Despite the fact that the new institutional framework of the National Minimum Salary is a base on which Cyprus can build to improve things it does have serious deficits, the National Anti-Poverty Network Cyprus (EAPN Cyprus) has said.
And as a result, it does not operate as a protection for low-income people and does not correspond to the country’s real cost of living, either, it added in a written announcement.
The National Network also said that minimum wages aim to protect from imbalanced salaries and consequently reduce the number of employees depending on social provisions.
Working hours must be defined and agreements between social partners, like for example the Cost of Living Allowance and the collective agreements must be taken into consideration, it added.
The correct formation of the national minimum salary’s institutional framework will contribute to fair competition and consequently must also be supported by businesses while, at the same time, it will secure stability and sustainability for the social insurance fund.
