Analytics, Economics, EU – Baltic States, Latvia, Wages

The Commission recommends easing the tax burden on low-wage earners and shifting it to other sources like capital and property, as well as improving tax compliance.

The Commission has also reminded Latvia about the necessity to ensure an efficient supervision and implementation of anti-money laundering measures.

Another set of recommendations concerns the social sphere. The European Commission urges Latvia to address social exclusion by improving the adequacy of minimum income benefits, minimum old-age pensions and income support for people with disabilities.

The Commission also says that Latvia needs to improve the quality of education and training in particular of low-skilled workers and jobseekers, including by strengthening the participation in vocational education and training and adult learning.

In this section of recommendations, Latvia has also been advised to increase the accessibility, quality and cost-effectiveness of the healthcare system.

Also, Latvia has been called to focus investment-related economic policy on innovation, provision of affordable housing, transport notably on its sustainability, resource efficiency and energy efficiency, energy interconnections and on digital infrastructure.