The average monthly nominal salary ranges from 137,400 to 301,610 AMD in Yerevan and regions in Armenia, in the 3rd quarter of 2023. The average monthly wages were higher in Syunik Marz and in Yerevan.
The average level of wages in any region is influenced by many factors: the level of economic activity, the structure of the economy, the level of employment, the institutional structure – the share of state and non-state sectors, the age and gender structure of the population and opportunities for obtaining other types of income in this region. Mr. Aharon Chilingaryan, Head of the Tax and Legal Department of the “BDO Accounting, Tax and Legal” CJSC, stated this in a conversation with Iravaban.net
In the second quarter of the year for example, according to the Statistical Committee, the average monthly salary in Syunik was higher than in the capital Yerevan. And according to the data of the third quarter, the level of average monthly salary in Syunik marz was 292,386 AMD, and it was 301,610 AMD in Yerevan. The fluctuation of salaries according to the quarters is also connected with the seasonal factor.
“I do agree that there may be fluctuations during the year due to seasonal or other factors. The reason may be that No. 1 largest taxpayer of Armenia is located in Syunik Marz (Zangezur Copper-Molybdenum Combine, headed the list of 1000 largest taxpayers – ed.), and other large companies with high average wages, where any change in wage structure could have such an impact in the short term. Let’s not forget that the “salary” structure can also have an impact according to regions. In a broad sense, the concept of “salary” also includes various other payments and supplements, rewards. In addition, the level of the salary itself may fluctuate if instead of the non-tariff stable position/hourly payment system the wage labor system is chosen when that level may vary according to the physical quantity of products produced in a given month or quarter. The latter will be more common in marzes with a manufacturing character than in Yerevan and other places with more services,” Aharon Chilingaryan noted.
In response to the question, what effect the Zangezur Copper-Molybdenum Combine has on the formation of salaries in this case, the specialist said, decisive. “Information about a specific company is not available, it is not published, it is a statistical secret, and therefore it is not possible to give a more detailed answer. At the same time, I should mention that such a large company/companies always have a significant influence, one can say a decisive influence, because they form two types of influence in the province. They make large-scale purchases from related small and medium-sized companies, as well as implement various social programs, thus also generating above-average, especially stable jobs and wage opportunities in several regions,” Aharon Chilingaryan said.
The sectors providing high salaries in Armenia are communication (including information technology), mining industry, financial and insurance activities, culture, entertainment and recreation.
“If we look at it in larger groups, it will turn out that the highest is the service sector, and the lowest is the agricultural sector. However, in this last case, it should be taken into account that wages are not a very widespread income category in agriculture. In that sector, the type of income from one’s own economy, receiving it in the form of natural products, etc., is more common,” Chilingaryan said.
It should also be noted that the RA State Revenue Committee’s database is essentially the basis for statistical publications on wages. The basis for the latter is the unified tax report of income tax and social contribution.
“The absolute majority of companies operating in Armenia present this report.” Therefore, yes, companies operating in Armenia provide high incomes in one way or another, directly or, in rare cases, remotely,” Aharon Chilingaryan said. As a rule, this is carried out through legal entities with Armenian state registration, and in some rare cases, through branches and representative offices of foreign organizations with state and tax records in Armenia.
Let us add that in response to the question of Iravaban.net, the Zangezur Copper-Molybdenum Combine informed that the average monthly nominal salary of ZCMC is two and a half times higher than the indicator of Armenia. “The average monthly nominal salary in Armenia according to the data of the third quarter of 2023 was 265,000 AMD. As usual, Syunik is the leader, and the average nominal salary in ZCMC is almost two and a half times higher than the indicators of Armenia and about four and a half times of Shirak and Gegharkunik marzes,” ZCMC informed.
Alisa Chilingaryan
