Spanish government says it will raise minimum wage by 5.5% for 2020

Spain's new government said on Wednesday it would raise the minimum wage by 5.5 percent effective immediately.

The announcement by Labour Minister Yolanda Diaz is part of a plan to raise the net minimum wage to 60% of the average national wage of 1,944 euros - to approximately 1,166 euros per month - by the end of the government's four-year term. Currently, it stands at around 55%.

The increase to 1,108 euros per month is the third major economic initiative announced by the government after a rise in pensions and civil servant salaries.