The dollar jumped, melted before the minimum wage was paid
The sharp rise in the dollar rate melted the high minimum wage. Although the minimum wage earner has not yet received his salary, the money he will receive has lost 10 percent against the dollar.
According to new figures announced on June 20, the minimum wage was increased from TL 8,504 to TL 11,402. This resulted in a 34 percent increase in the minimum wage.
However, the promise of $500 given before the elections could not be fulfilled and the minimum wage quickly melted against the dollar due to the sharp increase in the exchange rate.
PROMISES FORMER MINISTER
The former Minister of Labor and Social Security, Vedat Bilgin, said in a television program in which he participated before the elections: “We will regulate the minimum wage in July in such a way that real purchasing power is preserved.”
In his speech, Bilgin said: “We made a deal in January that took it to the highest level of more than $455 in dollar terms in the history of the Republic. We will do the same in July. It will be a fee of approximately 500 dollars. Our work is done, ”he said.
BELOW THE NUMBER AT THE BEGINNING OF THE YEAR
As of January 1, 2023, the minimum wage was determined at TL 8,506 net. Calculated using the dollar exchange rate for that period, the minimum wage was equivalent to $455 at the beginning of the year.
With the exchange rate hikes that followed, the minimum wage continued to melt against the dollar. With the increase in the dollar exchange rate after the elections, the minimum wage decreased to $360.
10 percent melted
The net minimum wage, which at the beginning of the year was $455 and then decreased to $360, rose to $482 at the rate on June 20, when the new figure was announced.
However, when the dollar/TL rate, which was 23.57 on June 20, rose to 26 as of today, the minimum wage decreased from TL 11,402 in dollars to TL 438.5 in dollars.
That is, the minimum wage lost 47 dollars in a week against the dollar, before the workers received their salaries. The minimum wage also melted about 10 percent in one week in dollar terms.
With this figure, the minimum wage in dollars remained below the figure at the beginning of the year. Thus, the salary that the minimum wage earner would receive at the beginning of July suffered a strong loss against the dollar before receiving it.