Golikova: increasing the minimum wage will lead to an increase in revenues to the budgets of all levels

The increase in the minimum wage (SMIC) will provide additional revenues to the budgets of all levels, stated Deputy Prime Minister of the Russian Federation Tatyana Golikova.

“Solution [президента РФ Владимира Путина] that the minimum wage should be indexed from January 1, 2024 at a faster rate, that is, by 18.5% – of course, these are additional costs for the public sector, for employers, but this is also additional income to the budgets of all levels, – Golikova said in an interview with TASS.

She noted that, first of all, budgets can go to the regions, since “the main income tax goes there and makes up their main revenue base.” In addition, the increase in the minimum wage, according to the Deputy Prime Minister, will lead to an increase in the salaries of 4.8 million citizens of the Russian Federation.

June 16, Putin during a speech at the plenary session of the St. Petersburg International Economic Forum (SPIEF) announced indexation of the minimum wage by 18.5% from the beginning of next year. On the same day Golikov toldthat about 6 million do not receive the minimum wage. Then she noted that this is a “huge body of problems” that need to be worked on.

From January 1, 2023, the minimum wage is 16,242 rubles. In February, during a message to the Federal Assembly, the president proposed from the beginning of 2024 to index the minimum wage by an additional 10% to 19,242 rubles. At the end of May, Kotyakov announced that by 2030 the minimum wage would be 30% higher than the subsistence minimum, which now stands at 14,375 rubles.