Salary increase: They support review, but ask to weigh inflation

The proposal of president Luis Abinader to increase the salary minimum for employees of the Private sector Not sectorized, has been well received by various economic sectors. However, they insist on the importance of analyzing factors such as inflation and the productivity to guarantee an adjustment that meets the objectives.

The governor of the Central Bank, Héctor Valdez Albizu, and representatives of the MSMEs They agreed that an increase is necessary to compensate for loss of purchasing power that wages have suffered due to variations in the prices of the products and services of the basic basket.

With a possible increase, as mentioned by the president In the weekly with the press, employees currently accrue the salary Minimum could leave the social stratum in which they are located. “20 % to minor sectors income He places them in the upper index of the quintile entry one of expenses, “Albizu told journalists who sought their opinion.

He added that the measure will positively contribute to accelerating the economic activities of the country because people will have more income For their daily activities. “According to what I read in the press, it is a 20 % increase to salary minimum of sectors that really need it. I think it is a very positive decision, and the president It is on the right path, looking for a way to help the most vulnerable sectors in the country, “he said at the altar of the homeland, where the BCRD deposited a floral offering on the occasion of the 212 anniversary of the birth of the Patricio Juan Pablo Duarte.

Settings to salary They are contemplated in article 456 of the Labor Codewhich indicates that the minimum rates in each economic activity will be reviewed ex officio by the National Salary Committee (CNS) At least once every two years. “In no case will the committee know about the review of the rates that are submitted by employers or workers before having completed a year of validity,” he adds.

The sectors think

The Patronal Confederation of the Dominican Republic (CPARDOM) said that he is waiting for the call of the CNS for the Tripartite dialogue in which the proposal of the president Abinader

Laura Peña Izquierdo, president of the business entity, emphasized the commitment of the employer sector with the fulfillment of the Labor Code And the processes of social dialogue, while referring that this analysis space is also essential to address issues that affect industries, such as productivity and the inflation accumulated and projected.

“We would expect to be convened to National Salary Committee In order to discuss the issue of wages, as established by the Labor Code, “said the Executive. He recalled that employers have always fulfilled the processes established by Law 16-92.

In the case of micro, small and medium enterprises, the president From the Dominican Federation of Merchants (FDC), Iván García, said that small companies are willing to evaluate salaries, but observed that there is a reform in the National Congress that remains detained and considered appropriate to advance with that issue to have a better one to have a better Vision for adjustment.

“If the unemployment insurance is changed, we would not increase 20 %, until up to 28 % to salary of employees, “he said. He pointed out that his economic line is not represented in the Tripartite dialogue of the CNS.

“I understand that MSMEsat this time, they are not able to increase the salary in 20 %. We have the desire, but there are no conditions, and until the issue of the Labor Code is resolved, the commercial sector, that we are the greatest employers, will remain observant of this process, “he said.

The trade unionists José Luis León, president of the National Federation of Industry Workers (Fenti), and Gabriel del Río, president From the Classist Trade Union Confederation (CASC), they asked the Government to create a “National Pact for Salary“

Although they greeted the measure, they agreed on the need to expand the scope of the salary increasesuggesting that this should also include public employees already key sectors such as tourism and free zones, where the salary minimum is 16,000 pesos.

“We consider that, at the moment, 20 % is not enough; however, we will discuss this issue, since the important thing is that salaries can be improved,” said Del Río, who said they hope to start a dialogue process With the government.

An economic view

The Regional Center for Sustainable Economic Strategies (You believe) warned about the limitations of the measures. According to Miguel Collado, vice president of the entity, the increases to salary minimum are popular decisions and one of the least effective strategies to improve the purchasing power of workers: “The best way to achieve this is to facilitate more investments that add value, as we explained, accompanied by a Fiscal policy responsible and monetary measures that do not stimulate the inflation Price, “he said.