The Government confirms that it will rise 0.9% pensions after the investiture

The minister of Education in functions and the Government's spokesperson, Isabel Celaá, has confirmed this on Friday, after the meeting of the Council of Minis

The Government confirms that it will rise 0.9% pensions after the investiture

The minister of Education in functions and the Government's spokesperson, Isabel Celaá, has confirmed this on Friday, after the meeting of the Council of Ministers, that both the rise in pensions and the minimum wage for 2020 will have to wait for it as the Government, thus increasing the pressure on CKD, which refuses to close the agreement with the PSOE and allow the endowment on the day 5, as desired by the socialists. Pensions, as announced, will rise to 0.9% in 2020, equal to the CPI this year. But does not update the level of benefits until it becomes effective, the investiture of Pedro Sanchez, pending the negotiation with CKD. When you have a Government with full powers, will be uploaded to the pension retroactively to January 1. Also, the announced rise in the minimum interprofessional wage (SMI), which Celáa has not wanted to quantify and is subject to negotiation with United we Can, will have to wait until the formation of the Government. According to Celáa, will rise as agreed by the trade unions and employers, which could take even more time.

The ministers have approved on Friday a decree that sets out measures in matters of taxation, cadastral and social Security in that it points to the rise of pensions according to the CPI, that is to say, 0.9 per cent, in a single movement "in the moment". Asked about the fact that "millions of people are outstanding" from both the update of the pension as of the SMI, Celaá has been limited to confirm that, in fact, they are measures of "high social interest" and to expect that the "practical response to arrive very soon", that is to say, that there is an endowment, "as soon as possible". On the rise in the SMI, has reminded Celaá that the PSOE's proposal is to raise it to the 60% of the average wage "in a legislature," but that will be the "conversation between the social agents that determine the rise. The Government will then, retroactively. Here the key is negotiation

Both measures, in any case, will have to wait to Government. The Executive functions, has decided not to constitute a new Government, following the investiture. “We are confident that this will not go beyond January,” point sources of the Executive. The political blockade has ended up affecting pensions, the minimum wage and remuneration of the officers. Already weeks ago that the minister of Labour, Magdalena Valerio, had publicly expressed his doubts about the possibility that a functioning Government could raise pensions by 0.9% of the announced to the European Commission in the budgetary plan for 2020. The criterion normal of the legal profession of the State is that an Executive who does not have full functions may not make budgetary decisions that commit the next. And, finally, that has weighed on the decisions that traditionally have been adopted in recent years when it has been given to this circumstance.

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On this occasion, in addition, there are other reasons of a political nature. The decision is an added pressure to the parties who are in doubt whether to support a Government headed by Sanchez. The will to defer these increases it is the policy because the Executive itself that was found last fall a loophole to unblock the funds in the system of financing the autonomous regions, despite being in functions.

As has been confirmed by Celaá, the revaluation of pensions is delayed despite the fact that I could have gone up 0.25%, as set out in the current Social Security law, as written from 2013, and then add 0.65% remaining. To avoid such a rise of 0.25 per cent, the Executive has decided to approve a decree law to suspend the norm to expect that in a few weeks an investiture. When you have a Government formed will be able to upload that to 0.9%, which will have retroactive effect from 1 January. Celaá has justified the rise of once the expense would make it in two, not only of cost, but of logistics infrastructure. In terms of the delay, he remembered that pensions are already recovering purchasing power thanks to the 1.6% increase that was approved for 2019, the year in which the CPI will be below, and has made it clear that the rise of 0.9% will be retroactive to January 1, 2020 once approved.

Salary of officers

The same thing happens with the salary of the officials. The Government will only approve the raise agreed upon of 2% to public employees when they constitute an Executive with warranties. In this way, the salary enhancement nor you will see the light with the entry of the new year, but will have to wait a few days or a few weeks until it comes out on a endowment. The minister of Territorial Policy and Public service functions, Luis Planas, has already explained some weeks ago that, legally, a functioning Government could not carry out any such increase. But he clarified that this will be earned on January 1.

By the side of the SMI had not so many doubts legal to approve the raise. Although there are benefits and aids that are linked to their evolution, it seems that the Law of the State does not see obstacles. Here, however, the problems stem from the negotiations to form a new Government and the demands of the social agents. The PSOE and United We are talking to set an objective of SMI for this legislature: the 60% of the average wage. However, on the other hand, trade unions and employers demand that you have with them and not do like last year, when Pedro Sanchez and the leader of we Can, Pablo Churches, agreed to an increase in the floor wage and gave no margin whatsoever to the social dialogue.

To 2020, point sources of Work, the plan is to extend the 900 euros monthly current and secure the commitment of the new Government to negotiate quickly with trade unions and entrepreneurs, a path that takes the SMI to that 60%. The responsibility of carrying out these new negotiations can be put on a minister of the United we Can if, as has been published, Yolanda Diaz just by accessing the portfolio.

Updated Date: 28 December 2019, 05:00

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