Wages in Cyprus rose again in 2025. According to preliminary data from the Cyprus Statistical Service (Cystat), the average monthly income was 2,605 euros. At first glance, this figure seems positive – but a closer look at the distribution reveals a more differentiated picture.

While the average can be distorted upwards by individual very high salaries, the median provides a more realistic picture of the income situation. In 2025, this was only 1,968 euros. This means that half of all employees earn less than this amount.

This difference makes it clear that a large proportion of employees are well below the officially communicated average – a classic sign of unequal income distribution.

In the fourth quarter of 2025, average gross monthly wages reached 2,932 euros. Compared to the same period in 2024, this corresponds to an increase of 4.4 percent. Seasonally adjusted, this represents an increase of 1.1 percent compared to the third quarter.

For the year as a whole, wage growth is 4.9 percent, after an increase of 5.1 percent was already recorded in 2024. The development thus remains stable, but without extraordinary dynamics.

Differences
between men and women remain

2025, there will continue to be a clear gender pay gap. Men earn an average of 3,102 euros, while women earn an average of 2,718 euros.

Although women's incomes have risen slightly more strongly than men's (4.2 percent) year-on-year at 4.5 percent, this effect is mainly due to the fact that women start from a lower starting level. It is therefore not yet possible to speak of an actual approximation – rather, it is a slow approximation.

income differences between Cypriot and non-Cypriot workers are particularly striking.

This clearly shows that a large proportion of the non-Cypriot workforce is in the lower income segment.

At the same time, however, there is also a second strikingness: In the highest income bracket above 6,000 euros, non-Cypriots are even more strongly represented (7.8 percent) than Cypriots (5.2 percent). This indicates increasing polarization – many earn very little, but some earn above average.

The reported incomes include not only basic salaries, but also additional benefits such as:

Thus, the figures reflect the actual total income relatively comprehensively.

The increase in average wages shows that the labour market in Cyprus is developing stably. At the same time, a look at the median and the distribution reveals a clear reality: many employees benefit only to a limited extent from growth.

In particular, foreign workers and a large proportion of the lower income groups are lagging behind the general trend. The official averages therefore paint a much more optimistic picture than is actually true for the majority.







Author: Guest Post
Source: Cyprus-Mail / Cystat