CGTP-Intersindical on Saturday criticized the government’s proposed medium-term agreement on income and agreed with UGT and employers’ federations as it leads to a reduction in purchasing power.
In a statement, the union headquarters points out that the credentials proposed by the government “will cause them to have lower purchasing power at the end of 2023 than workers in 2021”.
“This is not an increase, this is impoverishment”, considers the CGTP, indicating that “the 5.1 percent” [de valorização de salários] proposed contrasts with accumulated inflation in 2022 and 2023, more than 11%”, regarding the agreement to be presented on Sunday by the Prime Minister, António Costa.
For the CGTP, the content of the “agreement for a supposed improvement in income, wages and competitiveness reinforces the reasons for strong mobilization and wide participation in the demonstrations that took place on October 15”, planned for Lisbon and Porto.
The proposal discussed on Thursday during the social dialogue, which will be presented by the Prime Minister on Sunday, includes: an increase in salaries by 5.1% in the following year and by 4.8% in the following year, the increase in the national minimum wage from the current EUR 705 to EUR 760 in 2023 and a 50% increase in costs with the salary increase at the corporate income tax office for companies that increase salaries in line with or above the amounts provided for in the agreement.
UGT and the employers’ confederations CIP and CTP believed that there were conditions for signing the medium-term agreement with the government, but argued that improvements still need to be made.
On the CGTP side, it has been criticized for “continuing to deny the full reintroduction of the more favorable treatment principle, and maintain the blocks that allow employers to blackmail”.
“For the national minimum wage, if the government maintained the intention of a real increase it had in its election manifesto (this increase was based on an inflation forecast already exceeded by events), the minimum wage would be more than €810 by 2023” , he also notes the union center.
The CGTP points out that the accumulated inflation has already taken away the purchasing power of families of workers and pensioners, which is an example of the increases of more than 20% in some products and that “the 760 euros proposed by the government (which in net terms 677 euros) ) mean the aggravation of difficulties”.
The value of the national minimum wage should rise to 850 euros in January, the union defends centrally, acknowledging that the accord contains “some measures in the IRS” that have been “claimed for a long time”.
“What stands out about the deal, however, are measures that will fill the pockets of major employers,” the CGTP criticizes, referring to “tax breaks in the IRC” that “leave the millions of euros in big business profits untouched”.
The medium-term agreement to improve income, salaries and competitiveness will be presented by António Costa to the social partners on Sunday at 3 p.m. in Palácio Foz, in Lisbon
Source: DN
