Alexey Konstantinovich Tolstoy It was early spring, the grass was barely growing...
Important news about the minimum wage. In 2017, the level of the minimum wage will be indexed in July, and not in January. At the same time, the increase is provided for only 4%, instead of the promised 17.33% of the last established value of 7.5 thousand rubles.
What's happened?
Back at the end of December 2016, Russian President Vladimir Putin signed Federal Law of December 19, 2016 N 460-FZ“On amendments to Article 1 of the Federal Law “On the Minimum Wage”, aimed at increasing the minimum wage. The government proposed to increase the minimum wage (minimum wage) from July 1, 2017 by 4% to 7,800 rubles. As a result, there was no traditional increase in the minimum wage from January 1 in 2017. Nor will there be an increase of 17.33%, announced before the elections in September. Then Deputy Prime Minister of the Russian Government for Social Affairs Olga Golodets told reporters that the budget for 2017 had already included a new minimum wage level.
It turned out that there is no money in the budget for such excesses and an increase in the minimum wage is possible only by the level of actual inflation at the end of 2016, namely by 4%, and only in the summer. Perhaps this decision is also related to concern for entrepreneurs, since with an increase in the minimum wage from January 1 by 17.33%, the amount of insurance premiums for them would immediately increase by 42%. The increase in the minimum wage in July 2016 was reflected in the amount of insurance premiums only in 2017, when contributions “for yourself” amounted to approximately 28 thousand rubles per year instead of 23 thousand rubles that entrepreneurs paid in 2016. True, the Ministry of Finance has already worried about this and the bill on freezing the minimum wage for these purposes for two years.
When considered by the relevant State Duma committee, deputies noted that:
The new law concerns approximately 890 thousand people, of whom 72% are employed in the public sector.An increase of 300 rubles is better. Although initially the Ministry insisted on indexation at the rate of 5.2%. But the budget situation is difficult. In addition, in 2016 we managed to take a serious step by increasing the minimum wage by almost 21%.
Minimum wage and its importance for the economy
The minimum wage is established by the Government of the Russian Federation annually on the basis. Amendments are made to the law, which are approved by the State Duma and the Federation Council, and then signed by the President of Russia. Typically, changes in the minimum wage occur once a year, however, in 2016 this indicator twice:
- From January 1, 2016, the minimum wage was 6 thousand 204 rubles
- From July 1, 2016, the minimum wage was 7 thousand 500 rubles.
The increase in the minimum wage in July 2017 will not affect the amount of insurance premiums, since the law provides for only a one-time recalculation during the calendar year. Entrepreneurs talked about this earlier
From October 1, 2017, the minimum wage in Moscow will increase by 1,100 rubles - from 17,642 rubles to 18,742 rubles. This is provided for by the draft tripartite agreement between the Moscow government, the Moscow Association of Trade Unions and the Moscow Association of Employers dated December 15, 2015 No. 858-PP and by Moscow Government Resolution No. 663-PP dated September 12, 2017.
How is the minimum wage related to the cost of living?
The minimum wage in Moscow is tied to the subsistence level. If the cost of living becomes higher, then from the next month the minimum wage will also increase (clauses 3.1.1, 3.1.2 of the Moscow Government Decree dated December 15, 2015 No. 858-PP). The cost of living in the second quarter of 2017 in Moscow was equal to 18,742 rubles - Moscow Government Decree No. 663-PP dated September 12, 2017. In this regard, from October 1, 2017, the minimum wage is 18,742 rubles.
What does the capital's minimum wage include?
The new minimum wage from October 1 (18,742 rubles) should already include all types of bonuses and additional payments to employees, except for additional payments:
- for working in harmful and dangerous working conditions
- for overtime work;
- for work at night;
- for working on weekends or holidays;
- for combining professions.
It is also important that with the new Moscow minimum wage from October 1, 2017, you need to compare the amount before deduction of personal income tax. That is, if the employee worked the full working time for October. This means that he will receive at least 16,305.54 rubles in his hands. (RUB 18,742 – (RUB 18,742 x 13%).
