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Work incentive indicators (in %), Slovenia, annually

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Statistical Office of the Republic of Slovenia, T: +386 1 241 64 04, E: gp.surs@gov.si
5/21/2024
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Statistical Office of the Republic of Slovenia
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Notes


Average worker is defined as an employee receiving average earnings for working in
industry and services (sections of activities B to N of NACE Rev. 2).
The “tax wedge” indicator shows the tax burden on labour costs or the
share of labour costs which are taxed away because of social
contributions and taxes. The “unemployment trap” indicator shows the
difference in a person’s net earnings at moving from unemployment to
employment due to higher taxes and social contributions and lower social
transfers in employment compared to earnings and higher social transfers
during unemployment. The “low wage trap” indicator shows the difference
in net earnings of employed persons at moving to a higher paid job (from
33% to 67% of average worker’s gross earnings) due to higher taxes and
social contributions and lower social transfers than at the previous
lower paid job with lower taxes and social contributions and higher
social transfers.
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