The Federation of Trade Unions of Macedonia (LSM) is demanding that the minimum wage in North Macedonia be increased to €500, up from the €400 set to take effect in March.
Trade unions have proposed that the government exempt employers from paying contributions on the wage difference for one year, allowing businesses to implement the raise without additional financial burden.
The issue is set to be debated by the Economic and Social Council, which will make the final decision on the minimum wage. However, discussions are currently stalled due to unresolved representation issues within the council.
“A vote against raising the minimum wage is a vote for a one-way ticket out of North Macedonia. If workers don’t get fair wages here, they will contribute to another country’s economy for just €100 or €200 more,” said Sllobodan Trendafillov, president of LSM.
The opposition has criticized the government for lacking a clear economic policy, even though the current methodology for calculating the minimum wage was introduced during their time in power.
Trade unions have given the government until the end of March to resolve the issue. If no decision is made, they threaten to launch mass strikes across the country.
Employers argue that wage increases should be linked to productivity and insist that the government should cover contributions if the minimum wage is raised beyond what is legally required.
The government has stated that it will support any agreement reached between workers and employers. However, it has yet to respond to the proposal for subsidizing social contributions, which currently amount to 38% of an employee’s wage—meaning that employers pay almost half of the net salary in social contributions.
With rising economic pressure, the standoff between the government, trade unions, and employers is intensifying.