THE Spanish government have agreed to raise the minimum wage by 4% in 2018 with more rises set to follow up to 2020.

Spanish PM Mariano Rajoy reached an agreement with trade unions to raise the minimum wage by 28.4 euros more a month in 2018, which means by 2019 it will rise to 773 euros a month and 850 euros by 2020.

“This is a boost to rebuild the salaries of people who lost the most in the economic crisis,” said the leader of Spain’s largest union, the Workers’ Commissions, Unai Sordo.

But all this growth can only happen so long as Spain’s economy keeps growing year-on-year.

Under the current agreement, the wage will only increase if the economy grows by 2.5% year-on-year and the number of people signing up to Spain’s social security system has to increase by 450,000 each year for the minimum wage to be bumped up.