With the increase in the minimum wage, the number of employees paid the minimum wage explodes

2023-05-02 04:14:38

Barthélémy Philippe, edited by Alexandre Dalifard / Photo credit: THIBAUT DURAND / HANS LUCAS / HANS LUCAS VIA AFP
modified to

11h02, the 02 of 2023

On May 1, as Elisabeth Borne announced last April, the amount of the minimum wage is increased by 2.22%. Between 2021 and 2023, the minimum wage has increased by more than 10%. As a result, the number of employees paid the minimum wage explodes since other salaries are not indexed to inflation.

Monday, because of its indexation on inflation, the amount of the minimum wage was revalued by 2.22%. Between 2021 and 2023, the minimum wage, now set at 1,383.08 euros net, has increased by more than 10%. As a result, the number of employees paid the minimum wage explodes simply because other salaries are not indexed to inflation.

15% of employees paid the minimum wage in January 2022

Remuneration just above the minimum wage has increased significantly over the past two years, with an increase of around 6.5% for employees and workers, but to a lesser extent. As a result, some low-income workers are caught up by the minimum wage. A downgrading symptomatic of a moribund economy, according to Bertrand Martinot, economist at the Montaigne Institute. “Our economy is idling and therefore average salaries are progressing little”, he underlines at the microphone of Europe 1. For him, indexing the minimum wage to inflation is essential from a social point of view. On the other hand, “there are negative consequences on the distribution of wages, and therefore it finds itself packed. This discourages collective bargaining”.

“When, in a professional sector, you have the first 3-4 levels which are caught up by the minimum wage, employers say: ‘that’s it, the increases have already been made. They have been decided by the State. For what is wages above, we do not have the means, because the productivity and the margins are not sufficient, ”adds the economist. On January 1, 2022, nearly 15% of French employees were paid the minimum wage, compared to only 12% a year earlier. And they are probably even more numerous today. The record dates back to 2005, with one in 6 employees paid the minimum wage. Its amount at the time was 957 euros.

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