DEM Party announces minimum wage demand

Sevtap Akdağ Karahalı, Deputy Co-Chair of the Peoples' Equality and Democracy Party (DEM Party) responsible for the Labor Commission, announced the party's views on minimum wage negotiations at a press conference held at the party headquarters today.

Here are the highlights from Karahalı's speech, in which she stated that the minimum wage should be at least 25,000 TL:

"THE MINIMUM WAGE HAS BECOME THE GENERAL WAGE"

“According to Social Security Institution (SGK) data, 41.15 percent of wage earners have an income at the minimum wage level. This rate is 46.30 percent in the private sector. The rate is even higher among female workers. However, these data only include registered workers. When we add unregistered and migrant workers, 66 percent of those working in the private sector work for the minimum wage. When we also consider those who earn up to 22.6 percent more than the minimum wage, we see that 81 percent of wage and daily earners receive pay at this level. In other words, 18 million 821 thousand people are trying to live on a wage between 11,400 TL and 13,976 TL. These data show that the minimum wage has become the general wage, even exceeding the average wage. While the number of workers earning above the minimum wage is gradually decreasing, the number of workers earning the minimum wage or close to it is increasing rapidly. Other wages must also be increased at least at the same rate as the minimum wage increase. Otherwise, all wages will be equalized at the minimum wage level. One of the functions of the minimum wage is to be a fundamental tool for both combating poverty and regulating income distribution. However, at the point we have reached, it is clear that this function has disappeared.

"IT SHOULD BE 25 THOUSAND LIRA"

The official inflation rate cannot and should not be the primary parameter for the minimum wage increase. It is clear that the inflation announced by the Turkish Statistical Institute (TÜİK) does not reflect the reality. Therefore, it is unacceptable to base the calculation on an inflation rate that has nothing to do with reality and to determine a figure slightly above it. On the other hand, wages and the minimum wage should not be determined based on targeted inflation. There is no connection between targeted inflation and realized inflation. The target has never been met. In fact, the targeted inflation for 2023 has been revised many times. When determining the minimum wage, the fact that it must cover the expenses of dependents, not just a single person, must be taken as a starting point. For this reason, multiple economic parameters such as the hunger and poverty threshold, the cost of living for a single person, the real inflation rate, and growth rates must be taken into account. Furthermore, it should be calculated by considering the lowest public worker wage and the lowest civil servant salary. For this reason, the minimum wage should be at least 25,000 TL. The poverty threshold has reached 50,000 TL. Türk-İş has announced that the hunger threshold has risen to 14,025 TL and the monthly cost of living for a single worker has risen to 18,239 TL. According to ENAGrup, the Consumer Price Index was 129.27 percent in November. Today, the lowest civil servant salary is 20,352 TL. This amount will be at least around 26,500 TL in January. The lowest public worker wage is 24,500 TL, and this amount is expected to be at least 26,500 TL and at most 34,500 TL in January. When these parameters are taken into account, the minimum wage should be at least 25,000 TL.

"INCREASES SHOULD BE MADE EVERY 3 MONTHS"

Updating wage increases every 3 months is a necessity under high inflation conditions. In periods when inflation remains high, it is a necessity to make wage increases at short intervals in order to reduce the loss in wages. In this respect, the minimum wage increase should be made every 3 months. The Minister of Labor said, 'There will be a single raise because that is what our regulation says. Our Minimum Wage Regulation says once a year. In very mandatory circumstances, such as an earthquake... Last year, we made the second raise to the minimum wage upon the instruction of our President.' This statement is entirely wrong. Article 7 of the Minimum Wage Regulation says, 'The minimum wage shall be determined at least every two years.' Therefore, it can be determined every 3 months or every 6 months. It has been determined twice a year many times, not just during the earthquake period.

"WE WILL FIGHT"

The minimum wage must be determined in a way that covers all the essential needs of the worker together with their family and at a level worthy of human dignity. Due to the high inflation experienced, the minimum wage should be determined every 3 months. The extension mechanism included in Law No. 6356 should be operated, and collective bargaining agreements should also be applied to non-unionized workplaces. The Minimum Wage Determination Commission should be abolished, and the process of determining the minimum wage should be reorganized as a collective bargaining process. In case of a dispute, legal guarantees should be provided for workers to exercise their rights to collective action, including strikes. For those working for the minimum wage, electricity, water, and natural gas usage should be free up to the limit of basic needs. Domestic labor should be provided with social security, and equal pay for equal work should be ensured. Women's poverty must end. Basic public services such as health, education, and transportation should be in the mother tongue and free of charge. The lowest pension should be increased to at least the minimum wage level. A basic citizen's income should be provided to people without income under certain conditions. Resources should not be used for war and armament, but for the basic needs of the peoples. The demands we underline here and the demands we fight for are the reason for our existence. In the coming period, we will fight everywhere we are to raise the minimum wage to a level where one can live humanely."