Economics Spain Minimum Wage Employment Inflation Automation NYC Seattle The impact of a higher minimum wage will depend on how much it is increased. View Sitemap. The increase will move Spain’s legal minimum pay further ahead of neighbour Portugal’s which is around €795 when adjusted for the cost of living. The minimum wage in Spain has once again become the focus of fierce debate within the coalition PSOE / Unidas Podemos government, with calls on one side to raise it again in 2021 being met by pleas on the other side to keep it at 950 euros. This report, as part of an annual series on minimum wages, summarises the key developments during 2019 and early 2020 around the EU initiative on fair wages and puts the national debates on setting the rates for 2020 and beyond in this context. Usage is subject to our Terms and Privacy Policy. In those cases where workers are not paid 14 minimum wages per year, the monthly wage is 1050 euros. The annual national minimum wage per day in Spain stood at 31.6 euros in 2020. Between 2015, when the Socialists took power, and 2019, the minimum wage increased by 14% from 505 to 600 euros, far below neighbouring Spain, where it was 1050 euros. Most countries have a nation-wide minimum wage that all workers must be paid. Valencia: Average Salary, Minimum Wage & Mortgages. Previous minimum wage increases in Spain were of 8 percent in 2017 and 4 percent in 2018, but Hernandez de Cos claims that employer's obligation to pay considerably more will make them fire their least productive workers. Check our database! Most countries have a nation-wide minimum wage that all workers must be paid. 2020, Vacancies, internships, and volunteer opportunities, Pandemic - WageIndicator Team & Flame Interns, Web Traffic National WageIndicator Websites - 2012 - 2019, Data from Salary Check and Salary Survey over the years, About the Minimum Wages Database (English), Minimum Wages in Spain with effect from 01-01-2019 to 31-12-2019, Minimum Wages in Spain with effect from 01-01-2018 to 31-12-2018, Minimum Wages in Spain with effect from 01-01-2017 to 31-12-2017, Minimum Wages in Spain with effect from 01-01-2016 to 31-12-2016, Minimum Wages in Spain with effect from 01-01-2015 to 31-12-2015, Minimum Wages in Spain with effect from 01-01-2014 to 31-12-2014. The minimum wage in Spain is known as the SMI (Salario Mínimo Interprofesional) Spanish minimum wages are expressed as daily, monthly and annual calculations. Minimum wages in Spain stood at EUR 1,050 per month in 2020. The yearly minimum wage of 12600 euros is arrived at by multiplying monthly wage by 14. Monthly minimum wages - bi-annual data. More. While the minimum wage is showing a constant year to year growth in Madrid, average salaries remain the same for the past years. 2019 minimum wage (14 payments): €900.00 per month; 2018 minimum wage (14 payments): €736.00 per month; 2017 minimum wage (14 payments): €707.60 per month; More than 5.5 million people in Spain earn the Spanish minimum wage. “This is the most significant raise of minimum wages since 1977. It will benefit over 2.5 million people, and most of them are women.” The announcement came as a perfect surprise: the newly-elected socialist government under PM Pedro Sánchez raised Spain’s minimum wage by 22 percent to 1050 Euros, making it one of the highest across the EU. Although it is true that, in absolute terms, it ranks 9th among the 22 EU countries that have a minimum wage, 2 this ranking alters substantially once we consider the minimum wage as a ratio of the average wage, an indicator known as the Kaitz index (see the second graph ). For example, a new minimum wage of $20 will have a more significant effect than $10. Furthermore, many states have enacted or proposed legislation to gradually increase the minimum wage by increments over the next several years to reach a specific wage. Tensions are mounting amongst Spain’s coalition government team over plans to increase the minimum wage in the New Year.The Labour Ministry’s Yolanda Diaz revealed a split in the ranks as her department looks to increase minimum salaries from the current €950 a … These show that in 2016 only 7 per cent of employees earned wages falling between the statutory minimum wages of 2018 and 2019. Minimum wages . Spain has a government-mandated minimum wage. Spain approved what it calls a living minimum wage for low-income households in a bid to help its working poor, a problem aggravated by the coronavirus crisis. This is a significant step for a country with historically insufficient redistribution, and it was passed with no dissenting vote. You should expect to earn between $1200 and $1700 each month which is estimated to be enough for a stable and modest living. State Minimum Wages | “A rich country can’t … The employer is responsible for collecting all contributions; as a result, they deduct the amount for the Spanish income tax (IRPF) and social security contributions due under the law. Eurostat provides national minimum wages at monthly rates, meaning that, when the minimum wage is paid for more than 12 months per year, data is adjusted to take these payments into account. Is any of our data outdated or broken? The national minimum wage per month in Spain increased steadily over the last years. The minimum wage in the United States is $7.25 per hour, the 12th highest in the world. but that doesn’t mean it is enough to live on in certain areas. Federal Minimum Wage | Spain's new Socialist government under Pedro Sanchez on Wednesday brokered an accord with unions and bosses lifting the minimum wage 5.5 percent or … The following list provides information relating to the minimum wages (gross) of countries in Europe.. Minimum wages expressed in purchasing power standards The disparities in minimum wages across Member States are significantly smaller once price level differences are eliminated, by applying . Monthly minimum wages - bi-annual data. ← Back to International Minimum Wages Home. The national minimum wage per month in Spain increased steadily over the last years. More. Spain to raise minimum wage by 22% in 2019: PM.