Observation (CEACR) - adopted 1990, published 77th ILC session (1990)

Minimum Wage Fixing Convention, 1970 (No. 131) - Spain (Ratification: 1971)

The Committee takes note of the report of the committee set up to examine the representation made by the Trade Union Confederation of Workers' Commissions (CC.OO.) under article 24 of the ILO Constitution, alleging non-observance by Spain of this Convention (GB.243/6/22, Geneva, June 1989). It also takes note of the statement made by the representative of the Government of Spain at the 243rd meeting of the Governing Body, and the Government's communication of 16 May 1989 in which reference is made to the Committee's comments.

Articles 3(a) and (b) and 4, paragraph 1, of the Convention. In its observation, the CC.OO. indicated that the minimum wage is not being automatically adjusted to the Consumer Price Index (IPC), and it also pointed out that when the inter-occupational minimum wage is fixed, the needs of workers and their families are not taken into account, as the average rate of increase of the wages of workers covered by collective agreements is considerably higher than the wage of the workers covered by the inter-occupational minimum wage. It also pointed out that no account is taken of economic growth, since, according to the CC.OO., the rate of economic growth attained (from 5 to 6 per cent for 1988) has led to an increase in productivity which, in turn, should justify the minimum wage being increased to a level higher than the one granted by the Government. According to the CC.OO., the foregoing situations are contrary to the provisions of Articles 3(a) and (b) and 4(1) of the Convention.

The Committee recalls that the committee that examined the representation made by the CC.OO. indicated that "taking account of the information available, the Government has not failed to comply with the provisions of Article 4, paragraph 1, of the Convention in maintaining machinery whereby 'minimum wages can be adjusted from time to time'". In this connection, the Committee also indicated that "the methods for the fixing and adjustment of minimum wages are in accordance with the provisions of the Convention in so far as they respond to the principal objective of the Convention", which, moreover, does not specify the frequency of wage adjustments.

However, in view of the provisions of Article 3 of the Convention, in determining the level of the inter-occupational minimum wage, the Government should take into account the needs of workers and their families and the economic factors including the level of minimum wages fixed by collective agreements and of the Consumer Price Index, which, as the Government itself recognises, is higher than the percentage increase of the inter-occupational minimum wage. As a result, the growth of the latter over the period 1979 to 1988 has been less than the increase in the Consumer Price Index.

Article 4, paragraph 2. With reference to the statement made by the representative of the Government of Spain before the Governing Body, to which the Government refers in its report, the Committee notes that, according to that statement, when fixing the minimum wage for 1989, the Ministry of Labour and Social Security sent extensive documentation on the matter to the social partners, who submitted their respective replies which were discussed in meetings held on 27 December 1988 and 5 January 1989. The Committee hopes that the Government will continue to consult the social partners so that they can hold exhaustive discussions before the inter-occupational minimum wage is fixed, in conformity with the provisions of Article 4, paragraph 2, of the Convention.

The Committee asks the Government to continue to provide information concerning the procedures for fixing the inter-occupational minimum wage and particularly on the consultations held with the representatives of the workers' and employers' organisations, and on the elements taken into consideration in determining the inter-occupational minimum wage.