Home » EU minimum wage at the finish line: final vote in the European Parliament

EU minimum wage at the finish line: final vote in the European Parliament

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EU minimum wage at the finish line: final vote in the European Parliament

Directive on the minimum wage at the final vote today, Wednesday 14 September, in the European Parliament. The aim is to define a framework for achieving “adequate and fair” wages in the Union, reducing the pay gap, while respecting different national approaches. The directive also aims to strengthen the role of collective bargaining, which will have to reach up to 80%, also with EU monitoring, thus strongly supporting the action of trade union representatives.

On the other hand, there is no real minimum wage in the EU and even less an obligation to introduce it in countries where it does not already exist, such as Italy. Instead, criteria are envisaged to guarantee salaries above the survival threshold, taking into account the cost of living and purchasing power. And wage adjustments to the cost of living are expected at least every two years, four where wages are already indexed to expensive prices.

The minimum wage in Europe

In 21 of the 27 countries of the Union, national minimum wages of different amounts are currently envisaged. According to Eurostat data, it ranges from € 332 in Bulgaria to a maximum of € 2,257 in Luxembourg. The “minimum wage” does not exceed the quota of one thousand euros in 13 countries (East, Baltics, Greece, Portugal) and remains between one thousand and 1,500 in two countries (Slovenia and Spain). From ratification, Member States will have two years to transpose the directive with a national act.

The compromise

“We are opening a new chapter in the history of European social policy,” said rapporteur Dennis Radtke (EPP) in the debate at the EP. “For the first time in European legislation we have succeeded in including a protection of collective agreements, the right to conduct collective agreements and negotiations”, thus also protecting “the rights of trade union members”.

«The winter will be very hard and often some people will have to choose between heating and eating. We cannot allow that to happen – said rapporteur Agnes Jongerius (S&D) -. We want a decent wage that takes inflation into account ». The EU commissioner at work Nicolas Schmit also spoke of “a historic moment for social Europe”. “The rising cost of living affects millions of households in Europe and therefore adequate minimum wages are more important than ever.” The directive to be voted on is “a good, balanced compromise”, leading to “greater and better social convergence between the Member States”. “No Member State can be obliged to introduce a legal minimum wage – he stressed -, the directive will fully respect the autonomy of the social partners, the specificities of national systems and national competences”.

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