Campaigning by the youth section of the FNV trade union has paid off with implementation of a change in the national minimum wage. The adult rate will now be applied from 21 rather than 22. This means 21-year-olds will benefit from the new EUR 9,44 rate, a 45% increase on the previous rate, which was only EUR 6,49. While being delighted with the result the union's youth section is determined to keep up the fight to get right of the other age-related rates so that the full adult rate applies from 18.
Union campaigning secures adult minimum wage from 21
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Unions target €1000 minimum wage
The UGT confederation has launched a campaign for a minimum wage of €1000 a month. This target was discussed earlier this year with the CCOO confederation and the PSOE socialist party. The UGT has set the target for negotiations in collective agreements and also to achieve for the national minimum wage by 2020. The confederation argues that the figure is entirely justified with 3.5% economic growth and businesses now seeing profits and dividends at pre-crisis levels. At the same time average salaries are more than 5% below their 2009 level in real terms.
Substantial increase in minimum wage
The monthly and hourly minimum wage rates are set to rise by just over 9%, taking the monthly amount to EUR 607 and the hourly rate to EUR 3.72. The minimum wage is discussed in a tripartite council which takes into account a number of factors but the increases are also linked to specific targets - since 2017 it was stipulated that the ratio of the minimum wage to the average wage should be kept between 45% and 50%. It is also linked to trends in minimum and average wages across the European Union.
Upward trend in minimum wages
(February 2017) The Eurofound research agency has published a new analysis of minimum wage rates across the EU noting the increase in rates, particularly across Eastern Europe. The article confirms, however, that there is still a wide range of rates across the continent, ranging from EUR 1999 in Luxembourg to EUR 238 in Bulgaria. Of the 22 EU countries with statutory minimum wages all have seen an increase in real terms since 2010 with the exception of Greece where the Troika pressured a previous government to cut the rate substantially.