Minimum wage “may increase” after 2014, says Passos Coelho

He seemed to say it in one breath, and then deny it with another. Playing a deft political game, Portuguese Prime Minister Pedro Passos Coelho met with unionists over the state Budget for 2014 and revealed he is “open to negotiation” over an increase of the national minimal wage. But no sooner had he opened a way forwards, he added: “I did not make any commitments in terms of deadlines or numbers”.

Head of UGT worker’s union Carlos Silva lamented the comments, saying: “We left the meeting with a handful of nothings for 2014”.

Passos Coelho’s decision was almost certainly prompted by the desire to avoid further conflicts with trade unionists. He said after the meeting that it is “important” to ensure a mid-term understanding between the government and unionists, which is why he agreed to review certain, including salaries. But he denied having made any promises.

Said UGT’s Carlos Silva afterwards:“Discussing the subject in the New Year means that any measures will only be implemented later on. I do not think that the increase will come before January 2015.”

Silva added that unions are thus not inclined to sign any social dialogue agreement for the coming year over measures implemented by the troika which will still to be in effect in Portugal.

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