July had been pointed to: Will there be an interim raise for the minimum wage? He announced the new figure

As the 4th month of 2025 is left behind, salaries have evaporated. With the announcement of the 6-month inflation rate in July, will there be a mid-year hike for the minimum wage? How much will the lowest pension be? SGK expert Özgür Erdursun made statements regarding the issue to SÖZCÜ TV.

Here are the highlights from Erdursun's speech...

WILL THERE BE A MINIMUM WAGE HIKE?

We do not expect a mid-year hike for the minimum wage. When this situation arose last year, the government said, 'There was an increase above the targeted inflation,' and thus stated there would be no hike in July. According to the 30 percent increase made, if inflation remains below 30 percent—TÜİK announced 10.06 percent for the first 3 months—inflation will be around 20 percent when July arrives. For this reason, government officials will still say in July, 'We had already made an increase above the expected inflation for the first 6 months,' and therefore, in July, only the 6-month inflation difference will be given to civil servants, civil servant retirees, and SSK and BAĞ-KUR retirees, but it will not be applied to the minimum wage.

HOW WILL PEOPLE MAKE ENDS MEET?

The number of fixed-income earners in Turkey has started to increase with the pandemic period. While the incomes of those with fixed salaries are adjusted according to TÜİK, their expenses are determined by the market. Because they cannot keep up with the increase in their expenses with the increase in their income day by day, the increase in their income results in a real loss. There is a monthly increase, but despite this increase, purchasing power is falling. That is why there should be separate arrangements for retirees, civil servants, and the minimum wage.

However, this arrangement does not exist right now because the minimum wage is increased only once a year. The government decides on the increase of these incomes. But the government cannot decide on the increase of expenses because the market determines that.

Fixed-income earners are bearing the brunt of hunger and poverty figures. Many people in Turkey work for the minimum wage; there are employees earning between 25 and 27 thousand on average. The average pension is approximately 17 thousand to 17,500 liras. When looking at the hunger threshold right now, millions of people have remained below it. The poverty threshold has reached 80 thousand liras. 80 percent of the country is below the poverty threshold.

WOULD A FLAT-RATE RAISE BE A SOLUTION?

The last time a flat-rate increase was made in Turkey was in 2016. In 2016, there was a flat-rate increase of 100 TL. No flat-rate increase was made afterwards; then in 2023, under the name of a welfare share, inflation came out at 19.77 percent. They gave an additional welfare share of 7.45 percent to civil servants and 5.23 percent to SSK and civil servant retirees. However, this proportional increase has no benefit at all.

All retirees mean increases in pensions with the determined rate. This was last done in 2016. Right now, people are trying to live within the struggle of making ends meet. We are experiencing a period where the pension is not enough for rent. Such a situation has not been experienced in Turkey before.

Whether there will be an arrangement in July is being followed closely. Citizens are waiting to see how an arrangement will be made during this process. The lowest pension is 14,469 liras. The amount of money entering the person's pocket will increase by a maximum of 20 percent, which will be 17,250 liras; this is the maximum rate. But it will be around 16,750 to 17,250 liras on average. For a person whose rent is 14 thousand liras, it will rise to 22 thousand liras in July with the rent increase.

32 MILLION FROM RETIREE TO THE STATE IN 25 YEARS

The highest pension corresponds to 195 thousand gross and 130 thousand net. The average monthly tax is 108 thousand liras, which enters the state's coffers as tax every month; 1 million 296 thousand liras annually, and 32 million 400 thousand liras for a person who works for 25 years. The amount they will receive when they retire is 80 thousand liras.