Labor income evaporated
ECONOMY SERVICE
Millions of people who earn their living from their labor lost billions of lira in the first six months of the year. The wages of public workers and retirees, whose wages were increased with the June inflation announced the day before, have eroded over the past six months.
The Wage Loss Monitoring Report prepared by the DİSK Research Center (DİSK-AR) once again revealed the lost purchasing power of wage earners. According to the report, the loss in workers' wages due to the official six-month inflation in 2025 was 125.3 billion TL. The loss in wages of public workers was estimated as 41.8 billion TL, and the loss in pensions was 51.3 billion TL. The total loss in labor incomes in the January-June period was at least 218 billion 334 million TL.
MINIMUM WAGE WITHOUT INTERMEDIATE INCREASE HAS EMOLISHEDThe loss in the minimum wage, which was not increased in July and was not even brought down to the poverty line in line with the target inflation of the 'Lightning Program' in January, has reached a huge level. In the first half of the year, minimum wage earners lost 3,685 lira. The average 6-month loss per person was calculated as 6,485 lira.
A worker earning one and a half times the gross minimum wage and earning a net wage of 29,743 lost 4,958 liras due to inflation. A worker earning a net wage of 38,486 liras lost 6,416 liras due to inflation. A worker earning a net wage of 47,119 liras lost at least 7,855 liras due to inflation.
The DİSK-AR report addressed cumulative losses in 2025, including July. The report stated, "The total loss caused by inflation in workers' wages, civil servant salaries and pensions is reaching enormous dimensions. The total loss in labor incomes caused by the 16.67 percent official six-month inflation announced by TÜİK in January, February, March, April, May and June 2025 was at least 218.3 billion TL. Losses are growing rapidly every month."
The report stated, "Labor incomes have eroded not only with inflation but also with income taxes. "Individual losses in labor incomes create a massive cumulative loss in all labor incomes," and drew attention to tax justice. The loss of these wages has also increased, as wages at the level of 1.5 to 2 times the minimum wage will fall into the 20 percent income tax bracket, and wages at the level of 2.5 to 3 times the minimum wage will fall into the 27 percent income tax bracket in June 2025.
The damage caused by official inflation in the lowest pension was 2,412 TL. The average loss per person in pensions was calculated as 3,193 TL. The lowest civil servant salary, which was 43,726 TL in the previous 6 months, lost 9,130 TL in 6 months.
LIFE IN A MEGACITY HAS BECOME 217% MORE EXPENSIVE IN 2.5 YEARS
The cost of living in the megacity has been increasing continuously for 30 months. A study conducted by the Istanbul Planning Agency (IPA) revealed the cost of living in Istanbul. According to the study, the cost of living in Istanbul increased by 47.13 percent compared to the same month last year. The average cost of living for a family of four in Istanbul was calculated as 93,465 lira. The cost of living in Istanbul exceeded 4 times the minimum wage and 5.5 times the lowest retirement salary determined the day before.
The cost of living increased by 1.9 percent in May compared to April. The average cost increased by 1,743 lira compared to the previous month.
The cost has increased continuously for 2.5 years since 2023. The amount required to live in Istanbul in January 2023 was again calculated by İPA as 29 thousand 429 liras. The cost increase in 2.5 years was exactly 64 thousand 36 liras. The cost increased proportionally by 217.59 percent in 2.5 years.
BirGün
