Under the draft royal decree (real decreto) prepared by the Ministry of Labour and Social Economy, the minimum wage (salario mínimo interprofesional, SMI) would be €1,286 gross a month, paid in 14 instalments. That is €65 a month (€910 a year) more than the current €1,221. The annual figure would be €18,004 and the daily rate €42.87. Anyone whose annual pay is already above €18,004 is not affected by the rise.
Objections (alegaciones) are being accepted as part of the public consultation until Monday 16 November. After that, the government could approve the rise at a Council of Ministers meeting (Consejo de Ministros) on Tuesday 17 November or Tuesday 24 November. Only cabinet approval is needed; the Diputación Permanente (the parliamentary standing committee) does not have to sign it off. The government wants it done before the general election on Sunday 29 November. The date the decree would take effect has not been given in the information available.
The proposed 5.3% is higher than the 4.9% (€1,281 a month) recommended by the expert committee advising the ministry. October inflation was also 4.9%. It is lower than the 7% demanded by the CCOO and UGT trade unions. Talks on 4 November ended without agreement, so if the decree is approved it will go ahead without the backing of unions or employers. Valencia Plaza reports that Finance Minister Arcadi España said the SMI will stay exempt from income tax (IRPF). According to TodoAlicante, CCOO says the tax treatment is not yet known.
