Achieving an adequate minimum wage in Czechia with a little help from the EU directive

Abstract

ABSTRACT This study examines how acting on different minimum wage criteria could promote an adequate minimum wage in Czechia and in turn realize the objectives of a new EU directive: decent working and living conditions, social cohesion, and upward convergence. The study discusses the link between the directive’s criteria, its objectives and minimum wages. It quantifies the criteria and examines their role in Czechia. The results suggest using combination of distribution-based indicators such as Kaitz indices and basket-based criteria (living-wage approach) in assessing decent working conditions. The findings highlight the potential impact of the directive and the importance of considering different criteria to promote fair wages.