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Wednesday, October 9, 2024

MRiT advises against another increase in the minimum wage in 2025

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The Ministry of Development and Technology expresses doubts regarding the increase in the minimum wage proposed for next year in relation to the amount previously established during social consultations, the ministry said in a letter published on the Government Legislation Centre website. According to the ministry, this will “negatively affect several million entities”.

According to the latest version of the draft regulation minimum wage in 2025 it will increase to PLN 4,666 vs. PLN 4,626 proposed earlier at the meeting of the Social Dialogue Council (8.5% vs. 7.6%). Minimum hourly rate will increase to PLN 30.50 from PLN 30.20 proposed previously.

Read also: Government changes its mind on minimum wage

MRiT advises against increasing the minimum wage

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“In relation to the submitted draft regulation of the Council of Ministers on the amount of the minimum wage and the amount of the minimum hourly rate in 2025, I express my doubts regarding the proposed change, i.e. increasing the amount of the minimum wage by PLN 40. Within a month (i.e. from the stage of inter-ministerial consultations of the project in August this year), the initiator of the project changed the amount of the minimum wage and the hourly rate, based on the change in the total consumer price index specified in the draft budget act for 2025 (from 104.1% to 105%)” – – the Ministry of Agriculture and Technology wrote in a letter.

“Therefore, it is necessary to provide a justification as to whether the above-mentioned change in the minimum wage level resulting from the draft budget act, resulting in a further increase in labour costs for employers/entrepreneurs, is necessary and necessary (…). In the opinion of the Ministry of Development and Technology, the forecasted slight increase in the total consumer price index in the draft budget act should not result – in such a short period of time – in a further change in the amount of the benefit, which will have a negative impact on several million entities,” it added.

The new minimum wage amount will mean a cost for small and medium-sized companies of PLN 11.8 billion and for large companies of PLN 3.15 billion.

Main image source: Grand Warszawski/Shutterstock



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