Minimum wage to rise 8% next year, as agreed earlier
The minimum wages for both skilled and unskilled workers will rise by 8% next year, in line with an agreement reached a year earlier between unions, employers and the government, Finance Minister Mihály Varga announced on Monday, according to a report by state news wire MTI.
A decree will be published in the official gazette setting the gross monthly minimum wage for skilled laborers at HUF 210,600 and the wage for unskilled laborers at HUF 161,000, Varga said.
The VKF, a forum of employers unions and the government, agreed a year earlier to raise the minimum wage for skilled and unskilled workers by 8% in both 2019 and 2020. However, unions recently pressed for the scale of next yearʼs increase to be raised, arguing that GDP growth had beaten expectations and pointing out that minimum wage growth is now under overall wage growth.
The minimum wage rise is part of a framework agreement reached between the sides pairing wage growth with payroll tax cuts.
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