WAGES are set to increase, according to the International Labour Organization (ILO).
ILO also believes that cuts to salaries are soon to be a thing of the past as Spain progresses along the way to economic recovery, in a prediction that echoes the report published by the Organisation for Economic Co-operation and Development (OECD) just a few weeks ago.
In a talk given on Monday September 29 in Madrid entitled España: crecimiento con empleo (Spain: with employment comes growth), the ILO’s Director-General Guy Ryder said that there was no reason to justify new reductions in incomes at the present time.
The ILO did not put a date on when they believed that wages should increase, although Ryder’s report advised to increase salaries in proportion to productivity.
The United Nations-led organistation, which is made up of unions, businesses and governments, is proposing measures which go against current labour reforms.
By recommending establishing quality agreements within individual sectors, the ILO is suggesting change to the current laws which give prevalence to labour agreements made internally within each business.
The report by ILO states that Spain is indeed on the way to economic recovery, with figures indicating that the country is ever closer to leaving the current crisis.
The same report, however, documents how – thanks to the crisis – youth unemployment is still over 50 per cent and that more than 60 per cent of Spain’s total unemployed has been looking for work for more than a year, and 42 per cent for more than two years.