- Díaz experts recommend raising the SMI by 4.9% and raising the business cost by more than 1,100 euros
- The unions maintain the SMI increase of 7%: it would cost almost 1,600 euros more per employee
- Díaz also maintains the reform that would prevent the self-employed from using bonuses to reach the SMI
The increase in the Minimum Interprofessional Wage (SMI) that workers must pay autonomous by its employees by 2027 it already has a first figure on the table. The expert commission which advises the Government and was appointed by the second vice president and Minister of Labor, Yolanda Díaz, recommends raising it one 4,9%from the current 1,221 euros to 1,281 euros per month in 14 payments.
The report is already in the hands of Labor and now opens a negotiation in which the unions maintain a even higher demand. It remains to be seen the position adopted by the business association, which has been warning for years of the risk of repeatedly raising the costs assumed by companies, without taking into account the effects on job creation and the extra costs assumed by the self-employed. Until now, the Government has carried out the latest increases without taking into account the position of the CEOE at the social dialogue tables.
This time, the experts’ proposal would represent a increase of 60 euros per month for employees and an extra cost of about 1,120 euros further for the autonomous for each worker hired full-time, including salary and contributions. The figure would be even higher if the Government heeded the request of the CCOO and UGT unions, which demand an increase of at least 7%. In this scenario, the business cost would increase by around 1,596 euros per year per employee.
The calendar It also adds pressure to the negotiation. The Government intends to approve the new amount of the SMI before the general elections of the next November 29after Díaz instructed the advisory commission to have its recommendation ready before the end of October or beginning of November. Labor will now call unions and business organizations to consult them about the increase, although the Executive is not obliged to reach an agreement with them.
Díaz experts recommend raising the SMI by 4.9% and raising the business cost by more than 1,100 euros
The commission’s recommendation places the SMI in 1,281 euros per month in 14 paymentscompared to the current 1,221 euros. Experts justify the increase in the need to maintain the purchasing power of workers who earn the minimum wage and meet the objective of this income reaching at least 60% of the average wage, in accordance with the European Social Charter.
For a self-employed person who has hired a full-time worker with the minimum wage, the increase is not limited to 60 euros per month what the employee would receive. By adding the business contributions, the total cost would go from around 22,590 euros per year to approximately 23.711 euros. That is, 1,121 euros more per year per worker, about 93 additional euros per month on average.
The proposed increase coincides with inflation in September and October
The 4.9% recommended by experts is in line with the year-on-year inflation recorded in September and October, which stood at that same percentage. The commission considers that this update would prevent the SMI from losing purchasing power, in line with the mandate it had received from Yolanda Díaz.
The minister had defended that the minimum wage should continue to increaseat least, at the rate of prices, so that the workers who earn this income would not lose purchasing power. In addition, the Government wants to maintain the exemption from the SMI in personal income tax during 2027, an issue that the experts have taken into account when preparing their proposal.
The unions maintain the SMI increase of 7%: it would cost almost 1,600 euros more per employee
The committee’s recommendation has not changed the position of CCOO and UGT. The two unions maintain their demand to raise the minimum wage by at least 7% in 2027, which would place its amount at about 1,306.5 euros per month in 14 paymentscompared to the 1,281 euros raised by the experts.
The union proposal would mean a gross annual salary of 18,290.58 euros, about 1,196 euros more than the current 17,094 euros. However, for self-employed employers the impact would be greater than the salary increase, as they would also have to assume the corresponding business contributions.
The cost for the self-employed would increase by almost 1,600 euros per year per worker
With a 7% increase, the estimated business cost of a full-time employee with the SMI would be around 24,186 euros per year. This represents around 1,596 euros more per year than with the 2026 minimum wage, or about 133 additional euros per month on average.
The general secretary of CCOO, Unai Sordo, assured that the unions will attend the meetings called by Labor and will maintain their request for 7%despite the committee’s recommendation. In addition, they demand that salary supplements cannot be used to complete the minimum wage, an issue that they want to incorporate into the negotiation.
The final decision will be up to the Government, which will have to determine whether it adopts the percentage recommended by the experts or approaches the union demand.
Díaz also maintains the reform that would prevent the self-employed from using bonuses to reach the SMI
The increase in the minimum wage is not the only change that can increase the labor costs of self-employed workers with employees. Yolanda Diaz It also maintains its intention to modify the compensation rules and absorption of salary supplements to prevent companies from using certain bonuses to complete the SMI.
The minister assured that the file continues its administrative processing and that the electoral advance has not paralyzed the reform.
The change would especially affect businesses that currently have workers whose base salary is below the SMIbut whose total remuneration reaches the legal minimum thanks to complements such as seniority, night work, dangerousness or incentives.
If these concepts can no longer be computed to reach the minimum wage, the self-employed person would have to increase the remuneration of these employees, with the consequent increase in company contributions.
The reform could make hospitality and commerce payrolls even more expensive
The impact will depend on the final wording of the rule and the salary structure of each business. Not all self-employed workers would be affected: the change would special impact on those who currently resort to salary supplements so that the annual remuneration of its workers reaches the SMI.
In these cases, they could be forced to increase the base salary and assume a higher labor cost than that derived exclusively from the increase in the minimum.
The reform is part of the commitment reached by Labor with CCOO and UGT in the agreement to raise the 2026 SMI. The Ministry began its processing in February, but it has not yet reached the Council of Ministers. Díaz assured last October that the file was following its regulatory course, although he did not specify a date for its approval.
The minister maintains the intention of moving it forward before general elections of November 29but the calendar does not guarantee that it can come into effect before that date.
Source: www.autonomosyemprendedor.es
