Minimum wage increase: everyone is waiting for government help



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Ferenc Rolek, vice president of the National Association of Entrepreneurs and Industrialists (MGYOSZ), and László Kordás, president of the Hungarian Trade Union Confederation (MASZSZ), also said from the employers of the VKF meeting: László Palkovics, agreement in January after both employers and employees indicated in the conciliation that they could not deviate from their salary increase proposals.

Employers consider a minimum wage increase of just over 3 percent acceptable and unions a 5 percent increase in minimum wage and guaranteed minimum wage. This was because the unions changed their demand for pay increases from 10 to 5 percent, while employers went from zero to 3 percent, László Kordás said. He added that constructive proposals from the government are also needed for the deal.

Ferenc Rolek considered that in order to reach an agreement, the proposals of the two parties should be brought closer together, taking into account the situation of the economy, what happened in the last year and what is expected. Also, a little help from the government can “go a long way.”

According to the vice president of MGYOSZ, one solution would be for the government, for example, to reduce employer contributions, in which case employers could go beyond their current proposal for a salary increase. And if they were fired from the workers’ contribution, the unions would presumably accept lower wage increases.

In a joint statement sent to the MTI by the union side (MASZSZ, the National Union of Trade Unions LIGA and the National Federation of Workers’ Councils), they emphasized that without an agreement, the income of those who live with the minimum wage would depreciate at a higher rate to inflation next year.

Cover image: Getty Images



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