The first interprofessional table of dialogue between CCOO and UGT did not reach an agreement on the percentage increase for the interprofessional minimum wage (SMI). The negotiators aim to craft a proposal that includes a raise and plan to revisit the matter at a December 11 meeting with new ideas to drive the discussion forward.
After a nearly three-hour session, the confederal secretary of CCOO Union Action, Mari Cruz Vicente Peralta, and Fernando Luján de Frías, deputy secretary-general for social policy, said the initial meeting did not yield an agreement. However, they introduced a new proposal focused on indexation and on transferring contracts with the public administration to the SMI framework to keep workers protected under the system.
Luján noted that the discussion reflected CEOE’s request to update contracts that the State maintains with workers, provided the update ensures employment stability for public administration employees. Vicente Peralta stressed the importance of opening this process to guarantee that the SMI applies to workers not covered by collective agreements.
During the session, UGT and CCOO emphasized the objective of updating the SMI to no less than 60 percent of the average salary and to reflect the rise in the cost of living. They argued that safeguarding the purchasing power of families would be essential for an eventual agreement. Luján reiterated that the focus was on parameters and targets rather than fixed figures, provided the 60 percent benchmark and preserved purchasing power are met.
With that framework, the participants scheduled another meeting for Monday, December 11, to advance the discussion on the new parameters introduced in the first session and to determine margins for agreement among the parties. Vicente Peralta suggested that the team would review the ideas discussed and search for convergence around potential percentages at the next meeting.
They reiterated that the CEOE offer was inadequate
The attendees also repeated CEOE’s position that a 3 percent increase in 2024 and another 3 percent in 2025 is insufficient. They argued that the 2024 increase should also reflect wage growth, noting that wages have risen by more than 5 percent in the current year.
CCOO emphasized that the calculation should consider that wages have climbed significantly this year, more than 5 percent, and that this should feed into the average salary and the resulting update, given that official figures refer to 2022 data for the SMI in 2024.
Luján assures that he has no job offers
When asked about a potential offer from the Ministry of Labor, Luján stated that no such offer had been presented. He added that the government should respect the positions of the parties and listen to them before proposing any measures, but there was no concrete proposal from the government in this round of talks.
Nevertheless, according to information from the Ministry of Labor and Social Economy, Yolanda Díaz’s team viewed a 4 percent increase for 2024 as a positive development. This figure aligns with the increase agreed upon in the 2023-2025 collective bargaining agreement between unions and employers.
A 4 percent rise would lift the SMI from €1,080 per month to €1,123.2 for fourteen payments. However, the base for the 2024 increase remains linked to inflation, which the Labor party wants to protect to reduce the number of workers earning less than a livable wage.
The aim is to help roughly two million workers not covered by collective agreements preserve their purchasing power. If inflation remains a factor, the target is to prevent a further loss in real income for those workers during 2024.
Recommendation to unions and employers
Business organizations, which had signaled openness to raising the SMI, urged limiting the increase to 3 percent for both 2024 and 2025. Yet, neither Díaz nor the unions were easily swayed, and the discussion continued with a focus on balanced outcomes.
UGT and CCOO also criticized the CEOE proposal as insufficient and urged consideration of not just the overall consumer price index but also changes in prices for essential goods, noting that factors such as food costs should be included in the calculation.
The unions have not yet offered a fixed percentage for the SMI increase but have previously supported raising the SMI to 1,200 euros per month, which would be an 11.1 percent increase from the current level. Both the government and the unions share a goal of setting the SMI at 60 percent of the average wage as recommended by the European Social Charter. The National Institute of Statistics recently reported that the average Spanish gross salary in 2022 was 2,128 euros per month, which would place 60 percent at around 1,277 euros monthly.
CCOO general secretary Unai Sordo insisted that the SMI should rise faster than the CPI in 2024, aligning with the pace of wage growth. He noted that average wages rose about 5.2 percent in the second quarter, and suggested that the minimum wage should follow that trajectory in 2024. He emphasized that the government’s position should shift in light of wage trends rather than relying solely on CPI figures. Sordo cautioned that the government must engage with the unions and employers on this approach and not simply rely on inflation metrics.
In remarks captured by RNE and reported by Europa Press, Sordo argued that the focus should extend beyond CPI and allow the SMI to gain purchasing power, which is essential given the rising cost of staples and basic goods. CEOE president Antonio Garamendi acknowledged the desire to increase the SMI and anticipated a result near five percent for 2024, while also urging consideration of the impact on businesses when deciding on any rise.