The minimum interprofessional wage is the minimum amount that a worker must receive for the performance of their work activity during a specific period of time. The minimum wage is set each year by the Government, after consultation with social agents, taking into account various factors such as the cost of living, productivity, employment or economic growth.
In this article, we are going to analyze the increase in the interprofessional minimum wage in 2024, which represents an increase of 5% compared to the previous year, and its implications for different sectors and groups. Keep reading!
On February 6, 2024, the Government approved Royal Decree 145/20241, which sets the 2024 minimum interprofessional salary at 1,134 euros per month in 14 payments, or what is the same, 39.90 euros per day or 6.25 euros per effective hour of work.
If you’re wondering, this increase represents 54 euros more per month or 756 euros more per year than the 2023 minimum wage, which had been established at 1,080 euros per month in 14 payments.
And is the increase in the minimum wage for 2024 retroactive? The answer is yes, from January 1, 2024. This means that workers who receive the minimum wage must receive the difference corresponding to the months of January and February in the next payroll. In addition, it is important that you know that the exempt minimum in personal income tax has also been raised to prevent people who collect the minimum wage from having to pay taxes for this concept.
According to the Labor Statistics Bulletin of the Ministry of Labor and Social Economy, the increase in the minimum wage for 2024 will benefit more than 2.5 million people, which is equivalent to one in seven employees in Spain. Of these people, a third are women and young people, who are the groups most affected by job insecurity and the wage gap.
The increase in the minimum wage will also have a positive impact on people who receive social benefits linked to the minimum wage, such as unemployment benefits, the minimum vital income, non-contributory pensions or aid for dependent children. Likewise, the increase in the minimum wage will have an impact on the improvement of the working conditions of people who work in sectors such as commerce, hospitality, the agri-food sector or domestic employment.
This is not the first increase in the interprofessional minimum wage in Spain in recent years. Particularly, in 2019 there was a historic increase of 22.3%, going from 735.90 euros per month in 14 payments to 900 euros. In 2020, the minimum wage increased by 5.5%, up to 950 euros per month in 14 payments. Meanwhile, in 2021, the minimum wage remained at 950 euros, due to the situation of uncertainty generated by the pandemic.
For 2022, the minimum wage was raised by 13.6%, to 1,080 euros per month in 14 payments. And in 2024, the minimum wage has been set at 1,134 euros per month in 14 payments, which is 5% more than the previous year.
An important issue: the increase in the 2024 interprofessional minimum wage is mandatory for all employers and workers, regardless of the sector, activity, company size, type of contract, working hours or professional category. Therefore, no one can pay or receive less than the minimum wage established by law, unless it is an internship or training contract, which has special conditions.
Any situation of irregularity in this regard can be reported, either in a friendly or judicial manner. Likewise, you can report the situation to the Labor and Social Security Inspection. The period to report non-payment of the minimum wage is one year from when the event occurs.
As we explained to you before, the increase in the 2024 interprofessional minimum wage has retroactive effects from January 1. How will this look on your payroll? We explain it to you.
In March, people who collect the minimum wage will receive 1,188 gross euros in 14 payments, which are broken down as follows:
From this amount, Social Security and Personal Income Tax contributions must be deducted, if applicable. In the event that the worker does not have to pay personal income tax, the net payroll will be 1,035.67 €, which is broken down as follows:
Starting in April, the gross payroll will be 1,134 euros and the net will be 991.67 euros, as long as there is no need to pay personal income tax. These amounts may vary depending on the personal and work circumstances of each worker.
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