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The Government foresees an increase in the SMI: What is the interprofessional minimum wage?

The government, unions and company employers agreed last year on the SIM; minimum interprofessional wage . Now, this beginning of September, the Government has announced an increase in the SMI before the end of the year. But do we really know what it means?

We are talking about the minimum amount or minimum wage that a worker is paid in a certain country. For this, a series of laws must be established to agree on this fixed fee that is changing.

This regulation was first established in Australia and New Zealand in the 19th century. The SMI depends on fluctuations in the economy of the country and also the world, especially inflation.

How much would the increase in the Minimum Interprofessional Salary be?

Although it is something that must still be agreed with employers, companies and unions, the Government has communicated that the increase in this salary would be between 12 and 19 euros for this year and 62 euros for the next two. Currently the SMI is set at 950 euros per month.

As has happened previously, the figures, which are not yet specified, have already led to a division between the social agents, the various political formations and with the unions, who believe that the increase is insufficient. While the president of the CEOE believes that it is not the time to make increases.

What factors are taken into account to set the SMI?

A series of parameters are taken into account, such as the consumer price index (CPI), the national average productivity, the increase in the share of labor in national income and the economic situation analyzed in a general way.

Let us remember that in 2011 and in the midst of the economic crisis, the Government of Mariano Rajoy froze the SIM, the minimum interprofessional wage for the first time since it had been implemented in Spain. After two years, in 2013, it was frozen again, by years of crisis that extended over time.

What is the 2020 minimum interprofessional salary?

Last year it was agreed to establish an SMI of 950 euros per month . With this data we see that the salary has risen 58.3 euros per month compared to the previous salary, being an increase higher than the 2019 CPI. Now there is a rise before the end of the year if all the agents agree on figures and others.

In what ranking is Spain in terms of the SMI?

Spain is ranked 14th out of 97 on the list.

What are the countries with the highest salaries?

Inequality in the world is too evident, we are going to review the countries with the highest salaries right now, they vary every year.