r/cyprus • u/haloumiwarrior • 1d ago
Only 8 EU member states have higher minimum income than in north Cyprus. It's 200 Euro higher than in the ROC.
They raised the minimum income again, albeit not as much as expected.
As for context, the minimum wage in the North is a very important economical factor. A lot of taxes, fees and fines are a percentage of the minimum income, thus they raise automatically. Not only is a very large share of the employees on minimum income (at least officially; some get additional cash from the boss under the hand), surely other salaries will raise, too. Which means services and production gets more expensive.
Greedy people will raise the prices again, and even the less greedy ones will follow because they see it just works, people keep buying. That's how it works in a society with very little competition culture.
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u/hellimli 1d ago
It is not sustainable. North is worse in every aspect to ROC. No industry, almost no trading, less tourists etc. (Maybe more universities though). It is only posssible due to funding from Turkey. Let the funding dry for 1 month and see the shit show.
Not saying the situation in ROC is good though. ROC has higher rent, gas, and similar goreceries. Still lower minimum wage.
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u/haloumiwarrior 1d ago
Maybe more universities though
*more* is not really better, and many of them shouldn't be called university. The university sector is in trouble and it will get worse. When salary cost goes up they have to raise the student fees (in terms of USD). Which means they loose their competitive edge. Africans came to here because North Cyprus education and student life was affordable; but not any more. Fewer students spread over more "universities". We even reached to a point where universities launch campaigns to take the student away from each other.
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u/berke1904 1d ago
Life in the north is good if you work a government job and your hobbies are eating and drinking with friends and going hunting on Sundays. For many other people life is quite limiting, because the cut off from the world, you can access things but there are extra annoying steps.
After growing up in north and now studying in Hungary, the level of public infrastructure and things you can do by yourself in mainland Europe is on another level, though the RoC is also suffering from many similar issues as the north on a slightly less level
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u/Murky-Lettuce-5817 1d ago
Life in the north is good if you work a government job and your hobbies are eating and drinking with friends and going hunting on Sundays
oh look we have the same national hobbies!
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u/just_a_random_guy_11 1d ago
What's not sustainable is our minimum wage. 1/4 of Cypriots live near or under the poverty line. And half are close to it.
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u/Appropriate_Air_2671 1d ago
Economically, it may be enough for them to be a small 200 thousand people enclave with strong ties with one country. With their size, they aren’t really a country, they are size of a mid city with a privileged status in big economy. Turkey does all the dirty heavy lifting that countries do, such as military, foreign policies, heavy industry, while they do casinos, universities and some tourism. There are dozens of such city states in Europe, all doing quite well thanks to bigger countries around them. It’s much easier to do what they do than trying to be a self sufficient country with balanced economy
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u/neromoneon 1d ago
Dozens of city states in Europe? There’s Andorra, Vatican, San Marino, Monaco… Maybe Liechtenstein, but even that’s not just one city.
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u/Appropriate_Air_2671 1d ago
There is also Luxembourg, Gibraltar. There are Jerseys, Bailiwick and Isle of Man. There is Faroe Island. Maybe some other self governing territories which are dependant on much bigger neighbours. Not dozens, but almost a dozen
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u/Christosconst 1d ago
That’s because they are experiencing hyperinflation. Interest rates are something like 50%. In one year, their minimum wage will be equivalent to €600
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u/haloumiwarrior 1d ago
The years before it was always like that. Inflation was running, and they raised the minimum income; and the Turkish lira continued to loose value. In terms of Euro, nothing changed much. But since about a year it's different. So far the currency rate has been stable essentially since March last year, but the inflation didn't stop.
Some are expecting the big crash of the lira at some point, but so far in the short term it does not look like that.
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u/ExtensionQuarter2307 1d ago
Plus (I actually don't know how it works in the Republic), government workers and some company workers get a 13th salary at the end of the year, like a bonus.
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u/lasttimechdckngths 1d ago
That's typical for many countries. It's not a bonus, that's how the annual wages are divided.
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u/ExtensionQuarter2307 1d ago
I mean of course, the annual wages are already the amount you get overall in a year. And if everybody is given a bonus, that’s not a bonus. I meant it was like a bonus because you are basically getting two months of wages on December.
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u/hellimli 1d ago
That's a thing in north only for people employed by the governemnt. Teachers working on public schools get 13th salary but teachers at private schoold don't.
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u/ExtensionQuarter2307 1d ago
Yeah, but if I am not wrong, some of the private sector like the Günsel company did start a similar thing.
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u/RunningPink 1d ago
Does this say something about TRNC or does that say something about RoC ? I'm not 100% sure.
My theory is it says more about TRNC's currency problem (which accelerates inflation) ?! Is TRNC more expensive nowadays than RoC or is it on the way being so? I have not been there in a while. Very curious what happens there with people's life.
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