The government has reached an agreement with social partners to increase the minimum wage by 5.5%, slightly less than initially planned for the new legislature. This increase will take effect from January 1, 2020.
On February 4th, the official publication of the new amount of the minimum interprofessional wage for the year 2020 (SMI) was released after it was made public in the media last January. This new amount raises several questions about how it affects the salaries of Spaniards.
Thus, the new minimum interprofessional wage is set at 31.66 euros per day or 950 euros per month plus two extra payments or 1108.33 euros if the prorated payments are included in the payroll, which represents 13,300 euros annually.
The minimum wage is calculated solely as monetary compensation, and in no case may the salary in kind lead to a reduction of the amount.
The salary of 950 euros is understood to be for a full-time day for one month of work, without including in the daily salary the proportional part of Sundays and public holidays.
For the purposes of compensation and absorption, the new SMI will not affect the structure or the amount of the salaries that workers were receiving when the salaries in their annual calculation were higher than said minimum salary (13,300 euros per year).
Temporary and seasonal workers whose services to the same company do not exceed one hundred and twenty days will receive, together with the minimum wage, the proportional part of the remuneration for Sundays and holidays, as well as the two extraordinary bonuses to which, as a minimum, every worker is entitled, corresponding to the wage of thirty days in each of them, without the amount of the professional wage being less than 44.99 euros per legal day in the activity.
For domestic service employees, which takes as a reference for determining the minimum wage for domestic employees who work on an hourly basis, on an external basis, the wage set for temporary and seasonal workers and which includes all remuneration items, the minimum wage for said domestic employees will be 7.43 euros per hour actually worked.
If you require further information or have any questions, please contact us via email at ambit@ambitassessor.com or at our offices.
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She studied Accounting and Taxation at the AELLA study center and Labor Relations at the Afige business school, later specializing in Payroll Management at the Barcelona College of Social Graduates. Her professional activity focuses on business consulting, in which she has extensive experience. In November 2007, she joined the Àmbit Assessor team, where she currently works as a Labor Consultant.
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