Spanish government and unions agree on raising monthly minimum salary by €50

The Spanish government has agreed with labor unions to raise the minimum interprofessional salary by €50 per month to 14 payments of €1,184.

In Spain, it's common that salaried workers will be paid 14 times per year, with double payments done in summer and at Christmas.  

The figures represents an increase in the minimum salary of 4.4%, and will see workers on minimum pocket €700 more per year, the highest range proposed by the group of experts convened by the Ministry of Labor.

The deal was announced in a press conference on Wednesday by Spaion's labor minister, Yolanda Díaz, after meeting with social and economic stakeholders.

The employers' association has not joined the agreement as it is above the 3% increase they had proposed. 

The leader of Sumar thanked the employers' association for "taking the dialogue seriously and making proposals," unlike what happened, as she pointed out, in the negotiations over the reduction of working hours. 

Díaz also announced campaigns by the labor inspectorate to ensure salaries are being increased. 

The measure will go before the Council of Ministers with “imminent character” for final approval. 

Union reaction

Unions highlighted the "very important" work that has been done in recent years, in which the lowest salaries have increased "exponentially" to reach up to €16,576 per year.

“The interprofessional minimum wage is not an economic issue, it is a question of dignity, of human rights,” said deputy general secretary of the UGT trade union, Fernando Luján. He insisted that increasing the minimum wage improves the economy in general.

“It is a good deal, it will improve the conditions of 1.8 million salaried people, 11.5% of the salaried population,” explained Mari Cruz Vicente, confederal secretary of the CCOO trade union.

Vicente highlighted that the agreement will help to reduce the gender wage gap “without a doubt” since more women are working in sectors with lower wages.

Social dialogue table

The agreement also includes the commitment of the Spanish government that, within two months, a social dialogue table will be set up that will “fully implement” the European minimum wage and collective bargaining directive.

In addition, it has been agreed to incorporate into the legislation the commitment to increase the minimum wage further, to reach up to 60% of the average wage, the obligation to absorb bonuses, and to update the wages of labor agreements that include the lowest wages.