Minimum wage update: what is the new floor and how will it be paid

After the meeting held this Monday by the Salary Council, where representatives of the Government, businessmen and workers participated, an increase of 21% of the salary was defined. minimum salary for the next three months.

According to what was established in the assembly, the increase in minimum salary it will be done in three installments as follows: 7% in September, with which the salary will go from $47,850 to $51,200; 7% in October, when the floor will reach $54,550; and 7% in November, when the minimum credit it will remain at $57,900.

Minimum wage update: what is the new floor and how will it be paid

Likewise, the Council defined that in the month of November it will review the values again, in order to establish whether or not it is necessary to make a new adjustment. With the increases set for this Monday afternoon, the year-on-year increase in minimum salary would reach 80.9%.

It should be remembered that the Salary Council was convened by the Labor Minister, Claudio Moroni, after the July consumer price index was made public, when it rose to 7.4%, the highest figure in the last 20 years.

The increase will reach thousands of workers.

As it transpired, during the meeting the vote on the salary recomposition was not unanimous, since of the 32 members summoned, 16 by the worker and 16 by the employer; Hugo Yasky, of the CTA (Central of Workers of Argentina) abstained from voting, and Ricardo Peidró, of the Autonomous CTA gave a negative vote.

The agreed increase will affect the remunerations for the private sector, and in turn will impact the floor of some State social assistance programs such as the Empower Work and the Accompany Program.

The basic food basket increased 6.3% in July.

Nevertheless; the increase would not be enough in relation to the high inflationary pressure, since according to the latest report from INDEC (National Institute of Statistics and Census), a minimum of $111,000 is needed to be below the poverty line.

How was the council meeting?

The meeting to define salary recompositionwas carried out with the 32 members of the Council virtually and was supervised by officials from the Ministry of Labor.

The last meeting of the Council had been in March.

Initially, the meeting was to be held on August 18, but at the request of the CGT (General Labor Confederation) and the UIA (Argentine Industrial Union), it was postponed until Monday 22.

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