Andorra's PS Proposes 10 Amendments for Indexed Wages and Pensions in 2026 Budget

The Social Democratic Party (PS) has proposed ten amendments to Andorra's 2026 budget bill, urging annual indexing of all salaries and the minimum wage to the consumer price index (IPC) as a structural safeguard for workers' purchasing power.

PS councillors Pere Baró and Laia Moliné unveiled the package at a Consell General press conference, framing it as a shift in public finances to prioritise citizens, public services and social cohesion over a purely economic focus. The proposals seek to correct inequalities, bolster social rights and redirect government spending with precise reallocations.

Central to the plan is a tiered pension adjustment linked to the minimum wage and IPC: pensions below the minimum wage would rise by double the IPC; those between one and two minimum wages by the full IPC; up to three minimum wages by half the IPC; and higher amounts by 25% of the IPC. Baró stressed that living costs affect everyone, calling it unjust to freeze any pension and warning that limiting increases to the minimum wage alone risks compressing more workers toward that level.

Public sector measures would grant up to two triennis to interim staff who became civil servants after the Public Function Law took effect, focusing on those with over six years' service who won posts between February 2019 and 2020. New pay scales would also apply to retired and pre-retired workers previously excluded from deals. Moliné highlighted these as steps to end unfair discrimination and ensure equal treatment.

The PS wants €100,000 reallocated from economic promotion funds to support a social dialogue initiative strengthening unions. Moliné described it as "an investment in democratic quality," citing weak negotiation processes that undermine wage talks.

Other shifts include transferring €24 million from Andorra Turisme to the tourism ministry for greater political accountability and oversight; keeping Andorra Telecom's capital transfers in-house to cut tariffs for families and small businesses; and spreading €460,000 from Fundació Museu Andorra to museums, heritage, cultural outreach, strategic projects and the National Library.

On youth, the amendments call for a comprehensive study of extending the Planet Youth addiction prevention programme through 2026–2031, covering methodology, resources, coordination, local fit and evaluation. For the 2026 EU Association Agreement referendum, they suggest moving over €81,000 from the head of government's special relations team to secure about €83,000 for elections.

Moliné positioned the amendments as "a clear alternative to the government's budget: fairer, more social, and aligned with a balanced country model." No government response has emerged as budget deliberations proceed.