Alicante workers chained to three-year loss in purchasing power

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It happened again. Alicante workers experience third year of loss of purchasing powerThe increase agreed in the agreement in the state in 2023 was 3.22%, compared to 3.55% at which average inflation was finally determined. It is true that the difference has decreased compared to last year, but unions warn that it will rain in wet weather. They will continue to demand equalization between wages and the CPI in negotiations with employers. Meanwhile, businessmen call for moderation Remember that the minimum wage has increased by more than 30% since 2018.

To find the last year in which workers’ purchasing power did not suffer, we have to go back to 2020, when the 1.67% nominal improvement in wages was accompanied by a slightly negative CPI. This is on paper because in practice Introduced in the midst of the coronavirus pandemic, ERTE has eliminated the real impact on the pockets of many employees.

In any case, and from an inflation perspective, the unstoppable increase began from the following year; While we closed the year with an average CPI of 3.6%, negotiated salaries increased by only 1.32%. However, considering that 2022 ended with an average inflation of 8.7% as a result of the war in Ukraine, which increased fuel and electricity prices rapidly, and salaries increased despite the increase, the worst is still to come. It is not at the same rate, it remains at 3.41%. All this caused a total loss of purchasing power among Alicante workers of nearly 1,300 euros over two years..

Yes, in 2023 the same thing is repeated, albeit in a more moderate way, given that the difference between the agreements agreed in the state and the CPI is only three tenths. Considering that the average income per employee is currently 19,112 euros, The loss of purchasing power last year was approximately 57 euros, a much lower amount than in previous years, but this adds to what was already dragging on. On the other hand, the 3.22% salary increase was not uniform; because this rate is a result of adding the 2.87% increase in company contracts and the 3.24% increase in upper-scope contracts.

The loss of purchasing power in the province was greater than in the country as a wholeThe average increase in agreements was 3.48%. However, this rate was lower than the global calculation of the Valencian Community, where the salary change was 2.89%.

Regardless, unions have shown their intention to continue the demands for next year: Wage increases that ensure that workers not only do not lose further purchasing power, but also receive compensation for lost ground. This is stated by the UGT’s general secretary at l’Alacantí and the Navy, Yolanda Díaz Serra, and shows the determination to demand an increase “above the CEOE offer of 4%”. Paco García, president of CC OO in l’Alacantí-Les Marines, expresses himself in similar terms and emphasizes: “In the state we already start with very low wages, an informal economy and high insecurity“It is unacceptable that we have to continue this way.”

Salvador Navarro, President of the Valencian Community Business Confederation (CEV), in addition to reminding the remarkable increase in the minimum wage, underlines the following: “We have negotiated wage increases in collective agreements in accordance with the situation. increases that do not compromise the viability of companies. We should add to this that our structure consists mainly of SMEs that cannot bear more labor costs.” And he concludes his words as follows: “A lot is demanded from businessmen, but prices are not reviewed in public tender processes.”

Criticism of rejection of unemployment benefit reform

The CC OO and UGT unions have lashed out at the parties, especially Podemos, which last Wednesday overturned the unemployment benefit reform offered by the central government, a benefit currently received by about 36,000 Alicante residents, according to the latest data. .

The proposal put forward by Labor Minister Yolanda Díaz envisages, among other things, a gradual increase of the subsidy for new beneficiaries from 480 euros to 570 euros in the first six months. In addition, considering that people under the age of 45, those without family responsibilities and temporary workers in the agricultural sector can also apply, there will be an increase in the number of possible beneficiaries. Another innovation is making the contribution eligible for 180 days of employment and eliminating the one-month waiting period from the end of the contribution until the support can be requested.

With all this, l’Alacantí of the UGT and Yolanda Díaz Serra, secretary of the Navy, argue: “We do not agree with Podemos in any way, because the reform could have been approved to continue progressing in rights and then address the cuts.” They say it is produced for unemployed people over the age of 52.

Paco García, the secretary of the CC OO in the same region, expresses regret at what he calls the “stubbornness” of all the parties that voted against, adding: “They have ignored the real needs of society. Whether there is a prior provision for dialogue in the government text or whether there are specific alternative proposals.” regardless of the unemployed population in general and specifically.

But both centers are confident that the situation can be redirected and the reform will finally be approved.

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