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December 17, 2022
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With 50 items, the government’s deindexation plan will begin

With 50 items, the government's deindexation plan will begin

hand in hand with definition of the 16% readjustment for the 2023 minimum wage reached by employers and unions this Thursday, at the negotiation table for wage and labor policies, An agreement was also reached to deindex 204 itemsbetween goods and services, which are tied to the increase in the minimum wage.

And although this work will take several weeks, and even months, while the respective procedures are completed, the Government will begin this work with 50 of these elementsas confirmed on Thursday by the Minister of Labor, Gloria Inés Ramírez, with a first decree, that will work jointly between the labor portfolio and the Treasury.

“Later on, before the end of the year, we are going to work with the rest of the products and elements, and we will bring the final 34 to the Development Plan, for a total of 204 elements and goods and services that are going to have a real impact on the basic basket, and of course, to protect the purchasing value ”, Ramirez said.

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According to information from the Ministry of Labor, 83% of the measures, that is, 170, they will be de-indexed through administrative acts such as decrees and resolutionsand the other 34, which are 17% of the determinations, must be through bills.

With this decision, the Government seeks to avoid new inflationary pressures due to the increase in prices of different goods and services, and also to preserve the purchasing power of the homes.

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In the middle of the negotiation table, the Ministry of Labor presented a balance by sectors of what will be some of the elements that will enter into that work strategy.

By sectors, the one that will see the greatest adjustments will be transport, with 42 points. Between the 204 goods and services There are sanctions against transport companies, for example, or sanctions against transport terminals.

(See: These products will not have a discount on the day without VAT).

Also the insurable amount of civil liability policies, for public land transport companies, or payment for non-compliance with the agreed loading and unloading times.

Also there are 22 elements that will be modified in the Treasury sector, the same number as in labor and pension issues.

Among them are the types of credit whose rates must be certified, and for These establish a maximum debt balance for microcredit debtors.

These are also related to the minimum.

The housing sector is another of those that will see several measures, 16 as planned by the Government, and will be de-indexed, for example, the maximum value of VIP or priority interest homes, which is 90 smmlv (legal monthly minimum wages). current) for urban housing, and 110 smmlv for urban renewal housing.
It would also be deindexed the maximum value of Social Interest Homesl, which is 135 smmlv for urban housing, 150 smmlv for selected municipalities, and 175 smmlv for urban renewal housing.

I would also enter deindexation measures such as targeting of the Family Housing Subsidy granted by the compensation funds based on the legal minimum wage, as well as the value of said subsidy.

Other services that directly impact the pockets of citizens are, for example, moderator fees and co-payments, which are tied to a percentage of the minimum wage, administrative sanctions and their amounts.

The Government is contemplating de-indexing the minimum rates for the collection of surveillance and private security services, which is tied to the smmlv; either cleaning service fee, since the calculation of the value of the incentive for sanitary landfills of a regional nature is established and calculated based on a percentage of the smmlv.

Other points to review are the income requirements for the Periodic Economic Benefits (Beps) program and benefits. This establishes those people with income less than 1 minimum wage, and also appears among the lists presented by the Government is the minimum value of the pension.

(See: Products that will have discounts on the second day without VAT of 2022).

by the side of educational sector there is a maintenance subsidy for students with better results in state tests, the amount of which will vary between one and four smmlv, or the incentives for Colciencias researchers, which are also defined in minimum wage.

“I think this is the most important part of the concertation process. We find that those first 50 items are directly impacting the basket of goods and services. Some have to do with housing, others with transportation, others with tourism and commerce, everything that has to do with fines and fees, the same notarial procedures, and some products that will have a direct subsidy,” said the minister.

In addition to the actions in relation to the deindexation, other of the agreements that were reached at the negotiation table have to do with a series of subsidies around the fertilizers and agro-inputswhich have been affected by the global situation.

A commitment was also drawn up, added to the one that has been taking place for a couple of months with the companies, to seek measures to go lowering energy rates.

The Minister of Labor said that also The Government will advance in the monitoring and supervised control of the prices of medicines in pharmacies and there was talk of working to lower the formula with which the usury rate is raised.

“This directly affects people’s credits, not just cards,” said the minister.

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