Minimum wage increase to US$229 postponed until Dec 2021 – finance minister

The minimum wage is to rise to UAH 6,000 (US$211) from January 1, 2021.Photo from UNIANPhoto from UNIAN

Ukrainian Finance Minister Serhiy Marchenko says the increase in the minimum wage of Ukrainian citizens to UAH 6,500 (US$229), which was scheduled for July 1, 2021, is postponed until December 1, 2021.

He made the comment during the Pravo na Vladu (“Right to Power”) talk show on November 26, according to an UNIAN correspondent.

“The increase [in the minimum wage] up to UAH 6,500 was planned for July 1. Now it is expected on December 1,” he said.

“This is explained by the fact that such shock infusions into the economy affect inflation. We discussed the issue with our partners and decided to postpone such a move,” he said.

Background

Earlier, the draft national budget for 2021 provided for a deficit of 6% of GDP, as well as an increase in the minimum wage in 2021 to UAH 6,500, which will take place in two stages – up to UAH 6,000 from the beginning of 2021 and up to UAH 6,500 from July 1, 2021.

(C)UNIAN 2020

What is your opinion?