How to apply the new minimum wage
Any subject of the Russian Federation (including Moscow) can set its own minimum wage. But it cannot be lower than the minimum wage approved by federal law (Article 133.1 of the Labor Code of the Russian Federation). From July 1, 2017, the federal minimum wage is 7,800 rubles.
If the salary in Moscow to be calculated for October, November and December 2017 is lower than the minimum wage (18,742 rubles), then the employee must be paid extra. And from October 1, 2017. You can set the surcharge in two ways:
- increase salary;
- establish in a local act (for example, a separate order or Regulation on remuneration) an additional payment up to the minimum wage. That is, it should be directly stated that employees are given an additional payment up to the regional minimum wage. Then there will be no need to review salaries or change employment contracts.
Read also Insurance premiums for individual entrepreneurs “for themselves” in 2017: new sizes
An employee whose salary in Moscow is less than the new minimum wage may demand:
- additional payment for the period of validity of the new minimum wage from October 1, 2017;
- compensation for delayed payment from October 1, 2017 (Article 236 of the Labor Code of the Russian Federation).
The minimum wage in Moscow from October 1, 2017 does not affect the amount of benefits. Benefits are calculated based on the federal, not regional minimum wage.
If the salary is less than 18,742 rubles
If the Moscow salary for October, November and December 2017 is lower than the minimum wage, then the employer may be brought to administrative and criminal liability. An individual entrepreneur or director of an organization may be fined in the amount of 1,000 to 5,000 rubles, and an organization – from 30,000 to 50,000 rubles. (Part 1 of Article 5.27 of the Code of Administrative Offenses of the Russian Federation).
For a repeated violation, directors may be fined from 10,000 to 20,000 rubles. or disqualify for a period of one to three years. Fine for individual entrepreneurs for repeated violation: from 10,000 to 20,000 rubles, for a company – from 50,000 to 70,000 rubles. (Part 4 of Article 5.27 of the Code of Administrative Offenses of the Russian Federation).
Employer's refusal to accept the new minimum wage
Any employer has the right to refuse to apply the Moscow minimum wage. To do this, you need to draw up and send a reasoned refusal to the local branch of the Committee on Labor and Employment. The period is 30 calendar days from the date of publication of the tripartite agreement on the regional minimum wage (Article 133.1 of the Labor Code of the Russian Federation).
In this case, the refusal must be motivated, that is, you will need to indicate the reasons why your organization does not want to pay its employees the regional “minimum wage”. As such reasons, we can indicate, for example, “crisis”, “few orders”, “risk of mass layoffs of employees”. In Moscow, the refusal must be sent to the tripartite commission at the address: 121205, Moscow, st. Novy Arbat, 36/9.
This certificate provides the minimum wage established by the regional agreement for all employees, with the exception of those working in organizations financed from the federal budget. For persons working in organizations financed from the federal budget, the minimum wage is established by federal law.
Minimum wage in Moscow from October 1, 2017, minimum wage in Moscow. What is the minimum wage in Moscow from October 1, 2017?
In the absence of a valid regional agreement, the minimum wage established by federal law.
The minimum wage in Moscow is reviewed quarterly and set at living wage working-age population of Moscow, approved by resolution of the Moscow Government. In the event of a decrease in the cost of living in Moscow, the minimum wage remains at the same level.
