Turkey to raise minimum wage by 8 percent to 1,400 liras

Turkey will raise the monthly minimum wage by 8 percent to 1,404 Turkish liras ($397), Labor Minister Mehmet Müezzinoğlu said at a press conference on Dec. 29 in Ankara, a level that trade unions did not welcome. 

"The minimum wage in Turkey is increasing from 1,300 Turkish liras per month ($368) to 1,404 liras ($397) per month, as of 2017, after we reached an agreement with stakeholders," he said. 

"The wage elevation will be put into force on the first day of the New Year," he added.  

 Traditionally, two levels are marked for the two halves of the year. 

However, the increase will be ineffective as the compulsory individual retirement system will go into effect, which means a monthly 50 lira cut in wages for savings. 

The new gross minimum wage, before deductions for social security premiums and income taxes, is 1,777 liras ($502.6).        

The new wage set by the Minimum Wage Commission, made up of government officials and representatives of workers and employers, is significantly below the demand of workers' representatives.

The Turkish Confederation of Employer Associations (TİSK) was one of the representatives in the minimum wage discussions.

Türk-İş, one of the leading workers' trade union confederations in the country representing the employees' side in the negotiations, refused to sign the declaration of the wage commission. While, Müezzionğlu said he wished Türk-İş had also signed the document. 

Kani Beko, the head of the Confederation of Progressive Trade Unions (DİSK), said the increase was a "fake" one. 

"This increase means that that the minimum wage is still below the hunger threshold," he said.

The main opposition Republican People's Party (CHP) leader...