President Recep Tayyip Erdoğan announced that the net minimum wage to be applied in 2023 has been determined as 8 thousand 506 liras.
President Erdoğan held a press conference with Vedat Bilgin, Minister of Labor and Social Security, and Özgür Burak Akkol, President of the Confederation of Turkish Employers' Unions (TİSK), at the Presidential Complex. He stated that they met under the auspices of Bilgin, Minister of Labor and Social Security.
Reminding that at the end of a series of meetings, the employers and employees could not agree on a common figure, President Erdoğan said that as the government, they respectfully welcome the proposals and justifications of all parties.
Noting that each segment adopts an attitude in line with their own priorities, sensitivities and interests, President Erdoğan said: “Our duty is to ensure that the most accurate, fair and sustainable results emerge for our country and nation. We do not consent to the defeat of the rights of our workers, nor the harming of employment by placing a burden on our employers that they cannot handle.” he said.
Emphasizing that they are making sincere efforts to reach a reasonable point of agreement between the parties by addressing the issue from this perspective, President Erdoğan continued his words as follows:
“We would like the employee representatives to be with us today as well. However, since neither of the parties participated, we could not leave the minimum wage, which determines both the minimum wage level to be received by the employees and many incomes indexed to it. As a matter of fact, although the parties could not reach an agreement in the past years, there were many minimum wage negotiations that were concluded by the government. This time we did so. The minimum wage figure that we will explain is in line with the general economic and social outlook of our country. It is a fact that we have achieved the most tangible results of our efforts to grow in Turkey through investment, employment, production, exports and current surplus. Today, our country has reached the highest number of employees in its history with 34,7 million employments against a workforce of 31,6 million. Moreover, this level has been achieved at a time when the participation of our women in the workforce has broken a record.”
“We use it for the quality of life of 85 million”
Expressing that Turkey's continued and increased development is followed with interest all over the world at a time when the global crisis has seriously shaken even developed countries, President Erdoğan underlined that Turkey's every achievement is used to improve the quality of life of all 85 million citizens.
Stating that it is possible to see the traces and results of this effort in every field from social assistance, from encouraging investments to supporting industrial and agricultural production in working life, President Erdoğan reminded that they have resolved many demands with this understanding in the past weeks, from the additional indication of public servants to the recruitment of contracted employees.
Underlining that no one should doubt that they are acting with the same approach when determining the minimum wage figure for 2023, President Erdoğan said:
“This is how we will determine the rate of increase in civil servants and pensions. We will continue to put at the disposal of each and every one of our people the opportunities that Turkey, which develops, grows and becomes stronger by being kneaded in the grip of a scorpion, gained through great sacrifices. As it is known, in our country in 2002, I underline and insist that the minimum wage, which was 184 liras, increased 30 times in nominal terms and 142 percent in real terms, which is also very important in our period. Last year, we increased the minimum wage by 50 percent, taking into account the conditions of those days, to a net amount of 4 thousand 253 liras. Not only that, we also abolished the Income Tax and Stamp Tax taken from the minimum wage. In addition, we have included as much as the minimum wage of all incomes within the scope of this exemption. The high increase in inflation during the year led us to raise the minimum wage to 5 thousand 500 liras with a new regulation in July. While we are doing all this, let's not forget that we have the bag of this state on our backs.”
“Those who do not have a basket on their backs throw”
Reminding that there are steps taken in infrastructure, superstructure, education and health in Turkey, President Erdoğan said, “Along with all this, we are making these calculations by weaving knot by knot. Thus, we achieved an average of 80 percent and a cumulative 95 percent increase in the minimum wage during the year.” said.
Stating that they are following a path that protects both rights and balances in this critical period when their struggle to get Turkey out of the grip of interest, exchange rate and inflation started to reap the benefits, President Erdoğan shared the following:
“But of course, those who don't have panniers on their backs throw them. He said, 'We will give this much, this much, etc.'... Because he has no problem. The horse, wherever it goes. But we, our country with a population of 85 million, are very sensitive and there is an increase of more than 1 million this year, that is, it is possible for our population to exceed 86 by the end of the year. We have to consider all these. Now, with this month, we will witness the rapid decline in inflation rates. We are determined to reduce inflation to 30 percent in the middle of the year and 20 percent at the end of the year. We ask every part of our country, every citizen, to make their calculations according to this goal. While determining the minimum wage, we have adopted an approach that will both compensate for past losses and support our inflation forecast for the next year. If we encounter an unexpected picture, we do not hesitate to make an interim adjustment, just like last year. As a management that has increased the income and welfare level of our workers, laborers and employees like every segment of our country, we will not allow anyone's rights to be lost from now on. We exist with our nation, we exist for our nation. We will continue to exist together with our nation. Like all other issues, we are taking the steps regarding the minimum wage with this feeling.”
“This has folders”
Thanking Vedat Bilgin, Minister of Labor and Social Security, and Özgür Burak Akkol, Chairman of the Board of TİSK, for continuing the process of determining the minimum wage with precision, President Erdoğan announced the new minimum wage figure.
According to President Erdoğan's statement, in 2023, the gross minimum wage will be 10 and the net minimum wage will be 8 lira. While the rate of increase in the net minimum wage was 8 percent compared to January and 506,80 percent compared to July, the annual average increase rate was 100 percent.
Emphasizing that they took these steps by considering all the implications of the minimum wage, President Erdoğan made the following assessments:
“The announced figure is not a final figure in terms of the cost to the state and the employer. It has some folds. This cost increases even more. On the other hand, let's not forget that as a state, we have an important pannier on our back. This pan is always full. With the steps we have taken in infrastructure, superstructure, health, education, and transportation, Turkey is in a very different entrance to the new century. In the past, we always said 'whatever is in the west will be in the east and southeast'. Now we are making an effort to realize them on the one hand.”
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