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Parliamentary Committee Approves Bill on Wage Indexation at Second Reading
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Published

06/15/2026, 17:17

Parliamentary Committee Approves Bill on Wage Indexation at Second Reading

The Parliamentary Committee on Labour, Health, Women’s Affairs and Social Issues has approved a bill on wage indexation at its second reading. The amendments are aimed at maintaining the real purchasing power of workers’ incomes amid rising prices.

On 15 June, the relevant parliamentary committee supported the bill amending the Labour Code of the Kyrgyz Republic in its second reading.

The document provides for the establishment of a wage indexation mechanism at the legislative level. The authors of the initiative propose to amend Article 91 of the Labour Code with a provision that will allow for inflation and rising consumer prices to be taken into account when determining workers’ pay.

According to the initiators, the new provision will establish a uniform legal framework for wage indexation across organisations of all forms of ownership and strengthen social safeguards for citizens.

During the discussion, MPs raised issues regarding employers’ liability for non-compliance with legal requirements, the protection of employees in the event of company bankruptcy, and the need to improve mechanisms for monitoring indexation in the private sector.

Currently, the Labour Code does not contain a direct provision obliging employers to index wages. The bill aims to enshrine such a mechanism in law and provide additional protection for employees’ incomes against inflation.


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