The fight for the minimum wage

The Slovak economy is experiencing some of the best times since independence. Despite last year’s slowdown. People are still missing in the industrialized parts of the country. Nevertheless, employers are increasingly sounding the alarm and warning of the threat of redundancies due to the sharp rise in wages.

minimum wage

They are due to the increase in the minimum wage. In January, it rose from 520 euros to 580 euros in gross. However, the most obstacles for companies are those arising from it night and weekend work allowances. While last year working an eight-hour night shift increased the worker’s salary by 9.56 euros, this year by 10.67 euros. He will receive for the worked Saturday instead of 11.96 euros to 13.33 euros, on Sunday up to 26.66 euros instead of € 23.91. Employees have thus become more expensive for companies.

“Slovakia is certainly not losing ground for faster salary growth competitiveness. It is best to see the strength of the domestic economy at record employment and many companies still have difficulty filling vacancies jobs, “said Emil Machyna, chairman of OZ Kovo. It is currently 93¤840 vacancies in the Slovak economy.

Analysts have long warned that Slovakia has an advantage in the form cheap labor will come after the average wage reaches € 1,200. Last year, the average wage in Slovakia reached more than a thousand euros. According to analysts, however, the domestic economy will never be included in the club of the rich countries if its success is built on cheap labor.

“Today, our steel industry is in trouble, which has to face cheap competition from Asia and at the same time did not invest enough in the increase competitiveness, “said Machyna. We have within the whole region according to the head of trade union, the highest productivity per hour worked work. “Now it is being decided whether our companies will continue to have high profits, or they will be forced to give more employees, “said Machyna. Trade unions claim that the Slovak economy is currently waiting for “only” slowing economic growth, but for the coming of the crisis so far does not look.

“Disability has a bigger impact on redundancies than wage growth Entrepreneurs apply to the market, sell their products, services, well do marketing, establish new business partnerships and contracts, “ says Milan Kuruc, an analyst at Working Poverty. In other words, it goes about whether the business model is viable – it brings profit, not height minimum wage, he adds. “The fear of the minimum wage, which will be almost the same as in the Czech Republic or Poland, I consider an effort entrepreneurs keep profits high at the expense of their standard of living employees, “said Kuruc.

Where is the economy chosen?

The future development of the domestic economy will depend on the development in Germany. Local companies saw an 8.7 percent decline last December orders compared to December 2018. “It started again in a big way talk about the threat of recession: instead of a decline in production “only” about the expected Production decreased by 3.5 percent by 0.2 percent. The data showed above all decline in foreign demand, ”said the chief economist of Next Finance Vladimir Pikora. The European Union’s strongest economy was plagued last year trade war between the USA and China. It paralyzed part of the Chinese economy and there was also a decrease in sales of German products in Asia. Dispute between Washington and Beijing seem to be settled, but the production of some businesses in Asia have already managed to paralyze the coronavirus.

In times of impending recession, companies are raising their minimum wage and surcharges very late. “I wonder what the unions will tell people when due to high bonuses, there will be redundancies, “said Martin Hošták, Secretary of the Republican Union of Employers. Everybody good According to him, the farmer is preparing for the arrival of those in good times evil. “Various measures need to be taken to maintain employment, etc. in the event of a sharp slowdown in economic growth, “added Hošták. Warns that we are now going “in the opposite direction and government through populist packages is constantly making it more difficult for business “.

People are fired, for example, by US Steel Košice, which is only in In 2017, it achieved a profit of almost 450 million euros. At the same time due to the high price the Slovak factory of the Korean concern also gets rid of its work Samsung. “From other companies, we have no information on redundancies and most companies are still doing well, “reassures Machyna, head of the unions. Even though some companies will have lower profits due to slowing economic growth, as planned.

It is not possible to save from the minimum wage

Poland has the highest minimum wage in the Visegrad Four region Republic, whose inhabitants work for at least 611 euros gross. On the the second place is the Slovak Republic with a minimum wage of 580 euros and on the third, the Czech Republic in the amount of EUR 575. Significantly lower is the minimum wage only in Hungary, where the weakest earning people work for 487 eur. The minimum wage is lower than in Slovakia in six countries European Union. At least – only 312 euros – are earned by Bulgarians and at most – EUR 2,142 – residents of Luxembourg.

It is very difficult for people working for the minimum wage to save anything. “Due to lower incomes, many Slovaks do not know anything every month save extra. Nevertheless, according to our data, they can on average Slovaks put aside 65 euros a month, “said analyst from Slovakia savings bank Lenka Buchláková. According to statistics, they are the worst single mothers and fathers. “They are among the most endangered groups population who are unable to cope with unexpected financial costs, such as for example, a broken washing machine or car, “added the analyst. People working for low wages, they also have trouble tightening care-related expenses about children.

