Turk-İş President Atalay: "Minimum Wage Does Not Cause Inflation"

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Turk-İş President Atalay: "Minimum Wage Does Not Cause Inflation"

The President of the Turkish Confederation of Trade Unions (TÜRK-İŞ), Ergün Atalay, made significant statements prior to the minimum wage discussions set to begin next week. Atalay opposed MÜSİAD's proposal for a 25% wage increase limit, stating that the minimum wage does not cause inflation and does not even cover workers' weekly needs.

"Minimum wage has become a subsistence wage"

According to a report by Hazal Ateş from CNBC-e, Ergün Atalay met with members of the Association of Economic Journalists (EMD) before the minimum wage discussions starting on December 10. He emphasized the importance of the topic, noting that even though the increase in minimum wage will be reflected in workers' salaries on February 1, the minimum wage has been a topic of discussion nationwide for 150 days. Atalay pointed out the inadequacy of the current minimum wage with his remark, "Minimum wage has become a subsistence wage. Can you live for a week on this wage?"

Responding to MÜSİAD's statement that "The minimum wage increase should not exceed 25%", Atalay argued that employers should consider the difficulties faced by workers trying to make ends meet with a salary of 17,000 Turkish Lira. He emphasized the need to determine a wage that allows for a decent standard of living and stated that TÜRK-İŞ would announce its own proposal following the figures put forward by the government and employers.

"Minimum wage did not cause inflation"

Atalay noted that the minimum wage only increased once in 2024, yet this increase did not lead to a decrease in inflation. He challenged the notion that minimum wage increases are the sole reason for inflation, arguing against the portrayal of the minimum wage as an independent factor causing inflation in the economy.

Regarding expectations for the minimum wage, Atalay mentioned that TÜRK-İŞ would share its own proposals after reviewing the figures announced by employers and the government next week. He reiterated that the issue of minimum wage is not just an economic matter but also a requirement of social justice.