The Smic will increase: it is an effect of the current inflation. According to the Ministry of Labor, this increase will be between 2.4 and 2.6%, and it will be effective on May 1.
In principle, the minimum wage is revalued each year on 1 January. It is indexed to inflation measured for the 20% of households with the lowest incomes. The revaluation of the Smic is carried out on the basis of half of the gain in purchasing power of the average hourly wage of workers and employees. However, during the year, if the consumer price index increases by at least 2% compared to the index observed when the last amount of the Smic was established, it is automatically increased in the same proportions.
0.9% increase in January
However, the figures published Thursday by INSEE show that the increase in the price index exceeded this threshold in March compared to November 2021, the reference month for the last revaluation in January.
Currently at 1,603 euros gross per month, the Smic should be in a range between 1,641 and 1,647 euros on May 1. Net, it would go from 1,269 euros to 1,299-1,304 euros, an increase of 30 to 35 euros. The gross hourly minimum wage would go from 10.57 to 10.82-10.85 euros. In January, the Smic had increased by 0.9% after an exceptional increase of 2.2% in October, already due to inflation.
In January, the Smic had increased by 0.9% after an exceptional increase of 2.2% in October, already due to inflation.