Employers, unions find shortcomings with minimum wage proposal
Business association VOSZ wants compensation if the government raises the minimum wage to HUF 92,000 a month, while unions association MSZOSZ wants more.
The National Economy Ministry said late Tuesday it wants to raise the basic minimum wage to HUF 92,000 and the minimum wage for qualified workers to HUF 108,000 a month.
At present, the basic minimum wage is HUF 78,000 and the minimum wage for qualified workers is HUF 94,000.
The ministry also proposed business raise wages by 5% next year and that a temporary tax be levied on incomes over HUF 202,000 a month.
Ferenc Dávid, chief secretary of VOSZ, told MTI late Tuesday that the increases in the basic minimum wage and the minimum wage for qualified workers calculate as 18% and 15%, respectively, while the economy is expected to grow no more than 1.5% next year. The private sector can only bear this wage burden if it is compensated by the state, he added.
Péter Pataky, chairman of MSZOSZ, told MTI that the minimum wage would have to be raised to HUF 92,520 next year if workers are to take home the same nominal net wage, taking into consideration the elimination of tax preferences and the practice of adding social contributions to the personal income tax base, as well as increased social contributions.
ADVERTISEMENT
Households Make Net Withdrawals in April
Parl't Approves Amendments to Legislation on Judiciary
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.
