palgaindeksatsioon
Palgaindeksatsioon, also known as wage indexation, is an economic policy that automatically adjusts wages in line with changes in a specific price index, most commonly the consumer price index (CPI). The primary goal of palgaindeksatsioon is to maintain the purchasing power of wages, ensuring that workers' real income does not erode due to inflation. When the CPI rises by a certain percentage, wages are increased by a corresponding or partial percentage.
The implementation of palgaindeksatsioon can vary. Some systems provide full indexation, where wages are adjusted by
Advocates of palgaindeksatsioon argue that it provides economic stability and fairness by protecting workers from inflation