Wage indexation: mechanisms for implementing by employers of Art. 134 of the Labor Code of the Russian Federation

Abstract

The legal issues of the implementation of Art. 134 of the Labor Code of the Russian Federation are analyzed in the article in terms of establishing legal mechanisms for wage indexation by employers. The problem of determining the indexation of wages, periodicity of its implementation, the choice of employer arrangements improve the real content of wages, besides an indexing, are considered (based on the interpretation of the provisions of the Labour code of the Russian Federation, analysis of the legal positions of the Supreme court, other court decisions). The authors of the article draw a conclusion about the imperfection of the legal mechanism used in Russia for implementing measures to increase the real content of wages of employees in connection with the growth of consumer prices for goods and services. In this regard, it is necessary to legal regulate this issue in terms of the frequency of payments and fixing a certain formula (not so much mathematical, but essentially elements) for the development of a mechanism for wage indexing. Otherwise, article 134 of the labor code of the Russian Federation will continue to be declarative, essentially not being a state guarantee of the employee’s rights in the sphere of labor.

Keywords:

inflation-indexation of wages, indexation mechanisms, economic opportunities of the employer, increase in consumer prices