Şimşek vows to protect workers against inflation

ANKARA

As discussions to set the minimum wage for 2025 are ongoing, Finance Minister Mehmet Şimşek has hinted at a raise that could protect workers from the impact of inflation.

Speaking at parliament, Şimşek noted that the government has improved salaries and pensions with increases above the inflation rate.

The salary of civil servants in the lowest bracket was hiked 78 percent, while pensioners in the lowest bracket received a 68 percent increase this year, the minister detailed.

The annual inflation rate is currently at 47 percent and will probably be around 45 percent, according to Şimşek.

“The minimum wage is likely to be above inflation,” said the minister.

However, he did not clearly state if the hike in the minimum wage could be above the actual inflation rate.

Currently, the net minimum wage in Türkiye is 17,000 Turkish Liras (around $486).

If the minimum wage is hiked by at least 45 percent, it will come to 24,653 liras.

Due to soaring inflation, the minimum wage was raised twice in 2022 and 2023.

Representatives of the Türk-İş labor union, the Turkish Confederation of Employer Associations (TİSK) and the government held the second round of minimum wage talks on Dec. 26.

At this meeting, the parties did not agree on the minimum wage which will take effect in 2025 for 7 million workers.

The minimum wage commission of workers, employers and government representatives will meet again next week, when the new wage level is expected to be announced.