According to the decree of the President of the Russian Federation Vladimir Putin, from July 1, 2017, the size of the minimum wage (minimum wage) will increase from 7,500 to 7,800 rubles per month, that is, by 4%. In Moscow, by order of the Mayor of Moscow Sobyanin S. S., the minimum wage from October 1, 2017 is 18,742 rubles per month.
Minimum wage in Russia
The amount of the minimum wage is approved by government bodies and increases every 1-2 years. The amount of 7800 rubles per month corresponds to the federal, all-Russian minimum wage. In some regions, depending on their development and income, the minimum wage rates may differ upward.
According to the legislation of the Russian Federation, all constituent entities of the Russian Federation can independently set their own minimum wages. Moreover, it must be no less than the value of the all-Russian (federal) minimum wage. But in practice, far from all regions have raised the size of the minimum wage above the all-Russian value.
The increased minimum wage on the territory of the region is introduced by the executive authorities of this region. When deciding on the introduction of such a minimum wage, regional governments are obliged to consult with their regional trade unions and employers. Legal entities that use hired labor and have joined the regional agreement on the minimum wage undertake to pay their employees a salary not lower than the regional minimum wage level. Organizations that have not joined such an agreement can pay a salary lower than the regional minimum wage, but this salary must be at least 7,800 rubles per month (the all-Russian minimum wage).
All organizations in the region, without exception, can join such an agreement.
Despite the fact that the salary of an employee in our country should not be less than 7800 rubles per month, he can receive a lower amount in his hands. The fact is that the minimum wage is calculated from the accrued salary, namely, before the withholding of personal income tax (PIT). In addition, an employee may receive a lower amount in cases of deduction from his salary of alimony, deductions on enforcement orders of bailiffs, or if the month was not fully worked.
The minimum wage is a government-mandated minimum that is used to control and regulate wages. The minimum wage is used to determine the size of sick leave, scholarships, benefits, maternity and many other payments. In some way, the minimum wage depends on the size of the subsistence minimum.
Minimum wage in Moscow
In the capital of our homeland - Moscow - the minimum wage is directly dependent on the size of the living wage. And the cost of living itself is calculated by statistical organizations and approved every 3 months. From October 1, 2017, the minimum wage in Moscow was increased to 18,742 rubles per month.
If the living wage in Moscow increases, then the minimum wage also increases by the same amount. In cases where the living wage goes down (this is rare, but it happens), the amount of the minimum wage does not decrease. This provision is enshrined in the Moscow Tripartite Agreement between the Moscow Government, the Moscow Association of Trade Unions and the Moscow Association of Employers.
Thus, all organizations in Moscow are required to pay their employees a salary of at least 18,742 rubles for a fully worked month. This money can include any premiums and allowances. An exception may be only those legal entities that, in the prescribed manner and within the established timeframe, sent a motivated refusal to join the regional agreement on the minimum wage to the labor inspectorate.
If the organization has undertaken to pay its employees a salary not lower than the minimum wage approved in Moscow, but in fact pays less than 18,742 rubles, the labor inspectorate is obliged to fine this legal entity under Article 5.27 of the Administrative Code of the Russian Federation, which provides for a fine of 50,000 rubles.
