Denmark, Finland, Italy and Sweden, a minimum wage per branch applies. The minimum wage can also, for these countries, be determined by negotiations between the social partners.

The case of Switzerland is a bit special because only 5 cantons have a minimum wage. Geneva, Neuchâtel, Jura, Ticino and Basel-City. It is not the same between the different cantons.

  • Geneva : 3 870 euros
  • Neuchâtel : 3 370 euros
  • Jura : 3 370 euros
  • Tessin : 2 960 euros

Beyond that of the cantons, there is no minimum wage in Switzerland at the country level for several reasons. The first is that Switzerland is a federal state, and each canton remains sovereign. Keep in mind that the Swiss Smic remains, on average, 60% higher than the Smic in France.

Since January 1, 2018, in Germany, a legal minimum amount of wages exists. A minimum wage redefined every two years, henceforth, and reached 9,82 euros of the hour since January 1, 2022. A next revaluation should take place on July 1, 2022 and should bring the german minimum wage to the height of 10,45 euros gross of the hour.

In France, the Smic was revalued on January 1, 2022 to take into account price changes between August and November 2021. Employees were entitled to a minimal increase of 0,9% at the start of the year. The monthly net minimum wage therefore fell from 1,231 euros in 2021 to €1,269.45 in 2022. The monthly gross minimum wage increased from 1,554.58 euros to 1,603 euros on January 1, 2022.

The Smic is revalued each year on the 1is january. It is indexed to inflation measured for the 20% of households with the lowest incomes. The revaluation of the Smic is carried out on the basis of half of the gain in purchasing power of the average hourly wage of workers and employees.

Employees who carry out a professional activity in the hotel and catering sector have a different minimum wage from the legal Smic, called minimum wage. At first glance, the hotel minimum wage seems more advantageous than the legal minimum wage, but it is worth taking a closer look. Indeed, the hotel minimum wage is calculated on 39 hours per week, and not over 35 hours. Another significant difference, when an employee is paid the hotel minimum wage, he automatically benefits from a 10% increase in overtime performed between the 36th and 39th hour. This is why the net monthly hotel minimum wage amounts to 1 430 euros. Beyond the remuneration of the classic minimum wage (1,269.45 euros) due to the increase in overtime. The gross monthly hotel minimum wage amounts to 1 804,65 euros.

The applicable collective agreement generally provides for a conventional minimum wage. If the agreed minimum is lower than the Smic, the employer pays a salary supplement to reach the amount of the Smic. If the conventional minimum is higher than the Smic, the employer pays what is provided for by the collective agreement.

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