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The plan to raise salaries in the private sector – Collective labor agreements is the key

REUTERS/Jason Reed

The 65 sectoral contracts and 14 occupational collective agreements recorded in 2010, fell to 16 and 7 respectively in 2023

Only 31.6% of workers in the private sector are covered by a Collective Labor Agreement, something that negatively affects wages.

This is a result of the financial crisis and memoranda, which unfortunately has remained almost unchanged until today.

The 65 sectoral contracts and 14 occupational collective agreements recorded in 2010, fell to 16 and 7 respectively in 2023.

In total, it is estimated that there are only 808,000 private sector workers covered in one way or another by such a collective agreement in 2023. Given that, based on the data of the Ergani system, the total number of salaried workers in the same period was 2,550,090, it follows that only 31.6% of the total workforce had such coverage.

For this reason, the Ministry of Labor is preparing measures to support average wages, which will focus precisely on the better utilization and expansion of sectoral agreements. Therefore, it is estimated that hundreds of thousands of workers will see a real increase in their income.