Overview
- The Labour Ministry put forward a 3.1% increase in the statutory minimum wage to €1,221 per month in 14 payments, retroactive to January 1 and exempt from IRPF.
- The government outlined targeted corporate tax deductions for firms most affected by the rise, limited in scope and tied to maintaining employment and lifting wages above the SMI, with details to be finalized with the Treasury.
- UGT and CCOO called the incentive plan positive in principle but flagged gaps and asked for written terms, while pressing to bar absorption of the increase via complements through separate regulation.
- CEOE has not endorsed the package and convened its employment commission to study it, with a follow-up negotiation meeting scheduled for Thursday.
- Indexing public contracts to the SMI was discussed but faces Treasury resistance, as separate initiatives advance including a digital, remotely accessible time registry and continued debate over dismissal indemnities.