The Turkish government has declared a 30 percent increase in the monthly minimum wage for 2025, raising it to 22,104 Turkish lira ($630.36) from 17,002 lira in 2024. This announcement was made by President Recep Tayyip Erdoğan, impacting over seven million workers.
Opposition leaders and labor unions have criticized the increase, arguing it fails to address the high cost of living. The Confederation of Turkish Trade Unions (Türk-İş) had anticipated a minimum wage of 29,583 lira, deeming the government's figure inadequate.
Economists warn that this wage hike could exacerbate inflation, with projections indicating a potential rise of 1.5 to 5 percentage points in annual inflation rates. Turkey's inflation rate was recorded at 47.09 percent in November, a decrease from a peak of 75 percent in May, attributed to stringent monetary policies. However, the decline has been slower than expected.