Government, social partners discuss minimum wage for 2021

  • Lusa
  • 9 December 2020

The national minimum wage is currently €635 and the government, which the Portuguese government aims to reach €750 by the end of the legislature.

Portugal’s government and social partners are discussing the national minimum wage for 2021 on Wednesday with different perspectives, but with the certainty that the new figure will come into force on 1 January next year.

The national minimum wage is currently €635 and the government, which aims to reach €750 by the end of the legislature, has already acknowledged that its proposal could go beyond €659.

At the end of September, the government consulted the social partners on the increase in the national minimum wage and said that the increase to 2021 would have to be less than this year’s €35.

Although no concrete figure was discussed at the time, the employers’ confederations contested the increase in the national minimum wage, arguing with the economic difficulties companies are experiencing due to the Covid-19 pandemic.

The UGT advocated an increase of €35 and the CGTP calls for an increase to €850 in the short term.

In mid-October, the prime minister publicly indicated the possibility of an increase in the national minimum wage of €23.75, the average of the increases over the last five years, which would set this wage at €658.75.

The government has the power to set the annual value of the national minimum wage, after hearing the social partners.

On the agenda for today’s meeting of the Standing Committee on Social Dialogue (SCCPS) is also the preparation for the European Council on 10 and 11 November.

The government and the social partners will also discuss other matters at the CPCS.

The meeting will be held by videoconference, with members of the government attending in person.