A commission is set to hold its first meeting later this week to discuss a hike in minimum wages for millions of workers.
Representatives from the government, labor union Türk-İş and the Turkish Confederation of Employers’ Association (TİSK) will gather on June 13 at the Labor Ministry.
The economic developments and inflation will be taken into account when the commission decides on the minimum wage, Vice President Cevdet Yılmaz told reporters on June 10.
“Hopefully, the parties involved in the discussions will reach an agreement,” Yılmaz said, adding that President Recep Tayyip Erdoğan’s pledge has always been to protect the country’s citizens and working people against inflation.
Talks cover more than 7 million workers
The Minimum Wage Determination Commission comprises 15 members from the government, workers’ and employers’ unions.
The current net minimum wage is 8,506 Turkish Liras, and it costs an employer 11,750 liras, including social security premium and the company’s contribution to the unemployment insurance fund.
The commission will look into the June inflation rate to decide about the new minimum wage level for more than 7 million workers. The new minimum wage will be announced in July.
The Turkish Statistical Institute (TÜİK) will release the data on June inflation early next month.
The annual inflation rate eased from 43.7 percent in April to 39.6 percent in May,while consumer prices increased by 15.3 percent last month compared with the end of 2022.
The minimum wage should be set at a level equivalent to somewhere between $300 to $400 if companies to maintain their competitiveness, Turkish Exporters’ Association (TİM) President Mustafa Gültepe said in an interview with private broadcaster Habertürk last week. Former Labor Minister Vedat Bilgin had said the government was working to hike the minimum wage to around $500.