One of the biggest frustrations is to verify that you have a job now does not guarantee out of poverty. The army of unemployed, which reached over six million workers in 2013, led to a collapse of wages down to poverty-level.
despite the economic recovery that started in 2014, the collective of the working poor (with wages below 60% of the average wage) has not ceased to grow. Numerous statistics to this fact. The National Institute of Statistics (INE) estimates in 16% the proportion of workers at risk of poverty by 2018, nearly three points higher than in 2012. A study of the European Commission (Low pay and in – work poverty: preventative measures and preventative approaches) reveals that Spain is the second country where they have increased proportionately faster for the working poor.
In this context, at the beginning of this year, the socialist Government approved a raise of the minimum interprofessional wage (SMI) of 22%, to leave it at 900 euros paid for 14 months. It was a climb very important but you have to remember that the SMI was virtually frozen between 2011 and 2016. Now, after the demands of the trade unions, the Government in office, with the support of United we Can, shuffle a rise by 2020 to place it on 1,000 euros a month, which would mean an increase of 11%. The president of the employers ‘ association CEOE, Antonio Garamendi, has described as “absurd,” this increase lead to an increase in the underground economy.
Without a doubt it would be convenient to be able to reach a consensus between Government, unions and employers in this matter. But the debate should be rigorous. Keep in mind that the industries more open to foreign competition, are the least affected by the SMI. At this point there are sensitivities business very different. The patronal Catalan Foment del Treball, for example, advocates a capitalism that is more inclusive and measures to reduce inequalities.
A report from the European Commission on December 17 (Proposal for a Joint Employment Report to 2020 from the Commission to the Council) reveals that in 2018, the SMI was in the 35% of the average wage, the lowest of the countries analysed. Even after the last climb we are still far from the european consensus to place the minimum wage at 60% of the average wage.
In 2020 the EU will give a boost to the minimum wage european workers “have a decent life”, said the european commissioner for Employment, Nicolas Schmit. Angela Merkel, chancellor of Germany, has said that Europe should have “minimum wages comparable” to move towards equal working conditions. Spain is far from countries such as France and Germany, with minimum wages that exceed 1,500 euros. This is the truth. The employers ‘ Spanish should better tune with the leading German, anxious to reduce inequalities unsustainable.
