European Union Member States' negotiators reached an agreement on June 7 with the European Parliament on common rules for guaranteeing a minimum wage "to ensure a decent standard of living", AFP announced, adding that the amount would not necessarily be the same in all countries.

The text provides for mandatory rules for the 21 European states where minimum wages already exist, Adevarul reported. In these cases, it will be necessary to increase the transparency of setting the minimum wage and facilitate its increase.

The 21 states concerned must assess, with the help of a basket of goods and services at real prices, whether the existing legal minimum wage is sufficient for a decent standard of living.

Socio-economic conditions, purchasing power, productivity levels and long-term development will be taken into account, according to a European Parliament statement. Under the agreement, governments can also apply benchmarks, such as percentages of the average gross wage.

The agreement is based on a proposal put forward by the European Commission in 2020 to combat social dumping and encourage higher wage convergence. 

andrei@romania-insider.com

(Photo source: Shutterstock)