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8 April, 2001The 19 per cent increase is still not enough to cover the basic needs of workers.
BRAZIL: The new minimum monthly wage in Brazil has been set at $84.50, an increase of 19 per cent over the current minimum of $71.
Although the country's president, Fernando Henrique Cardoso, has acknowledged that this is not enough to cover the "basic needs of workers", unofficial estimates maintain that nearly half of Brazil's 80 million employed workers earn the minimum wage or less. The real gain represented by this increase is said to be 12.5 per cent in workers' purchasing power.
To cover the costs of the increase, Brazil's Congress has passed three bills aimed at fighting tax evasion. This is expected to bring in an extra $4.3 billion.
The new minimum wage went into effect on Sunday, April 1, 2001.
Although the country's president, Fernando Henrique Cardoso, has acknowledged that this is not enough to cover the "basic needs of workers", unofficial estimates maintain that nearly half of Brazil's 80 million employed workers earn the minimum wage or less. The real gain represented by this increase is said to be 12.5 per cent in workers' purchasing power.
To cover the costs of the increase, Brazil's Congress has passed three bills aimed at fighting tax evasion. This is expected to bring in an extra $4.3 billion.
The new minimum wage went into effect on Sunday, April 1, 2001.