The monthly minimum wage is set as of today 1,568.67 eurosas approved yesterday by the Council of Ministers. The update represents an increase in the 2.8% compared to the salary set in Januarywhile the hourly price goes from 8.80 euros to 9.05 euros. The Executive Spokesman, Guillem Casaldefended that the measure, announced on Monday by Head of Government, Xavier Espotduring the first day of the debate on political orientation, responds to a situation “extraordinary” marked by the acceleration of prices.
Casal remarked that the executive applies this “exceptional increase” to respond to a specific context of inflation growth, after advanced data placed theCPI at 4.2% at the end of June. The minister explained that the increase seeks to preserve the purchasing power of the lowest wages at a time when the price increase cost of living continues to have an impact on households and conditions especially the most modest incomes.
“We work to bring the minimum wage as close as possible to 60% of the average”
With this update, the minimum wage is set at 55% of the average salary. Casal pointed out that the distance between both indicators remains because the improvement of the economy has also led to a average salary increasewhich makes it difficult to advance more quickly towards the goals set. In this sense, he defended that the minimum wage has grown more than one 20% in recent years, while the average salary has fallen below this threshold.
The spokesman admitted that the minimum wage still does not reach the 60% of the average salary, the reference established by the European Social Charterbut he maintained that Andorra meets the requirements if other country circumstances are taken into account. Casal he cited, among other factors, the free public transport, the existence of social assistance and a fiscal pressure that qualify as moderateelements that, as he indicated, are also part of theanalysis on the purchasing power of workers.
Nevertheless, the minister remarked that “we work to bring the minimum wage closer to 60% of the average“, while acknowledging that it is not easy to bridge distances because, every time the minimum wage rises, so does the average wage. However, he emphasized that, if you compare the current minimum wage with the average salary that was there at the beginning of the legislature, “more than 60%”, he finished.
