The PP instructs its leaders to criticize the rise in the SMI for destroying employment despite the data against it


The minimum interprofessional salary (SMI) was in 2018 at 735 euros for 14 payments. Then, registered unemployment was close to 3.5 million people. Today, the SMI is set at 965 euros for 14 payments, and the Government plans raise it up to 1,000 euros, while registered unemployment is at 3.12 million people, pandemic through. Despite the numbers, the employers have already positioned themselves against an increase of 35 euros per month. This time, the CEOE will have the support of the PP. Those of Pablo Casado instruct their leaders in their internal arguments to attack the rise and point out that it will mean "destroying the productive fabric, slowing down job creation and reducing prosperity."

The Government proposes that the minimum wage rise to a thousand euros per month in 2022

The Government proposes that the minimum wage rise to a thousand euros per month in 2022

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In the prefabricated headlines at the Génova Street headquarters that it usually sends to its leaders and spokespersons so that they repeat their statements to the media, the national leadership reproaches the Government for raising the SMI "even more." "Many companies will pay fewer workers because they will hire fewer people or even have to fire others," adds the argument, which concludes: "The Government will only manage to destroy the productive fabric, slow down job creation and decrease prosperity ".

Despite this "even more", the PP of Casado has always opposed increases in the SMI approved by the Government, first by the PSOE alone and then in coalition with United We Can. Its economists, led by Daniel Lacalle, have predicted over and over again a labor catastrophe due to an indicator that affects around two million people. "It will cost the employer much more to create a job, which will create the shadow economy and unemployment, especially in the most vulnerable sectors, as we have already seen," he said, for example, in 2019.

As the data says otherwise, the speech was slightly modified to justify that the increase in the SMI destroyed "potential employment" that "has been disguised as public employment." Another statement that does not support the statistics. The truth is that private employment is the one that increased the most in 2021.



The PP thus follows in the footsteps of the Bank of Spain, for example, which also pointed out that the rise in 2019 meant "less growth in employment" than could have been achieved. That year, 400,000 net jobs were created in Spain, but the regulator preferred to point out those that hypothetically were not created. Of course, the report recorded another fact: "There may be arguments of equity and improvement in the standard of living of some workers, which are relevant when determining the level of the SMI and which are not the subject of analysis in this work. ".

If the Bank of Spain did not analyze it, others did. The Living Conditions Survey corresponding to 2020 prepared by the National Institute of Statistics showed that the increase in the minimum wage of that 2019 reduced inequality and indices of working poverty. If since the crisis of 2008, the median income has been falling until 2014, where it stood at 13,352 euros, subsequently it has been growing in a band of between 300 and 500 euros each year, until the rise of the SMI of 2019, where with a increase of 6.8%, the highest figure in history was reached with 16,043 euros. Also the Gini coefficient, an indicator used internationally to measure inequalities, was placed after the revision of the SMI of that year in figures prior to the outbreak of the financial crisis of 2008.

Despite these data, the PP insists on its prefabricated argument that "the big ones affected by this measure without consensus will be the least qualified workers, SMEs and the self-employed." Pablo Casado thus returns to align himself with the businessmen, who have rejected the increase in the SMI before finishing the negotiation at the social dialogue table. The national spokesman and mayor of Madrid, José Luis Martínez Almeida, said on Wednesday that his party is "on the side of the businessmen" in this case and that they "have already said they are against it," reports Europa Press. They do so just a week after voting against Yolanda Díaz's labor counter-reform, which did have the endorsement of the CEOE, one of the issues that worked against the Government retaining the majority of the investiture and having to seek a different geometry in Congress to validate the royal decree law.

They achieved it by a single vote and all because a PP deputy was wrong. Then, the PP wielded its autonomy from the bosses and even pointed out that, while the CEOE chaired by Antonio Garamendi watches only for their interests, they do so for those of all of Spain. Now, Pablo Casado's leadership hides behind the businessmen because "they are the ones who create jobs" and criticizes the fact that the president, Pedro Sánchez, does not seek the "social consensus" that did exist just seven days ago.

Díaz has already announced that the Government will imminently approve the new revision of the SMI, whether it has the agreement of the employers or not. The commitment of the coalition Executive is to reach 60% of the average salary in 2023. The Ministry of Labor convened a group of experts who quantified this objective between 1,011 and 1,049 euros for 14 payments.



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