Estimated cost of a basic but dignified life in Georgia by household type, region, and year. Based on Geostat expenditure surveys and ILO living wage methodology.
The living wage is the minimum income required for a worker to meet basic needs — food, housing, healthcare, clothing, education, and modest social participation — without relying on social assistance. It differs from the subsistence minimum (a survival floor) and the statutory minimum wage (a legal floor, currently GEL 20/month).
GILS estimates the 2023 Tbilisi living wage at GEL 900/month for a single adult, based on the ILO Global Living Wage Coalition methodology applied to Geostat Household Budget Survey data. The national average living wage (weighted by urban/rural distribution) is approximately GEL 780/month.
| Component | Monthly GEL | % of Total |
|---|---|---|
| Food and non-alcoholic beverages | GEL 280 | 31% |
| Housing (rent/utilities) | GEL 300 | 33% |
| Transport | GEL 80 | 9% |
| Healthcare (incl. basic insurance) | GEL 70 | 8% |
| Clothing and footwear | GEL 50 | 6% |
| Education and communication | GEL 60 | 7% |
| Social participation (modest) | GEL 60 | 6% |
| TOTAL | GEL 900 | 100% |
The living wage represents the cost of a dignified but modest life — not luxury, not poverty. Georgia's estimated living wage of GEL 900/month in Tbilisi stands in stark contrast to the statutory minimum wage of GEL 20/month (unchanged since 1999) and even the 2023 average wage of GEL 1,821, which is pulled up by high earners in finance and IT. An estimated 31% of formal workers earn below the living wage threshold.
The largest single component is housing — GEL 300/month for a shared apartment in Tbilisi, representing 33% of the living wage. The 2022-2023 rental price surge (Tbilisi rents increased 35-40% as Russian and Ukrainian nationals relocated) has made the housing component the fastest-growing element of the living wage, creating acute affordability stress for low-wage workers.
The living wage is not an aspiration — it is a minimum standard of human dignity. Georgia's policy gap is stark: a GEL 20 statutory minimum wage when the living wage is GEL 780-900. GILS advocates for the living wage to replace the subsistence minimum as the primary policy benchmark for: minimum wage setting; social assistance adequacy reviews; and public procurement wage standards. An employer who pays below the living wage is transferring the cost of their labour to the state, which must then provide social assistance to make up the difference.
Commission Geostat and MLHSA to jointly produce an official Annual Georgia Living Wage Report, by region and household type, using the Anker methodology. Use as the primary reference for: minimum wage decisions; TSA adequacy assessments; public procurement social clauses. First publication: 2025. Cost: GEL 400K (one-time methodology development); GEL 80K annually.
Anker Research Institute · UK (LPC uses living wage evidence) · New Zealand (official living wage calculation)GILS-administered (with MLHSA endorsement) certification for employers paying at or above the living wage threshold. Benefits: state contract preference scoring (5 bonus points in public tender evaluation); GILS kite-mark; annual published list. Target: 300 certified employers by 2026, covering 45,000 workers. Modelled on UK Living Wage Foundation.
UK Living Wage Foundation (13,000+ employers) · Ireland (Living Wage employer accreditation) · New Zealand Living Wage MovementSet minimum wage trajectory: GEL 500 (2025) → GEL 650 (2026) → GEL 780 (2027, national living wage) → GEL 900 (2029, Tbilisi living wage). Tripartite Low Pay Commission reviews annually. Exemption for micro-employers (<5 employees) with 2-year phase-in. Estimated workers directly benefiting: 180,000.
Germany (7-year min wage to living wage alignment) · UK (National Living Wage trajectory) · Poland (min wage doubling 2020-2023)All public sector employers (national government, municipalities, state-owned enterprises) to pay at or above the living wage from January 2026. Estimated 18,000 public sector workers currently below GEL 780/month. Cost: GEL 95M annually. Signals government commitment and sets norm for private sector.
UK (government as living wage employer) · Scotland (public sector living wage 2012) · Ireland (public sector living wage 2024)Housing is 33% of the Tbilisi living wage. Addressing housing costs reduces the living wage gap faster than wage increases alone. GILS recommendations: (1) social housing programme — 3,000 affordable rental units in Tbilisi by 2027, prioritised for workers earning below living wage; (2) housing allowance top-up for formal workers earning GEL 400-780/month; (3) rent control pilot in Tbilisi districts with >40% rent increase since 2021.
Vienna (social housing model) · Lithuania (housing allowance for workers) · Georgia (EU urban development funds available)| ILO Convention | Subject | Ratified | Compliance | Key Gap |
|---|---|---|---|---|
| C131 | Minimum Wage Fixing | Not ratified | n/a | No obligation to align minimum wage with cost of living |
| C026 | Minimum Wage Machinery | 1993 | Nominal only | GEL 20 minimum — 2.2% of living wage; consultation mechanism absent |
| C117 | Social Policy Aims | Not ratified | n/a | No living standards framework in national policy |