Important meeting with unions and employers to negotiate the increase in the minimum wage with notice from the Ministry of Labor. The department headed by Yolanda Díaz has warned businessmen this Monday that, if they do not reach an agreement, the Government will raise the SMI more than 4% (up to 1,123 euros per month), the figure that the ministry had proposed to achieve a tripartite consensus. “Whoever does not enter into an agreement pays the consequences,” said Joaquín Pérez Rey, Secretary of State for Labor, before entering the meeting.

The social agents met this morning at the Ministry of Labor in a brief meeting in which the Government insisted on its proposal, which the employers’ associations of CEOE and Cepyme have stated that they will submit to an internal vote within their organizations. Thus, the parties will meet again next “Thursday or Friday,” the unions have explained, to see if there is the possibility of a tripartite agreement or not.

Yolanda Díaz’s ‘number two’ has explained that Labor’s intention and preference is to achieve a three-way agreement, with businessmen and also unions. “4% is a figure that generates incentives for all parties,” she reiterated, since it is halfway between the 3% that the employers proposed and at least the 5% that the unions demand.

Joaquín Pérez Rey has highlighted that this is a “reasonable” increase, but that at the same time it meets two essential requirements for the ministry: that it guarantees the protection of purchasing power (with an average CPI of 3.8% in the last year ) and that “maintains the commitment” of an SMI of 60% of the average salary.

Notice: a larger increase agreed only with unions

However, “if the Spanish employers consider that they are not going to lend their support” to that 4% increase, “the Government will disassociate itself from that figure,” Pérez Rey has forcefully warned.

In this case, Labor warns that it will seek “a bipartite agreement” with the union organizations (CCOO and UGT), which “can no longer be at 4%.” “We are willing to make a more ambitious increase,” said the Secretary of State for Labor.

In recent weeks, the majority unions were insisting to the Government in this regard. CCOO and UGT are also in favor of there being an agreement with the employers, which provides greater implementation and acceptance of the labor measures. But, in case the CEOE and Cepyme backed out of an agreement, the union centers were warning the Executive that they would not accept an increase of only 4%.

Public contracts will not be linked

Another of the keys to this Monday’s meeting is the confirmation that the Government will not link the increase in the minimum wage to public contracts, Joaquín Pérez Rey has also announced. This is a determining element, because the businessmen had demanded this measure as a “condition sine qua non” to reach an agreement.

Labor committed to the CEOE to forward this request to “the competent ministries”: Finance and Economy. However, the head of the ministry of the branch and new first vice president, María Jesús Montero, opposed the measure from the beginning, a position that received the endorsement of the Economy.

In recent weeks, Labor has been analyzing “with a rigorous study” the possibilities of linking the increase in the SMI “to some public concessions”, but this point will not be finally included. “At this table, no measures will be taken to impact the SMI on public contracts,” said Pérez Rey.

The Secretary of State for Labor has explained that the increase in the SMI “cannot come as a surprise” for companies, since it is a commitment announced by the Government since 2019, so the Executive understands that companies must take this into account. foresight when bidding with the public administration.


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