Barthélémy Philippe, edited by Alexandre Dalifard / Photo credit: THIBAUT DURAND / HANS LUCAS / HANS LUCAS VIA AFP 06:14, 02 May 2023

On May 1st, as Elisabeth Borne announced last April, the amount of the Smic was revalued by 2.22%. Between 2021 and 2023, the minimum wage increased by more than 10%. As a result, the number of employees paid at the minimum wage is exploding since other salaries are not indexed to inflation.

On Monday, due to its indexation to inflation, the amount of the Smic was revalued by 2.22%. Between 2021 and 2023, the minimum wage, now set at 1,353 euros net, increased by more than 10%. As a result, the number of employees paid at the minimum wage explodes simply because other wages are not indexed to inflation.

15% of employees paid minimum wage in January 2022

Wages just above the minimum wage have risen well over the past two years, with an increase of about 6.5% for white-collar and blue-collar workers, but to a lesser extent. As a result, some low-income workers are caught up by the minimum wage. A downgrade symptomatic of a moribund economy, according to Bertrand Martinot, economist at the Montaigne Institute. "Our economy is slowing down and therefore average wages are progressing little," he told Europe 1. For him, indexing the minimum wage to inflation is essential from a social point of view. On the other hand, "there are negative consequences on the distribution of wages, and therefore it is reduced. This discourages collective bargaining."

>> READ ALSO - Increase in the minimum wage: these employees who see their remuneration caught up by the minimum wage

"When, in a professional branch, you have the first 3-4 levels that are caught up by the Smic, employers say: 'that's it, the increases have already been made. They were decided by the State. As for wages above that, we don't have the means, because productivity and margins are not enough," the economist added. On January 1, 2022, nearly 15% of French employees were paid the minimum wage, while they were only 12% a year earlier. And there are probably even more of them today. The record dates back to 2005, with one employee in 6 paid at the minimum wage. Its amount at the time was 957 euros.