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Repetition Articles 3 and 4(2) of the Convention. Criteria for determining the minimum wage level and full consultations with the social partners. In its previous comments, the Committee noted that section 4 of the Minimum Wage Act (Official Gazette No. 11/12) defined the national minimum wage as a standard percentage of the country’s gross average rate, and requested the Government to clarify: (i) whether the social criteria enumerated in Article 3 were taken into consideration for determining the level of the minimum wage; and (ii) the role of the Economic and Social Council in the minimum wage fixing process. The Committee notes that: (i) section 4 of the Minimum Wage Act was amended in 2017 (Official Gazette No. 132/17); (ii) section 4(1) of this Act currently provides that the annual adjustment of the minimum wage is based on the national average wage, the consumer price index, and the real growth of the gross domestic product; and (iii) pursuant to section 4(2) of the same Act, the Economic and Social Council provides an opinion on the annual adjustment of the minimum wage prior to its publication in the Official Gazette. The Committee also takes note of the Government’s indications in its report that: (i) the introduction of the minimum wage in 2012 has proven to be beneficial for the economy of the country and that it is thus possible to consider further increasing the level of the minimum wage; and (ii) the social partners were consulted prior to the adjustments of the minimum wage level. Finally, the Committee notes that the Government is receiving technical assistance on the application of the Convention.
Article 2(1) of the Convention. Binding force of minimum wages. The Committee notes the Government’s indication that, under paragraph 18 of the General Collective Agreement for the private sector, in case of difficulties and subject to the union’s approval, minimum wage rates may be reduced by no more than 20 per cent for a period not exceeding six months. Reductions may be even greater if other objective circumstances would so require, in which case the employer is obliged to repay the difference within six months after overcoming the difficulties. The Committee recalls that one of the core principles of the Convention is that minimum wages, once established, have the force of law and may not be subject to abatement. The Committee also recalls that, contrary to Conventions Nos 26 and 99, Convention No. 131 does not provide for possible exceptions to this principle. Subject to any clarifications the Government may provide on this point, the Committee considers that allowing for deviations, however temporary, from the established minimum wage runs counter to the very concept of a minimum wage which is meant to be the minimum sum payable, guaranteed by law and not subject to abatement. The Committee therefore requests the Government to clarify the scope of those exceptional circumstances referred to in paragraph 18 of the General Collective Agreement, and explain how such practice can be reconciled with the fundamental principle of the binding force of minimum wages.
Article 5. System of inspection and sanctions. The Committee notes the Government’s indication that section 264 of the Labour Relations Act provides for a fine in the amount of €15,000 for non-payment of the minimum wage. It also notes, however, that, under the draft amendments to the Labour Relations Act currently under consideration, these penalties are reduced by 50 per cent. The Committee requests the Government to provide additional explanations on the purpose of significantly decreasing the amount – and thus the dissuasiveness – of monetary sanctions.
Part V of the report form. Application in practice. The Committee would be grateful if the Government would provide in future reports up-to-date information on the practical application of the Convention, including, for instance, the approximate number of workers remunerated at the minimum wage rate; statistics on labour inspection results showing the number of visits, violations recorded and sanctions imposed; copies of official documents or studies on minimum wage policy, such as activity reports of any tripartite consultative bodies or economic surveys serving as bases for relevant discussions, etc.