[Turkey] President signals that minimum wage could rise by 44% forecast inflation rate

President Recep Tayyip Erdoğan has signalled that Turkey’s minimum wage could rise in December in line with the country’s official year-end inflation forecast of 44 per cent, Financial Times reports.

The president stated that the government would not allow price rises to “crush” workers.

Investors reportedly view this decision as a test of President Erdoğan’s pledge to slow inflation, which reached nearly 49 per cent in October.

A third of the country’s 85 million population earns the minimum wage of TL17,002 ($493) net each month. Labour unions say that this leaves millions living below the hunger threshold, which is estimated at $600 a month.

Quoted in a December 20 statement from his office, the president reportedly said,“We will treat our workers by protecting their purchasing power above inflation. But what really matters is to reduce inflation permanently.” 

Source: Financial Times

(Quote via original reporting)

President Recep Tayyip Erdoğan has signalled that Turkey’s minimum wage could rise in December in line with the country’s official year-end inflation forecast of 44 per cent, Financial Times reports.

The president stated that the government would not allow price rises to “crush” workers.

Investors reportedly view this decision as a test of President Erdoğan’s pledge to slow inflation, which reached nearly 49 per cent in October.

A third of the country’s 85 million population earns the minimum wage of TL17,002 ($493) net each month. Labour unions say that this leaves millions living below the hunger threshold, which is estimated at $600 a month.

Quoted in a December 20 statement from his office, the president reportedly said,“We will treat our workers by protecting their purchasing power above inflation. But what really matters is to reduce inflation permanently.” 

Source: Financial Times

(Quote via original reporting)