The Portuguese council of ministers, the executive body within the country’s government, have approved a 35-euro increase to the national monthly minimum wage, which will take effect from 1 January 2020. This minimum wage rise did not have the agreement of social partners, who hoped for a more long-term strategy. The government is planning to up the minimum wage to 750 euros per month in 2023. Employers are hoping to be compensated, while some trade unions are hoping to reach a monthly minimum wage of 800 euros in four years. Some 720,000 workers are directly affected by the minimum wage increase in January 2020, but it is estimated that in total more than 1.5 million workers will benefit from the rise.
Government accelerates decision. The Portuguese government decided to increase the monthly minimum wage (SMN) by 35 euros, without awaiting an agreement following dialogue between social partners. Discussions had taken place, however the government faced a short deadline so it could introduce the rise as part of the adoption of its state budget, and therefore imposed its own decision.
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