Pedro Sánchez presides over signing of agreement to raise minimum wage to 950 euros

Moncloa Palace, Madrid

The signing ceremony, presided over by the President of the Government, Pedro Sánchez, was also attended by the Vice-Presidents of the Government, Nadia Calviño and Pablo Iglesias, and the Minister for Work and Social Economy, Yolanda Díaz, together with the Presidents of the Business Organisations CEOE and CEPYME, Antonio Garamendi and Gerardo Cuerva, and the General Secretaries of the trade unions UGT and CCOO, José Álvarez and Unai Sordo, respectively. The document signed sets the minimum wage at 950 euros per month, a rise of 50 euros on the amount set in 2018.

These new amounts represent an increase of 5.56% on the figures for 2019. They were set taking into account the economic factors identified in Article 27.1 of Royal Legislative Decree 2/2015, of 23 October, approving the recast text of the Workers' Statute, and will be effective during the period between 1 January and 31 December 2020.

For the government, this measure is the first step in reaching an agreement whereby the minimum wage stands at 60% of the average Spanish salary by the end of this legislature, as recommended in the European Social Charter. This agreement is the result of social dialogue and is based on the solidarity of the social stakeholders, who the government thanked for their commitment to consensus.

Decent work and dignified wages

After the signing ceremony, the Minister for Work and Social Economy, Yolanda Díaz, praised the commitment to consensus by the parties involved and described the increase in the minimum wage as the first great agreement of the new government, as well as a response to the mandate from the social majority of the country.

Yolanda Díaz underlined the importance of 50 euros in the salary of households of working families, although it does not represent a large figure in macro-economic terms. The measures, she added, reflects the government's commitment to a model based on decent work and dignified wages that keeps job insecurity at bay and, as in the case of the recent pension rise, shows the government's unity in fostering social justice, dialogue and action.

The government also considers that the agreement reached and the rise in salaries will benefit workers and companies as a whole and is a driver for the economy and development of Spain.

Non official translation