Cyprus begins discussions over the adoption of minimal wage

The Cyprus authorities and the social companions (commerce unions and industrialists and employers) held the primary session of the Labour Advisory Physique for the adoption of minimal wage by the top of 2021.

Throughout at this time’s assembly, a consultant of the Worldwide Labour Organisation (ILO) introduced the essential parts of examine carried out by the ILO for the adoption of a minimal wage in Cyprus. The adoption of the minimal wage was initially scheduled for 2020 however the authorities postponed the undertaking because of the Covid disaster.

Talking throughout the assembly, Finance Minister Constantinos Petrides stated the situations within the labour market favour the adoption of minimal wage. He careworn {that a} right adoption would have many advantages for the labour market however cautioned that adopting a minimal wage in a mistaken means might result in distortions.

“On the financial coverage facet, we take into account the implementation of a minimal wage as essential however we have to ensure that this may be decided at all times within the context of social dialogue and with scientific means,” he stated.

He famous that if a minimal wage is adopted with an accurate mechanism the advantages might be ample as it will result in lowering inequalities, would enhance productiveness, would result in a smoother functioning of the labour market and would forestall exploitation.

“If applied within the mistaken means, then it could create different distortions which can result in the rise of unemployment or enhance black (undeclared) employment one thing all of us want to not occur,” he famous.

On her half, Labour Minister Zeta Emilianidou stated the timeframe gives for the finalisation of the minimal wage by the top of 2021.

She recalled that since 2019 the Ministry in collaboration with 9 EU member-states commissioned a examine by the ILO with financing from the European Fee over the adoption of a minimal wage.