Minimum wage

Turkey's new government should accelerate structural reforms, particularly in taxes and the judicial system, as well as support minimum wage payments, Turkish industrialists have said.

G-20 leaders acknowledged that reducing inequality, creating jobs and ensuring inclusion were essential for ensuring stable economies during the G-20 Summit, held in the shadow of terrorism, the flight of refugees from fear and the threat of further economic crises, said the Labor 20 (L-20) in a written statement on Nov. 16. 

The Justice and Development Party (AKP) is looking for ways to ease the burden on companies amid concerns by business representatives about an upcoming hike in the minimum wage. 

The annual cost of a 30 percent increase in the minimum wage, an election promise by the Justice and Development Party (AKP), will cost the private sector 16 billion Turkish Liras, according to the head of the Istanbul Chamber of Commerce (?TO). 

A minimum wage hike in Turkey could boost the Turkish economy, credit agency Standard & Poor's (S&P) said on Nov. 9.

"Increasing the minimum wage could boost domestic demand, increasing household income, and so it would have an effect on tax revenues," S&P credit analyst Aarti Sakhuja said in an interview with Anadolu Agency.

Turkey's private sector has started to make calculations as to how the government's pledged increase of the minimum wage will affect overheads.

After the Justice and Development Party (AKP) secured an unexpected victory in Turkey's Nov. 1 snap election, receiving enough parliamentary seats to form a single-party government for four years, eyes have turned to its economic pledges, which are estimated to require a budget of 22.3 billion Turkish Liras per year.

?I dedicate this election manifesto to the youth,? said main opposition Republican People?s Party (CHP) Chair Kemal K?l?çdaro?lu on Sept. 30, addressing thousands at a party gathering in Ankara. Members of the party?s youth branch were placed on two sides of the stage where he was delivering his speech.

The minimum hourly wage will remain unchanged and it will total RSD 121 (EUR 1) in the year to come, the Serbian government decided on Monday.

The sum does not include taxes and contributions for mandatory social insurance, the Serbian Ministry of Labour, Employment, Veteran Care and Social Affairs released.

Politically driven minimum wage setting around the world is endangering the health of economies and societies, according to a report released on Sept. 2 by the JustJobs Network, a global jobs think tank.