The first words from Minister Şimşek regarding the minimum wage increase, as eyes turn towards him.

The Minister of Treasury and Finance, Mehmet Şimşek, answered the questions of the members of parliament after the budget discussions of his ministry and its affiliated institutions for the year 2025 in the TBMM Planning and Budget Commission.

"WE WISH THAT..."

Reminding that the minimum wage is determined by the commission, Şimşek stated, "At this stage, it would not be appropriate for me to make an evaluation. We wish to produce high value-added products, have high productivity, and a very high technological dimension, and for our minimum wage to be well above that. To reach that point, we have already allocated the largest item in our structural reform agenda to R&D, technological, green, and digital transformation." he said.

"WE WILL NOT LET OUR EMPLOYEES BE OPPRESSED"

Şimşek pointed out that the lowest civil servant salary has increased by 238% in real terms over the last 22 years, rising from 238 dollars to 1139 dollars in dollar terms, and stated that the lowest pension has increased by 543% in real terms and 812% in dollar terms. Emphasizing that the minimum wage has increased by 212% in real terms and 343% in dollar terms, Şimşek said, "We have not allowed our employees to be oppressed by inflation in any way, and we will not. Last year, the minimum wage increased by 107.5%. What was the inflation last year? 65%. This year, inflation has been revised to 44%, and we have given 49%." he evaluated.

"SHOULD WE INTRODUCE TAX ON MINIMUM WAGE?"

Responding to questions regarding tax expenditures, Şimşek pointed out that 853 billion liras of these expenditures stemmed from the exemption of minimum wage from taxes. Şimşek said, "Should we introduce tax on minimum wage? Is that what you want? Should we not encourage investments? We have waived 259.2 billion liras in taxes for the disabled, elderly, retirees, martyrs, widows, and orphans. The encouragement of R&D, innovation, and design activities amounts to 147.3 billion liras. They say, 'You waived 3 trillion liras for capital.' Where is the capital in this?" he expressed.

"WE ARE TAXING THE RICH"

Şimşek stated that many companies do not pay taxes because they benefit from discounts, which is why they introduced the domestic minimum corporate tax. Indicating that with the regulation, companies will pay at least 10% tax, Şimşek noted: "Multinational companies will pay a minimum of 15% tax. So when did we introduce this? We introduced it after Mehmet Şimşek, who 'supports capital,' became a minister. We narrowed the 50% profit exemption on the sale of real estate by companies and the exemption for those operating in free zones. We introduced withholding tax on Currency Protected Deposits (KKM). We are taxing the rich."