The Government has announced that the minimum wage (SMI) will be frozen at €645.30 per month (€21.51 per day) for the year 2014.
Under the European Social Charter relating to the recognition of a living wage, the SMI should reach 60 % of the net average wage in the country. In Spain it is in the around 40%. In the EU, only Portugal and Greece have a lower minimum wage.
The minimum wage has risen by 0.6% since the present Government came to power. However, the cumulative CPI (Cost of Living Index) is up by 6.3% during the same period, meaning an overall loss of purchasing power of 5.7%.