Sándor Czomba: the three-year wage agreement means security for both employees and employers

By: Trademagazin Date: 2024. 11. 26. 09:57

The three-year wage agreement provides security and predictability for both employees and employers, the State Secretary for Employment Policy of the Ministry of National Economy (NGM) emphasized on Tuesday in the morning program of the M1 current affairs channel.

Sándor Czomba said: the agreement shows “where we are going and what we want to achieve”.

Based on the signed three-year wage agreement, the minimum wage will increase by 9, 13 and 14 percent in the next three years, and the guaranteed minimum wage by 7 percent next year; according to the State Secretary, this is an acceptable compromise. The government is counting on 3.4 percent GDP growth and 3.2 percent inflation next year, so wage growth will be dynamic – he indicated.

The government would still like to maintain that the minimum wage will reach fifty percent of the regular average gross earnings by 2027, and around 400 thousand forints in January 2028, which is achievable

– said Sándor Czomba.

The State Secretary explained that the minimum wage directly affects 211 thousand people, but it has a much greater impact than that, because it pushes up the wages above it. At the same time, this significant wage dynamics cannot be maintained without improving productivity, and companies must prepare to increase their efficiency in the coming period, he emphasized.