HÜDA PAR criticizes rapid wage erosion amid soaring prices

Mehmet Şah Gültekin, HÜDA PAR Deputy Chairman and Head of Economics, sharply criticized Turkey’s economic policies on Thursday, highlighting the devastating impact of inflation on civil servants and minimum wage earners.
Citing data from the Turkish Statistical Institute (TurkStat), Gültekin warned that soaring prices have deepened financial struggles for families across the country.
Gültekin pointed out that a 5 percent salary increase granted to civil servants for the second half of 2025—set by an arbitration board following stalled negotiations in 2023—was effectively erased within two months due to inflation rates of 2.06 percent in July and 2.04 percent in August. With annual inflation reaching 32.95 percent, he stated: “The raise given melted away in just two months, and workers’ salaries became worthless. This situation is cruel to workers.”
The situation is even more severe for minimum wage earners. The minimum wage, set at 22,104 lira on January 1, 2025, has lost 20 percent of its purchasing power, now equivalent to just 17,500 lira. “The minimum wage is practically stagnant,” Gültekin said, emphasizing the increasing financial pressure on low-income households.
Gültekin also criticized systemic inefficiencies driving economic inequality. Using watermelons as an example, he noted that while farmers sell them for 30 kuruş, consumers pay 8 to 11 lira just 70 kilometers away—a 35-fold markup. “The inflation monster has come between producers and consumers,” he said, citing similar disparities across other agricultural products.
To address economic challenges, Gültekin proposed a series of reforms to create a fairer system. These include adjusting wage increases monthly to outpace inflation, rather than updating them biannually, and abolishing income tax on civil servant salaries to ensure equitable taxation. Additionally, he suggested providing tailored support for food, rent, energy, and transportation based on family size, while reducing government waste and interest burdens to properly value labor.
“There can be no prosperity without fair distribution, and no development without respect for labor,” Gültekin declared, reaffirming HÜDA PAR’s commitment to advocating for equitable economic policies and protecting workers’ rights.
As inflation continues to erode purchasing power and economic disparities widen, Gültekin’s remarks underscore the urgent need for systemic reforms to alleviate the burdens on Turkish workers and establish a just economic order. (ILKHA)
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