Minimum wage in Moscow from October 1, 2017, minimum wage in Moscow. What is the minimum wage in Moscow from October 1, 2017? Table
|
Validity |
Amount (rubles per month) |
Normative act |
|
01.07.2017 - 30.09.2017 |
Moscow tripartite agreement for 2016-2018 between the Moscow Government, Moscow trade union associations and Moscow employers' associations |
|
|
01.10.2016 - 30.06.2017 |
Moscow tripartite agreement for 2016-2018 between the Moscow Government, Moscow trade union associations and Moscow employers' associations |
|
|
01.01.2016 - 30.09.2016 |
Moscow tripartite agreement for 2016-2018 between the Moscow Government, Moscow trade union associations and Moscow employers' associations |
|
|
01.11.2015 - 31.12.2015 |
Agreement on the minimum wage in the city of Moscow for 2015 between the Moscow Government, Moscow trade union associations and Moscow employers' associations |
|
|
01.06.2015 - 31.10.2015 |
||
|
01.04.2015 - 31.05.2015 |
||
|
01.01.2015 - 31.03.2015 |
||
|
01.06.2014 - 31.12.2014 |
Agreement on the minimum wage in the city of Moscow for 2014 between the Moscow Government, Moscow trade union associations and Moscow employers' associations |
|
|
01.01.2014 - 31.05.2014 |
||
|
01.07.2013 - 31.12.2013 |
Agreement on the minimum wage in the city of Moscow for 2013 between the Moscow Government, Moscow trade union associations and Moscow employers' associations |
|
|
01.01.2013 - 30.06.2013 |
||
|
01.07.2012 - 31.12.2012 |
Agreement on the minimum wage in the city of Moscow for 2012 between the Moscow Government, Moscow trade union associations and Moscow employers' associations |
|
|
01.01.2012 - 30.06.2012 |
||
|
01.07.2011 - 31.12.2011 |
Agreement on the minimum wage in the city of Moscow for 2011 between the Moscow Government, Moscow trade union associations and Moscow employers' associations |
|
|
01.01.2011 - 30.06.2011 |
||
|
01.05.2010 - 31.12.2010 |
Agreement on the minimum wage in the city of Moscow for 2010 between the Moscow Government, Moscow trade union associations and Moscow employers' associations |
|
|
01.01.2010 - 30.04.2010 |
||
|
01.09.2009 - 31.12.2009 |
Agreement on the minimum wage in the city of Moscow for 2009 between the Moscow Government, Moscow trade union associations and Moscow employers' associations |
|
|
01.05.2009 - 31.08.2009 |
||
|
01.01.2009 - 30.04.2009 |
||
|
01.09.2008 - 31.12.2008 |
|
Moscow tripartite agreement for 2008 dated December 11, 2007 between the Moscow Government, Moscow trade union associations and Moscow employers' associations (as amended Additional Agreement between the Moscow government, Moscow trade union associations and Moscow employers' associations on amending the Moscow tripartite agreement for 2008) |
|
01.05.2008 - 31.08.2008 |
||
|
01.09.2007 - 30.04.2008 |
Moscow tripartite agreement for 2007 dated December 12, 2006 between the Moscow Government, Moscow trade union associations and Moscow associations of industrialists and entrepreneurs (employers) |
|
|
01.05.2007 - 31.08.2007 |
||
|
01.09.2006 - 30.04.2007 |
Moscow tripartite agreement for 2006 between the Moscow Government, Moscow trade union associations and Moscow associations of industrialists and entrepreneurs (employers) |
|
|
01.05.2006 - 31.08.2006 |
||
|
01.10.2005 - 30.04.2006 |
Moscow tripartite agreement for 2005 between the Moscow Government, Moscow trade union associations and Moscow associations of industrialists and entrepreneurs (employers) |
|
|
01.05.2005 - 30.09.2005 |
||
|
01.10.2004 - 30.04.2005 |
Moscow tripartite agreement for 2004 between the Moscow Government, Moscow trade union associations and Moscow associations of industrialists and entrepreneurs (employers) |
|
|
01.05.2004 - 30.09.2004 |
||
|
2nd half of 2003 |
Moscow Tripartite Agreement for 2003 between the Moscow Government, Moscow trade union associations and Moscow associations of industrialists and entrepreneurs (employers) |
|
|
01.01.2003 - 30.06.2003 |
||
|
01.09.2002 - 31.12.2002 |
Moscow tripartite agreement for 2002 between the Moscow Government, Moscow trade union associations and Moscow associations of entrepreneurs (employers) |
|
In our difficult times, most Russians sincerely hope for a promotion Minimum wage. Minimum salary 2017 year promises to be slightly higher than the previous year's wages. Now the minimum wage is less than 80% of the national subsistence level, but this is a direct violation of the Labor Code.
