Key Facts: Algeria vs Iran Wages
- Algeria Minimum Wage
- DZD138.46/hr ($1.02 USD)
- Iran Minimum Wage
- ﷼692,731/hr ($1.02 USD)
- Algeria Avg. Gross Monthly Salary
- DZD55,000 /mo ($405.90 USD)
- Iran Avg. Gross Monthly Salary
- ﷼400,000,000 /mo ($588.24 USD)
- Data Sources
- Council of Ministers / Ministère du Travail, de l'Emploi et de la Sécurité Sociale — Algeria (2026-02-25), Supreme Labour Council / ILO ILOSTAT. 2026 (Iranian year 1405) figure verified via WageIndicator (March 22, 2026 update) and Euronews coverage of 60% nominal increase amid sanctions pressure. (2026-05-04)
Algeria
Iran
Updated 2026-05-04
Both lower-middle-income economies, Algeria and Iran set comparable minimum wage floors in USD terms. Average salaries are lower in Algeria at $406/mo compared to $588/mo in Iran. Iran has the tighter labor market, with unemployment at 8.3% compared to 11.6%.
From Algeria's perspective: adjusting for purchasing power, Algeria's minimum wage buys less than Iran's. The PPP-adjusted hourly rate in Algeria is $3 international dollars, compared to $6 in Iran. Algeria has lower GDP per capita ($17,621 vs $19,874). Algeria's unemployment rate is 11.6% compared to Iran's 8.3%.
Detailed Comparison
| Metric | Algeria | Iran |
|---|---|---|
| Minimum wage /hr | DZD138.46 $1.02 | ﷼692,731 $1.02 |
| Minimum wage /day | — | ﷼5,541,850 $8.15 |
| Minimum wage /mo | DZD24,000 $177.12 | ﷼166,255,500 $244.49 |
| Minimum wage /yr | DZD288,000 $2,125.46 | ﷼1,995,066,000 $2,933.92 |
| Avg. gross salary /mo | DZD55,000 /mo $405.90 | ﷼400,000,000 /mo $588.24 |
| Avg. net salary /mo | DZD43,000 /mo $317.34 | N/A/mo |
| Median individual income /yr | DZD300,000 /yr $2,214.02 | ﷼1,440,000,000 /yr $2,117.65 |
Percentage differences are based on USD equivalent values. Positive means Algeria is higher.
Work Week
- Algeria
-
40 hrs/wk standard
Max 48 hrs/wk
Overtime : 1.5x pay
Labour Law (Law 90-11) sets standard working hours at 40 per week for most sectors and 44 hours for certain sectors. Weekly rest is Friday and Saturday. Overtime paid at 150% of normal rate for first 4 hours and 200% for subsequent hours.
- Iran
-
44 hrs/wk standard
Max 48 hrs/wk
Overtime : 1.4x pay
Article 51 of the Labour Law sets ordinary working hours at 44 hours per week (8 hours/day, 6 days, with 4 hours on the sixth day — or equivalent arrangements). Maximum including overtime is 48 hours/week. Overtime is compensated at 140% of the ordinary hourly rate. Friday is the official weekly rest day. Workers in hazardous conditions have reduced hours.
• WAGE TRAJECTORY (USD/hr)
What This Means for Workers
A minimum wage worker moving from Iran to Algeria would see a 0% increase in USD-equivalent hourly earnings. However, after adjusting for cost of living, Iran's minimum wage provides more purchasing power. Standard work weeks differ: Algeria mandates 40 hours while Iran mandates 44 hours. A minimum wage worker's weekly earnings in Algeria are $41 vs $45 in Iran.
See this comparison from Iran's perspective: Iran vs Algeria
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Frequently Asked Questions
Is the minimum wage higher in Algeria or Iran?
In Algeria, the minimum wage is DZD138.46/hr ($1.02 USD). In Iran, it is ﷼692,731/hr ($1.02 USD). Algeria has the higher rate by 0% in USD terms. That nominal gap does not account for local prices; see the purchasing power comparison below for a cost-of-living-adjusted view. Workers in Iran may retain a larger share of their earnings if prices there are lower.
How much less does the average worker earn in Algeria compared to Iran?
The average gross salary in Algeria is DZD55,000/mo ($405.90 USD), compared to ﷼400,000,000/mo ($588.24 USD) in Iran. In USD terms, workers in Algeria earn approximately 45% less. Average salaries reflect the full labor market, not just the minimum wage floor. The gap between Algeria and Iran is shaped by differences in industry composition, labor productivity, and the overall cost of living in each country. Workers in Iran earn more in nominal terms, though how far that income stretches depends on local prices in Algeria.
Which country has better purchasing power for minimum wage workers, Algeria or Iran?
After adjusting for local prices using purchasing power parity (PPP), minimum wage workers in Iran can afford more than those in Algeria. The PPP-adjusted rate is $3 in Algeria and $6 in Iran. PPP converts wages into equivalent US dollar buying power, accounting for what a unit of currency actually buys locally. The 85% purchasing power gap means that even if the nominal wage in Algeria appears competitive, minimum wage workers there face greater constraints on day-to-day spending.
How do work hours compare between Algeria and Iran?
Iran has a longer standard work week at 44 hours, compared to 40 hours in Algeria. Workers in Algeria work 40 hours per week by law. Longer mandatory hours can offset a nominally higher wage; a worker in Algeria working fewer hours may have comparable or better effective hourly earnings depending on the wage levels of each country. Total annual compensation depends on both the wage rate and the number of hours required.
What is the cost of living difference between Algeria and Iran?
While direct cost of living data varies by source, GDP per capita (PPP) gives a useful proxy for overall economic level. Iran has the higher GDP per capita at $19,874, which is 1.1x that of Algeria at $17,621. From Algeria's perspective, this means goods and services are priced at a lower economic level. A higher GDP per capita generally correlates with higher wages, higher consumer prices, and greater availability of goods and services. Workers moving between these two countries should expect significant differences in rent, food, and transportation costs.