Grundlönen
Grundlönen refers to the base wage, the core monetary compensation an employee is guaranteed before additional payments such as overtime, bonuses, premiums, or benefits. It is typically defined in employment contracts and is often set through collective bargaining or statutory regulation. In many wage systems, grundlönen forms the starting point from which other elements of pay are added, including shift allowances, overtime pay, seniority bonuses, or skill-based pay. The grundlönen can be expressed as an hourly rate or a monthly salary, depending on the country and sector.
Determination: In unionized sectors or countries with sectoral agreements, grundlönen is negotiated and differentiated by occupation,
Relation to living wage: While grundlönen indicates guaranteed earnings, total remuneration includes bonuses, overtime, and benefits;
Variation: The concept and terminology vary across languages and systems. In Germany, Grundlohn refers to the
Critique and debates: Proponents emphasize predictability and fairness, while critics argue that base wages may not
See also: minimum wage, collective bargaining, wage scale, salary schedule.