The second minimum wage increase for 2022 is beginning to take shape. Initial figures have emerged regarding the amount that will be determined by taking inflation differences into account. Alongside the raise implemented at the start of the year, discussions about an interim increase have come to the fore. July has been mentioned as the likely month for the second increase. If the current reports prove accurate, the raise could amount to 1,744 TRY.
Inflation Figures Will Determine the Second Raise
New formulas have been proposed for calculating the interim minimum wage raise under discussion. Possible amounts for the two planned increases expected in July are now being discussed. AK Party spokesman Ömer Çelik made remarks about the figure that will be determined based on the inflation difference.
Following the recent Central Executive Board (MYK) meeting, Ömer Çelik provided a clear response about the minimum wage figures. Addressing raises for retirees and civil servants, he said: “Requests from tradespeople, retirees and farmers are being monitored and evaluated. We continue to develop different strategies so citizens are not crushed by rising prices. It is not possible to share precise information at this time. When conditions are ready, we will share details,” he concluded.
The Ministry Is Defining a New Roadmap
In addition to these developments, AK Party deputy chairman Erkan Kandemir was asked about the planned July minimum wage increase. Questioners emphasized raises for civil servants and retirees and noted that the increase implemented at the start of the year was insufficient.
In response, Kandemir said: “Our routine work continues. We are preparing measures that will help address the public’s difficulties. When our ministers complete their work, the roadmap to be followed will certainly be shared. The public’s problems are our problems. We will see the next steps together.”
Turkish Statistical Institute Data Clarified
TÜİK (Turkish Statistical Institute) released clear inflation figures for April. As discussions about a minimum wage increase continue, attention has shifted to the four-month inflation rate. The four-month inflation rate came in at 31.71%. This figure implies a definitive level of increase. In particular, the raise for retirees will apply clearly at 31.71%, even if inflation in the next two months were to fall to zero.
Response from the Ministry of Labour and Social Security
As developments and statements continue to evolve, the Ministry of Labour and Social Security also issued a statement on the matter. Attention was again drawn to the six-month inflation adjustment for civil servants and civil servant retirees. The minister said he is waiting for June’s data, and that the main roadmap will become clear once those inflation figures are announced.
Central Bank Publishes Survey Results
The survey results were notable. Expectations for May’s inflation stood at 3.97% in the survey. Market participants’ expectation for June’s inflation was 2.97%. Six-month CPI figures were also discussed, with the CPI expectation reaching up to 968.65. Considering these data, the six-month inflation rate for July was raised as a possibility around 41%.
How Much Will the Minimum Wage Be in July 2022?
Work on how to address inflation will be made more controlled through draft legislation. Once inflation-difference formulas are applied, the minimum wage will see a significant increase. Under current assumptions, the present minimum wage of 4,253.40 TRY could rise to as much as 5,997.30 TRY, taking into account the possible six-month inflation figures. If a new raise is implemented in July, the inflation rate for the second half of the year could also be taken into account at the December meeting.