If you follow the letter of the law, the minimum wage cannot be lower than the line established by the legislation itself. Only people who are employed part-time or employed part-time can earn less than the subsistence level. In reality, what is happening is not at all what we would like; many people earn pennies and are forced to literally survive.
Minimum wage in Russia
The concept of “minimum wage” was introduced in 1970 at the UN convention. The minimum wage is designed to protect workers from the arbitrariness of dishonest employers. Our country also signed this document. The legally established minimum monthly wage clearly indicates the standard of living in a particular state. In addition, the minimum wage has a direct impact on the amount of fines, the calculation of child benefits, alimony, sick leave, unemployment payments, insurance and pension contributions, etc.
The minimum wage in the Russian Federation in its current version operates based on Federal Law No. 82 “On the Minimum Wage” of 2000. Roughly speaking, the minimum wage ensures the rights of workers to receive a salary no lower than that established by the state. That is, the employer must not (has no right) to pay for a month of work an amount that is less than the legally determined salary. In this case, the employee must be employed full time. It is worth mentioning that the minimum wage level varies in different regions of Russia.
Experts' forecasts regarding the minimum wage in 2017
The minimum wage has increased since July 1, 2016 and is now 7,500 rubles. Compared to last year, the minimum wage increased by 7%. However, the minimum wage still falls far short of the national subsistence level. To date, the minimum wage has reached only 73.69% of the projected subsistence level, which is calculated for the working population.
The minimum wage is subject to mandatory and regular indexation. It is obvious that an increase in the minimum wage in 2017 is planned, but there is no fixed recalculation date established by law. All changes are carried out in accordance with a special resolution of the Government of the Russian Federation. For example, in 2016, the minimum wage was changed twice.
Usually the minimum wage is indexed no less than the actual one or . In 2015, inflation was 12.9%, which means that in 2016, or more precisely, in January and July, the minimum wage was indexed twice: its value was 6,204 and 7,500 rubles, respectively.
The draft law for 2017-2018 assumes that the minimum wage in Russia in 2017 will be 7,142 rubles. From January 1, 2018, the minimum wage will tentatively increase to 7,606 rubles.
So the answer to a very pressing question about increasing the minimum wage in the near future will sound like this: an increase in the minimum wage is planned. Despite the fact that the final figures may not differ much from those previously outlined in the draft law, experts look to the future with hope and predict an equalization of the cost of living and the minimum wage by 2020.
It will take about 22.2 billion rubles to increase the minimum wage in 2017, which means that only 300 thousand Russians can count on a real increase in wages next year.
Minimum wages by regions of the Russian Federation
Based on the fact that this value depends on , we can identify regions with the highest monthly wages. This includes areas whose budget is well replenished, areas with a thriving oil and gas industry, as well as areas of the Far North, where prices are set too high and, as a result, the minimum wage for Russia is absolutely not relevant here. The regional minimum wage should not be lower than the federal minimum wage established by law.
Moscow and the Far North regions have the highest minimum wage.
- The minimum wage in Moscow is 17,300 rubles;
- The minimum wage in the Far North regions is 14,269 rubles – 19,009 rubles;
- The minimum wage in the Magadan region is 17,100 rubles;
- The minimum wage in the Sakhalin region is 16,838 rubles;
- The minimum wage in Yakutia is 15,390 rubles;
- The minimum wage in the Kamchatka Territory is 15,800 rubles – 18,230 rubles;
- The minimum wage in the Kemerovo region is 14,115 rubles;
- The minimum wage in the Murmansk region is 13,650 rubles;
- The minimum wage in the Moscow region is 12,500 rubles;
- The minimum wage in the Yamalo-Nenets Autonomous Okrug is 12,431 rubles;
- The minimum wage in the Tula region is 12,000 rubles for extra-budgetary employees and 10,000 rubles for state employees;
- The minimum wage in St. Petersburg is 11,700 rubles;
- The minimum wage in the Kaliningrad region is 10,000 rubles.
