Raise in minimum wage not enough for Iranian workers
In violation of Iran's own laws, the minimum wage rise has not kept up with the inflation rate, and this may cause more problems and protests in the near future.
Crippling US-led sanctions coupled with domestic macroeconomic mismanagement have left about 12 million Iranian workers, feeding a total population of 30 million, in desperate conditions.
Workers earning a few hundred dollars a month have fought skyrocketing inflation in recent years with empty hands. They literally have no leverage to bargain with the government and private employers over their wages and work conditions, given the lack of independent labor unions.
Last week, the Supreme Labor Council agreed to raise the monthly minimum wage to 6,090,000 rials (nearly $248) from 4,870,000 rials (nearly $195), for the next year starting March 21. The figure shows a 25% increase compared to a year before, but labor activists say that is too little.
The activists criticize the Labor Council — consisting of the minister of cooperatives, labor and social affairs; the minister of industry, mine and trade; the minister of economic affairs and finance; and representatives of employers and workers — for leaving little room for workers to operate. Workers' representatives had called for a 35-40% raise in the minimum wage, considering the inflation rate hovering at 37%, but employers’ representatives rejected the demand arguing that such an increase would cause huge damage to production activities.