Home News Minimum monthly wage now EUR 490

Minimum monthly wage now EUR 490

Published on 25/06/2004

25 June 2004

MADRID — Spain has raised the minimum monthly wage Friday to EUR 490 per month.

The Socialist government increased the lowest legal monthly wage by 6.6 percent from EUR 460.50 to the new level.

The change will come into effect from 1 July.

Jesús Caldera, minister for Employment and Social Affairs, said the rise meant that the low-paid will recuperate some of the money which they lost during the previous eight years of conservative government by the Popular Party, when the level was lower.

The increase will benefit at least 600,000 people, who include those who are on the minimum wage and those claiming unemployment benefit.

The government has also changed regulations which mean the minimum wage will no longer be a reference for those applying for social security benefits, for books or scholarships or to live in council houses.

Instead, the government will use a new reference which will apply if a person earns EUR 460 each month on the basis of 14 times a monthly salary.

In Spain, the traditional salary payments are calculated over a 14-mont basis.
Caldera said that the government planned to raise the minimum wage further to EUR 600 by 2008.

[Copyright EFE with Expatica]

Subject: Spanish news