The Turkish Justice and Development Party’s (AKP) 'rise' in workers' minimum wage will completely shrink in two months because of high inflation.
As millions of workers are compelled to work for $420 a month under the threshold of starvation, the recent wage rise of $52 for 2018 will also shrink even before the midyear. Lawmaker Aykut Erdoğdu from the parliamentary main opposition Party (CHP) said, "The rise in minimum wage will be zeroed after two months."
RISES IN MINIMUM WAGE WILL SHRINK IN 2 MONTHS
Stating that the rise in the minimum wage was at the rate of 23 percent in the last two years, Aydoğdu said that the inflation rate was at 21,5 percent in these two years. "Considering these figures, the minimum wage and the rises on the basis of these wages will be completely zeroed within two months," the CHP lawmaker said.
Erdoğdu argued that the Turkish Central Bank’s expectation regarding the year-end inflation rate at 7,9 is unrealistic, adding that the rise in exchange rates will further increase the inflation in the upcoming months.
"The government is paving the way for importation from red meat and livestock to chickpea in order to decrease the prices but this devastates the producers, let alone decrease the importation costs. It is apparent that the government cannot cope with inflation," he said.
According to the last year report on inflation and cost of living, inflation is reflected differently on different segments of society based on the expenditures they made. For instance, the increase in food prices affects the low-income workers more.
While a single Consumer Price Index is released for all income groups, social segments with different income groups and status are in fact affected by the price increases at different levels. As a result of this, the inflation experienced shows incongruity with the official inflation numbers.