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New front-end increase in the minimum wage from 1 May

The prime minister will announce a new forward increase in the minimum wage from May 1, in the interview he will give on the show “Enopios Enopio” tonight.

“I have asked the Minister of Labor to immediately start the process for a second increase in the minimum wage, which will be implemented from May 1 this year. I estimate that the increase in the minimum wage will be significant. It will be much larger than the increase. 2% that the employees saw from January 1, 2022… “, Mr. Mitsotakis emphasizes, in the interview, excerpts of which were shown in the main news bulletin of Antenna. At the same time, he announces new measures to support the market.

“Tomorrow the co-responsible Ministries of Finance and Labor will announce a new framework for supporting businesses and workers in sectors that have been affected by what has happened since the New Year. I am referring to both the culture and the catering sectors. “possibility for two weeks in the first phase to put 25% of their employees on suspension. So they are not actually paid by the company”, he states.

It is recalled that from January 1 of the new year, the minimum wage increased by 2%, reaching 663 euros gross (569 euros net) compared to 650 euros gross (558 euros net) which was until December 31, 2021.

However, the net wages of private sector employees, including those paid the minimum wage, have been indirectly increased by an additional 1.63%, and due to the corresponding reduction by 1.63% of the insurance contributions paid by employees (from 15.75% to 14.12%), in the context of the overall reduction of non-wage costs (contributions of employees and employers) by 3.9 points from 2019 until today.

In other words, the net minimum wage in the period 2019-2022, due to the reduction of contributions of the insured and their gross wages, has increased by 3.8 points (from 547 euros before the reduction of contributions to 569 euros which arrived after the reduction of contributions and the increase of the gross minimum) or 21.7 euros / month or 303.8 euros per year.

Regarding the percentage of the forthcoming increase, information states that it will be around 5% -5,5% so as to reach the 700 euros gross (from the current 663 euros).

In case the above scenarios are verified (about an increase of 5.5%), the net minimum wages will arrive 601 euros (compared to 569 euros as of January 1, 2022) and thus a net increase of 32 euros / month will occur.

D. Gatsios

Read also:

* The plan for the second increase of the minimum wage will be revealed today by K. Mitsotakis

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Source From: Capital

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