government proposes an increase of 6.27%; check the forecast

In the PLOA, the federal government proposed an increase of R$69 for the 2022 minimum wage, considering the current value. Understand details.

This Tuesday (31/08), the Brazilian government delivered the Budget Bill (PLOA) for the year 2022. The document was sent directly to the National Congress. It contains the forecast of the new minimum wage value to the next year. The idea is to promote replacement based on the INPC (National Consumer Price Index). That is, no real increase.

The government proposed an adjustment of BRL 69 in the 2022 minimum wage, considering the current value (BRL 1,100 in 2021 for R$1,169 next year). Thus, the correction percentage, 6.27%, represents an increase slightly higher than 6.2%, which is the estimate made by the Ministry of Economy on the INPC.

The government’s previous proposal had been released in April 2021. Previously, the idea was to promote an increase in the minimum wage to R$1,147. Inflation, however, had a higher than expected. Therefore, the government had to revise the increase estimates. Even because the Federal Constitution does not allow the replacement to be lower than the inflation for the period.

The special secretary of the Treasury and Budget of the Ministry of Economy, Bruno Funchal, explained the impacts that will be felt with the 2022 minimum wage. According to the government representative, if the INPC goes to 7.2% this year 2021, it will be necessary to spend around R$ 8 billion more on the floor of the national minimum wage for 2022. The economic team will have to seek resources from other expenses.