In the Republic of Crimea, the minimum wage is still low, its figures are 6,204 rubles for state employees and 7,042 rubles for non-budgetary employees. In Sevastopol, these figures are 6,204 rubles and 7,343 rubles, respectively.
The minimum monthly wage in the Yaroslavl and Tver regions in 2017 will remain slightly more than 6,000 rubles.
The minimum wage is approved by law; constituent entities can set their own values.
On this topic, additional conditions are stipulated in the Labor Code, Article 133.
- The minimum wage is a value that is approved in all regions at the same time and is fixed by issuing a federal law.
- In budgetary enterprises, the size of the indicator is supported by the corresponding item in the budget, in private firms - by the provision of the employer.
- An employee’s salary for a month, provided that he has worked the entire workload and coped with the assigned tasks, cannot be less than the established amount. From July 1, 2017, it, as already mentioned, will be 7,800 rubles. In this case, the established amount must correspond to the amount of cash payments (tariff rate, compensation, remuneration, etc.) for the working month.
According to Article 133, it is considered mandatory to maintain the minimum wage at the level. But in practice this provision has not yet been implemented.
According to Article 421 of the Labor Code, the procedure for increasing the minimum amount to the subsistence level is regulated by Federal Law. At the moment, such a law has not yet been developed.
Establishment of minimum wages by region
The Labor Code () allows for the establishment on the territory of individual subjects of a minimum wage that exceeds the approved amount in the Russian Federation.
The determination of the amount is influenced by the socio-economic circumstances in a given area and the cost of living established there.
To increase the minimum wage, regional authorities are required to adopt a separate agreement. It involves:
- regional authorities;
- trade union associations;
- associations of employers.
When an agreement is reached, an invitation to all employers to join is officially announced through the media.
To refuse participation, the employer must provide a written refusal explaining the reasons within 30 days from the date of the announcement.
If the document is not sent, the employer's consent is implied.
Subsequently, managers working in the territory of this subject will be required to pay wages not less than this limit.
Important: the minimum amount assigned for a specific entity is applied by state organizations whose activities are financed from the regional budget, as well as municipal institutions. This requirement does not apply to federal, budgetary and autonomous organizations.
What is provided for workers in the Far North
Provides regional coefficients and wage bonuses for people who work in the Far North and regions that can be equated to it. This also affects the minimum wage.
According to the decisions of the judges, the established minimum amount must be increased by a coefficient and allowances.
Such payments should not be taken into account as part of the minimum wage and minimum wage.
According to the Ministry of Health and Social Development of Russia, such decisions are not considered normative acts. Only the Labor Code regulates labor relations.
And regional coefficients are included in the minimum wage and minimum wage.
For what purpose is the minimum wage established?
The minimum wage is an establishment that achieves several goals at once:
- Allows you to maintain a salary level that is not less than the established level.
- Used to calculate benefits for temporary unemployment, as well as when going on maternity leave.
- Helps calculate taxes, fines and other contributions, the amount of which directly depends on the established minimum wage.
According to the law, wages cannot be less than the minimum wage. The concept of “salary” in this context includes all payments that an employee receives for a full month.
This includes not only salary, but also bonuses, compensation and other additional payments. In total, the accrued amount cannot be less than the minimum wage.
Important: As a tax agent, the manager deducts personal income tax contributions from wages. Therefore, the actual payment received may be less than the minimum wage.
If a citizen has a part-time job or works part-time, his salary may not reach the minimum value.
