Minimum wage increase: Who are the “winners” and “losers” from the three-year “unfreeze” – Benefit increases are also coming – 2024-03-11 17:59:02

Nineteen DYPA (formerly OAED) benefits are increasing in the new year and as everything shows, this will happen from April itself.

Everything starts in the next few days when we will have negotiations between employers and employees, in order to delimit the percentage of the new increase in the minimum wage. This readjustment will also entail a series of benefits, such as those of unemployment and maternity.

Towards the end of this month, it is expected that the process for the readjustment of the minimum wages, so that at the end of April the new increase can be finalized and adopted. For private employees, the new year holds, however, “twin increases”, as the 3-year terms are also “unfrozen”, adjusting salaries up to 30% higher.

How much will the minimum wage increase?

In any case, as everything shows, the minimum wage in the private sector is expected to be adjusted once more by 5% to 6% in the spring of the current year, in order to reach 820-830 euros, from 780 euros that it is today.

The process and the relevant consultations for the minimum wage increase are estimated to start at the end of January, i.e. within the next few days, so that the new wage will be implemented in April-May 2024.

If the estimates for the rate of increase are confirmed then the new salary will range from 820 to 830 euros, leaving almost 120 to 130 euros – extra – to reach the government’s target of a minimum wage of 950 euros by 2027.

According to government announcements, there will be an increase in the average salary of more than 25% in the four years 2023-2027 (to 1,500 from 1,170 euros), with the increase of minimum wages to 950 euros, i.e. in an amount that will approach 1,000 euros.

What benefits are “linked” to the minimum wage?

Any increase in the minimum wage, however, also affects a number of benefits associated with it. Thus, the readjustment of salaries will entail 19 allowances of the Ministry of the Interior. (formerly OAED), which will be increased in a corresponding percentage to that which will be determined for the minimum wage.

But what are those benefits that are linked to the minimum wages and will those also increase from April or May?

In addition to the unemployment benefit, which will also be adjusted, there are also the following benefits, which are affected:

• Special maternity benefit: This is an amount equal to that of the minimum wage
• Parental leave allowance: This is also an amount that is the same as that of the minimum wage
• End of Unemployment Benefit: Equivalent to 13 daily allowances
• Allowance for a three-month stay in the unemployment registers: 15 daily allowances
• Released Allowance: 15 daily allowances
• Temporary work: 20 daily allowances
• Insolvency of employer: Up to 3 salaries
• Builders’ seasonal: 70% of the 37 daily wages
• Emery season: 70% of 50 daily wages
• Seasonal for artists, theaters, tourism: 70% of 25 daily salaries
• other seasonal (forest workers – resin collectors, tobacco workers, potters – potters – brick makers and shipyard employees): 70% of the 35 daily wages
• Self-employment benefit: Monthly unemployment benefit
• Work allowance: 50% of unemployment allowance
• Reimbursement for EPA Students: 75% of Daily Salary
• Internship allowance (IEK DYPA): 80% of minimum salary
• Gaining work experience: Minimum wage
• Community benefit programs: Minimum daily wage
• Employment programs: Subsidy 50% – 90% of the minimum wage
• For working students participating in exams: 30 daily wages for undergraduates / 10 daily wages for postgraduates

“Winners” and “losers” from the three-year “unfreeze”.

And while all this will become clear before the end of April, on the other hand, the infamous “unfreezing” of the 3 years was activated from January 1st. From this development, there are clearly the “winners” who are none other than those who had already secured some years of seniority by the end of 2012 and will be able to continue recording “miles on the counter” – from where they left off – from January 1 until the three-year upper limits are reached.

Also “winners” are the “newbies” in the labor market and especially those who will start working from the new year, as from then on every day will count towards their seniority for any increases they receive in their salary over the years. “Lost” are all those who got a job and recorded seniority between February 14 and today: The specific years do not count in the “building” of the 3 years, but only the seniority that they will start to “write” from 2024.

Source: enikos

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