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Pedro Sánchez today receives the unions and employers in Moncloa

The appointment arrives when the social agents are completing a wage pact with recommendation of up to 3% rises

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Pedro Sánchez today receives the unions and employers in Moncloa

The President of government, Pedro Sánchez, receives on Wednesday at 11 social agents in Moncloa, point out sources of trade unions and employers. From outset, Sanchez has launched message that changes he makes in labour market and social security would have to go through pact with social agents. So did Minister of Labour, Magdalena Valerio, in her inauguration and in subsequent public interventions. This meeting would be a first step in that line. There will be many issues on table, but three are likely to have priority: The wage pact, pensions and labor reform.

More information
  • Employers and trade unions caress a wage pact with a rise that can reach 3%
  • Salaries still do not notice effects of economic improvement
  • Women perceive two out of three of lowest salaries

The first is, of course, most urgent. Last week it was reported that majority unions (UGT and CC OO) already have agreement on what should raise salaries this year and next two. However, important details are missing to close a global compact, so it was not yet closed. Among details to be closed re are two points concerning government, and that outgoing minister, Fatima Báñez, had left very advanced: to facilitate relief contracts (a modality that allows early retirement of older workers and incorporation of young people) and creation of a complementary benefit that helps companies to adjust labour costs in times of crisis without firing, a model taken from German Kurzarbeit.

The or two items on table are older. Pensions have been one of elements that have marked political agenda — and social mobilizations — in early months of year. The PSOE has defended its updating with IPC and maintenance of purchasing power of pensioners repealing reform of 2013. This same Tuesday he has again made his spokesman in Pact of Toledo, Mercè Perea, which has also placed as a priority improvement of financing of Social security.

It is also very likely that we will talk about labor reform of 2012. The PSOE has criticized it harshly in opposition and it is almost certain that unions will demand its abrogation. However, Socialists have very little parliamentary force to make changes without reaching broad political agreements. This would be much easier if you previously weaves pacts with trade unions and businessmen.

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