They are preparing to increase salaries from May but if the new arrivals for some workers will be a small breath of fresh air for others they will prove to be a joke. We specify that not all employees will receive actual increases and salaries but we try to explain below because with the tax reform, the mockery of salary increases is around the corner.
- Salary increases in May for whom and when a new cut in the tax wedge arrives
- For those around the corner, the joke increases salaries with the new tax reform
Salary increases in May for whom and when a new cut in the tax wedge arrives
Dal next May, the salaries of workers in the commercial, tertiary and large-scale distribution sectors will increase, for salaries for the month of April, which will be paid in May, with increases of 30 euros gross in the pay slip for workers classified in the fourth level and recalculated for the other levels of classification as an advance that can be absorbed by future contractual increases. In general, these are increases of between 23 and 30 euros gross and up to an additional 52 euros envisaged for Managers, which are added to the salary normally received by each employee.
For personnel in the sector with a part-time employment relationship, the increase will be recognized on the basis of proportionality criteria, while for those hired in apprenticeship, it will be necessary to consider the level of classification updated at the time of disbursement of the aforementioned amounts.
The wages of part-time workers are also increasing as a result of the recognition of the renewed bonus of 550 euros which had not been disbursed to some workers and to whom INPS communicated that it could present a new application to be re-examined.
On the other hand, there will be no increase in salaries due to the new cut in the tax wedge approved with the Labor Decree, even if it was approved in May. In May salaries, the cut in the tax wedge decided with the 2023 Maneuver will continue to be calculated, i.e. 3% for annual incomes up to 25 thousand euros and 2% for incomes between 25 thousand and 35 thousand euros.
According to what has been approved, in fact, only from July will there be salary increases due to the further cut in the tax wedgewhich rose to 7% for incomes up to 25,000 euros and 6% for incomes between 25,000 and 35,000 euros, i.e. for monthly salaries up to 2,692 euros.
For those around the corner, the joke increases salaries with the new tax reform
If the new salary increase from May will only apply to some workers with certain incomes and not to everyone, for many there is a further mockery of salary increases announced with the tax reform but from which not everyone will benefit.
The tax reform provides as a key measure, in fact, the revision of personal income tax rates for income taxation and, according to the latest news, for all the hypotheses still at stake of Irpef changes there would always be some income groups that would lose out and would not have effective salary increases.
The government’s goal is to bring the current four personal income tax rates to three, which are:
- 23% for incomes up to 15,000 euros;
- 25% for incomes between 15,000 and 28,000 euros;
- 35% for incomes between 28,000 and 50,000 euros;
- 43% for incomes over 50,000 euros.
One of the Irpef revision hypotheses provides for the following rates:
- 23% for incomes from 8,500 euros and up to 28 thousand euros;
- 35% for incomes from 28,001 euros to 50 thousand euros;
- 43% for incomes over 50 thousand euros.
In this case, the greatest advantages would be for those with annual incomes between 15,000 and 28,000 euros, for which the Irpef tax rate would be significantly reduced, guaranteeing simultaneous increases in income.
Another hypothesis of personal income tax review provides for the following rates:
- rate of 23% for those with incomes of up to 15 thousand euros;
- rate of 27% for those with incomes between 15,000 and 50,000 euros;
- rate of 43% for those with incomes exceeding 50,000 euros.
With these new Irpef rates, salaries would increase for those with annual incomes between 28,000 euros and 50,000 euros a year, i.e. for those with salaries between approximately 2,150 euros and approximately 3,700 euros per month, considering that the Irpef rate would decrease from 35% at 27%. But the joke would be precisely for those on lower incomes, considering that even in this case, instead of reducing the rate, as for the second band, it would remain unchanged and only two percentage points less than those receiving incomes of up to 50 thousand euros. which can be considered high.
Another hypothesis of personal income tax review being examined by the government provides for the following new rates:
- rate at 23% for incomes up to 28,000 euros;
- rate at 33% for incomes between 28,000 and 50,000 euros;
- rate at 43% for income over 50 thousand euros.
In this case, those who receive lower incomes from 15,000 to 28,000 would gain, so the rate would be reduced from 25% to 23% and the rate of the second bracket would also be reduced, with salary increases for everyone.
Finally, the last hypothesis of personal income tax change could provide for the following rates:
- 23% for incomes under 15,000 euros
- 27% for incomes between 15,000 and 75,000 euros;
- 43% for incomes over 75,000 euros.
Also in the latter case, for the first income bracket up to 15 thousand euros, the rate would still remain at 23%, still a joke for those with lower incomes and should instead be supported, but paradoxically, increases would be guaranteed for those with incomes higher, between 50,000 and 60-75,000 euros.
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