Novo salário mínimo terá reajuste para R$ 1.320 em maio

Brazilian Government Confirms New Minimum Wage

The Brazilian government confirmed on Thursday (27) the new minimum wage which will increase from R$1,302 to R$1,320, starting on May 1st. The announcement was made by the Minister of Labor, Luiz Marinho, after a meeting with President Luiz Inácio Lula da Silva at the Palacio do Alvorada.

The new minimum wage increase was confirmed by Lula in February and is also part of his campaign promises. In the first months of his government, labor unions met with the President to call for a slightly higher value of R$1,391.

The new minimum wage increase represents a 1.5% rise in workers’ earnings, and this minimum wage amount is also used as a reference for many public policies such as, unemployment insurance and the continuous grant benefit (BPC), as well as being the minimum wage for formal and informal workers. In some cases, such as for INSS beneficiaries, the readjusted value will start to be received at the end of May, more precisely from the 25th.

According to the Minister, the President will sign a provisional measure with the new minimum wage increase before the Labor Day when Lula plans to participate in a celebration in São Paulo.

New Minimum Wage Increase Policy

In addition to the readjustment, the President has also given the green light for the Labor Ministry to move ahead with a bill that will change the policy of minimum wage valuation. Representatives of labor unions such as CUT, Força, UGT, CSB, CTB, and NCST have also participated in discussions.

The bill proposes that the minimum wage should be readjusted by taking into consideration the variation of GDP two years before, added to the inflation rate of the previous year. However, the text is still subject to the revision of other ministries before it is submitted to the National Congress.

The new policy of minimum wage valuation is expected to start a new era of increasing labor mobility and improve the living standard of Brazil’s working class. With the increase in the minimum wage, workers will have more disposable income to spend on essential goods and services.

The increase in minimum wage value is expected to bring more equality and reduce the wealth gap in Brazil. Most workers today have lower wages and limited chances of real improvements in their living conditions. Reducing the social and economic inequality in Brazil is a constant challenge, but one that can be overcome by adopting public policies that value human capital and labor.

Conclusion

The new minimum wage increase is an important step towards better economic justice and social inclusion in Brazil. It shows the government’s commitment to improving the living standards of low wage earners and promoting social development.

The new policy of minimum wage valuation will bring long-term benefits to the Brazilian working class, contributing to both greater social equality and economic prosperity. Given the dire economic situation worldwide due to the pandemic, this new policy is a welcome respite for millions of Brazilian workers struggling to make ends meet.