The lowest possible salary will reach one thousand euros in 2020

The Interprofessional Minimum Wage (SMI) is the minimum gross remuneration amount that a worker must receive for the legal working day, currently forty hours per week, without distinction of sex or age, whether permanent, temporary or seasonal.

The minimum wage is set annually by the government through a Royal Decree. Factors such as the Consumer Price Index (CPI), average national productivity, and the increase in labor's share of national income are taken into account when determining this amount.

For the year 2018, the Council of Ministers on December 29, 2017, increased the minimum wage by 4%, setting the following values:

• Daily minimum wage: €24.53
• Minimum monthly salary: €735.90
• Minimum annual salary: €10,302.60 (14 payments)

The determination of the minimum wage is important in the state's wage system, since it not only establishes a lower limit, but also guides wage negotiations between employers and unions.

The government believes a wage increase is necessary to further boost the country's economic recovery. It anticipates that the minimum wage, paid in 14 installments, could reach 850 euros (approximately 1,000 euros in twelve payments) by 2020.

Furthermore, this figure aligns well with the recommendation contained in the "European Social Charter", which states that the minimum wage should be around 60% of the country's average wage.

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Pau Riera Rey

General Director at Àmbit Assessor

A graduate in Economics from the University of Barcelona, ​​he is also a Certified Actuary, Real Estate Agent, and Insurance Broker.
He furthered his training with courses in taxation, business valuation, and credit management offered by the College of Economists of Catalonia and the Center for Financial Studies (CEF).
In 2000, he became the managing partner of the firm, and since 2011, he has also been responsible for the Finance Department.
For five years, while already a member of the management team at Àmbit Assessor, he also held the positions of Deputy General Manager and Finance Director at Alco Grupo Empresarial.

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