Federal government plans to increase minimum wage on Labor Day

the value of minimum wage is under discussion to be readjusted above current inflation. Last Sunday (12), Luiz Marinho, Minister of Labor and Employment, through an interview granted to TV Brasil, announced that it will be necessary to calculate the increase to fit the budget for this year.

If the proposal is approved, the readjustment will take effect from May 1st, the date that celebrates Labor Day.

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The minimum wage for 2023 was readjusted in the first days of the year, becoming R$ 1,302 – previously, the value was R$ 1,212. In an interview with the Brasil em Pauta program, the Minister of Labor informed what could be decided:

“We are discussing the search for fiscal space to change the value of the minimum wage this year. If there is fiscal space, we will announce a change to May 1st”, informed Luiz Marinho.

The readjustment planning is being elaborated according to the fine-tooth comb that should be completed for the Bolsa Família, which should yield R$ 5 billion for the public coffers.

Minimum wage readjustment and the Valorization Policy

The readjustment of the national wage floor is accompanied by the Valorization Policy, another priority of the ministry to come into force. Minister Luiz Marinho stated that this line had positive results in the previous governments of Luiz Inácio Lula da Silva (PT), the current president.

“We were able to show that it was possible to control inflation, create jobs and increase income, increase the salary mass of workers from all over Brazil, driven by the Minimum Wage Valorization Policy, which consisted of, in addition to inflation, to guarantee the real growth of the economy to give sustainability, to give predictability, to give credibility above all to all agents. It is important that economic agents, the business community, mayors, governors know what the predictability of the wage base in Brazil, and the minimum wage is the main wage base in Brazil”, stated.

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