The Slovak economy is experiencing some of the best times since independence. Despite last year’s slowdown. People are still missing in the industrialized parts of the country. Nevertheless, employers are increasingly sounding the alarm and warning of the threat of redundancies due to the sharp rise in wages.

minimum wage

They are due to the increase in the minimum wage. In January, it rose from 520 euros to 580 euros in gross. However, the most obstacles for companies are those arising from it night and weekend work allowances. While last year working an eight-hour night shift increased the worker’s salary by 9.56 euros, this year by 10.67 euros. He will receive for the worked Saturday instead of 11.96 euros to 13.33 euros, on Sunday up to 26.66 euros instead of € 23.91. Employees have thus become more expensive for companies.

“Slovakia is certainly not losing ground for faster salary growth competitiveness. It is best to see the strength of the domestic economy at record employment and many companies still have difficulty filling vacancies jobs, “said Emil Machyna, chairman of OZ Kovo. It is currently 93¤840 vacancies in the Slovak economy.

Analysts have long warned that Slovakia has an advantage in the form cheap labor will come after the average wage reaches € 1,200. Last year, the average wage in Slovakia reached more than a thousand euros. According to analysts, however, the domestic economy will never be included in the club of the rich countries if its success is built on cheap labor.

“Today, our steel industry is in trouble, which has to face cheap competition from Asia and at the same time did not invest enough in the increase competitiveness, “said Machyna. We have within the whole region according to the head of trade union, the highest productivity per hour worked work. “Now it is being decided whether our companies will continue to have high profits, or they will be forced to give more employees, “said Machyna. Trade unions claim that the Slovak economy is currently waiting for “only” slowing economic growth, but for the coming of the crisis so far does not look.

“Disability has a bigger impact on redundancies than wage growth Entrepreneurs apply to the market, sell their products, services, well do marketing, establish new business partnerships and contracts, “ says Milan Kuruc, an analyst at Working Poverty. In other words, it goes about whether the business model is viable – it brings profit, not height minimum wage, he adds. “The fear of the minimum wage, which will be almost the same as in the Czech Republic or Poland, I consider an effort entrepreneurs keep profits high at the expense of their standard of living employees, “said Kuruc.

Where is the economy chosen?

The future development of the domestic economy will depend on the development in Germany. Local companies saw an 8.7 percent decline last December orders compared to December 2018. “It started again in a big way talk about the threat of recession: instead of a decline in production “only” about the expected Production decreased by 3.5 percent by 0.2 percent. The data showed above all decline in foreign demand, ”said the chief economist of Next Finance Vladimir Pikora. The European Union’s strongest economy was plagued last year trade war between the USA and China. It paralyzed part of the Chinese economy and there was also a decrease in sales of German products in Asia. Dispute between Washington and Beijing seem to be settled, but the production of some businesses in Asia have already managed to paralyze the coronavirus.

In times of impending recession, companies are raising their minimum wage and surcharges very late. “I wonder what the unions will tell people when due to high bonuses, there will be redundancies, “said Martin Hošták, Secretary of the Republican Union of Employers. Everybody good According to him, the farmer is preparing for the arrival of those in good times evil. “Various measures need to be taken to maintain employment, etc. in the event of a sharp slowdown in economic growth, “added Hošták. Warns that we are now going “in the opposite direction and government through populist packages is constantly making it more difficult for business “.

People are fired, for example, by US Steel Košice, which is only in In 2017, it achieved a profit of almost 450 million euros. At the same time due to the high price the Slovak factory of the Korean concern also gets rid of its work Samsung. “From other companies, we have no information on redundancies and most companies are still doing well, “reassures Machyna, head of the unions. Even though some companies will have lower profits due to slowing economic growth, as planned.

It is not possible to save from the minimum wage

Poland has the highest minimum wage in the Visegrad Four region Republic, whose inhabitants work for at least 611 euros gross. On the the second place is the Slovak Republic with a minimum wage of 580 euros and on the third, the Czech Republic in the amount of EUR 575. Significantly lower is the minimum wage only in Hungary, where the weakest earning people work for 487 eur. The minimum wage is lower than in Slovakia in six countries European Union. At least – only 312 euros – are earned by Bulgarians and at most – EUR 2,142 – residents of Luxembourg.

It is very difficult for people working for the minimum wage to save anything. “Due to lower incomes, many Slovaks do not know anything every month save extra. Nevertheless, according to our data, they can on average Slovaks put aside 65 euros a month, “said analyst from Slovakia savings bank Lenka Buchláková. According to statistics, they are the worst single mothers and fathers. “They are among the most endangered groups population who are unable to cope with unexpected financial costs, such as for example, a broken washing machine or car, “added the analyst. People working for low wages, they also have trouble tightening care-related expenses about children.