In the Ternopil region five myths about the new minimum wage
Initiative to increase from 1 January 2017 the minimum wage to RS 3200 should be the first step in a large-scale government reform of remuneration. The idea of improving the social security of the working population has nothing to do with the many myths that produce their opponents. We have collected the major myths about raising the minimum wage and ready arguments to prove their validity. Myth 1. Raising the minimum wage is premature Raising the minimum wage is fully consistent with economic realities. So, in January of 2014, the ratio of the minimum wage and the actual subsistence minimum was 88.5%. In December of this year, 48.7 per cent. The consumer price index within three years tripled, the minimum wage is only 30%. According to experts, to restore the purchasing power of the citizens to the level of December 2013, the minimum wage should be 2442 of the hryvnia. The decision to raise the minimum wage also takes into consideration the ratio of the minimum wage and its average size. In January 2014 the ratio of minimum and average wages amounted to 38.7 %, in may 2016. – 29,1 % (as recommended by the International labour organization such ratio shall not be less than 50 %, in the EU – 60 %). All this led to the fact that the level of remuneration in our country is one of the lowest in Europe. Raising the minimum wage has not only to bring Ukraine closer to European standards in wages, but also to begin a gradual recovery of the purchasing power of the population. Myth 2. Raising the minimum wage will lead to "leveling" the wage In the event of an increase in the minimum wage at the same time proposed to increase the size of the official salary of worker of first tariff category of unified tariff up to 1600 UAH. That is, until the amount of the approved subsistence minimum. Therefore, the salary of an employee of the first category from the first of January 2016 (relative to Dec 2015ðîêó) will increase by 44%. Accordingly increase the salaries of public sector employees by an average of 50 percent. To this end, the draft State budget for next year is further provided 40 billion hryvnia. Consequently, the average wage of the district therapist of the highest category assigned to 13 the category of unified tariff, will be 4940 hryvnia. The salaries of teachers with the new year intend to raise in the grid tariff at two pay grades. So, the teacher of the highest category will be assigned to 14 category and to almost 5266 hryvnia, and the teacher without category — 3,960 USD. According to the latest data of the State statistics service of Ukraine, in September 2016, among the 7.5 million workers of 38.3%, or 2.9 million received wages to 3000 hryvnia. Another 8.4 percent or 628 thousand workers receive wages in the amount of 3000,01 UAH 3500 UAH. Among the 1.3 million workers in the sector of education 45,1% or 603 thousand receive a salary in the amount of 3000 UAH. Another 10.2 percent, or 136 million in the amount of 3000,01 UAH 3500 UAH. Among 818 thousand workers in the health care industry 55.1 per cent or 451 thousand workers receive wages in the amount of 3000 UAH. Another 11.9 per cent or 97 thousand - in the amount of 3000,01 UAH 3500 UAH. Myth 3. Raising the minimum wage will lead to inflation According to the calculations of specialists of the NBU, the increase in RPMS up to 3200 UAH will not lead to inflation going beyond the planned target of 8% plus or minus 2 percentage points. Instead, the average nominal wage in 2017 will grow by about 23%. Particularly high rates of average wages rise for lower-paid workers. That is, incomes will grow faster than prices. As a consequence, the increase in consumption, primarily of food products. The effect on the balance of payments and hence the exchange market will be minimal, since the additional income will be allocated mainly for goods of domestic production. Myth 4: Increasing the minimum wage will narrow the circle of recipients of subsidies for payment of utilities The increase in the minimum wage from 1 January 2017 up to 3200 hryvnia will not affect the subsidy for the designated heating season the period of 2016-2017 years. To calculate the size of subsidies in this cold season takes into account the income for last (2015). Correction of the amount of subsidy given the increase in wages will be held for the next heating season. Myth 5: After raising the minimum wage will increase the tax burden "uproschentsev" According to current rules, a single tax rate for "uproschentsev" groups 1 and 2 is indeed linked to the minimum wage. But the Government took care of the preservation of small business and proposed to abolish this binding. The following year, the size of the single tax rate for single tax payers of group 1 (with an annual income of 300 thousand UAH.) will be calculated on the basis of size of the subsistence minimum, UAH 1,600. This was reported in the Ternopil regional state administration.Ïåðåâåäåíî ñåðâèñîì "ßíäåêñ.Ïåðåâîä÷èê": translate.yandex.ru.
Source: http://uzinform.com.ua/
