The government of In Buluarte in the face of growing pressure to take action, as the low salary many workers do not cover basic family needs. This situation made the need to increase critical minimum reward (RMV) in one of the main social demands in Peru.
In this context, Daniel Maureate, Minister for Labor and Employment Promotion (MTPE)recently confirmed that the announcement of the salary adjustment will take place before the end of this year.
Maurate explained that the whole process was about adjusting the minimum wage and that the president In Buluarte You will receive the final report on the matter.
Daniel Maurate refused to give a figure for the increase in the minimum wage. Photo: AP“We have already completed the entire process, we have also informed the president. ”I had a chance to talk to the president about this issue,” he said.
According to the ministerthe president has all the information he needs to make a decision and is expected to make a public statement in the coming days.
“This announcement will definitely come out soon. It will be before the end of the year,” Maurate added, suggesting that the increase It could be made official in the coming weeks.
Although the specific increase has not yet been revealed, some social and economic activists have pointed out the figures that may be under discussion. Jorge González leftformer Minister of Labor and economist, in an interview for 24 Hours that the increase in the minimum wage should be around 100 soles.
“I think it’s a reasonable time to raise the minimum wage. That must be giving a slight increase of more than 100 basis points,” he said.
For his part, the General Confederation of Workers of Peru (CGTP)one of the main trade unions in the country,
According to the CGTP, this adjustment would make it possible to reduce the gap with the Basic Household Consumption Basket and it would improve the purchasing power of the workers.
A week ago, it was known that the MTPErepresented by the government, a 10% increase in the current salary, which would be equivalent to 105 coins. However, this increase is still below the 120 coins which some sectors initially requested, and have not received approval from the business community, which has historically shown opposition to wage adjustments.
The CGTP also warned that the minimum wage has lost 14% of its purchasing power since 2018, the year in which it reached its highest real value in the last 16 years. This loss of power, according to the unions, has greatly affected the most vulnerable families in the country.
The minimum wage in Peru, currently set at 1,025 bases, is below the average in many Latin American countries. According to classification prepared by Statesmanbased on data from Bloomberg Online, Peru It is in thirteenth place among the 17 countries analyzed, with a minimum wage equal to 270 dollars per month.
In comparison, Uruguay led the region with a minimum wage of $556, subsequently Costa Rica with 675 dollars. Among other countries with higher salaries than Peru Chile ($532), Ecuador ($460) and Mexico ($416). At the bottom of the ranking is Venezuelawith 3.56 dollars, and Argentinawith 163 dollars.
Regarding salary readjustments, some South American countries have already implemented increases this year. For example, Chile, Paraguay, Bolivia y Argentina They made up to four salary adjustments in 2024. These readjustments are in contrast to the situation in Peru, where the minimum wage has remained frozen since the beginning of 2023.
The increase of minimum wage in Peru it generates intense debate between different sectors. While trade unions and social organizations call for substantial adjustment, employers express their concern about the potential impact of a sudden increase in the economy and employment. This bias in perspectives may have an impact on the size of the increase that will eventually materialize.
Although this rise has not been made official, expectations are high and social pressure continues to grow. The workers expect the government take measures that will help reduce economic inequality and improve the country’s living conditions.
Here are the latest minimum wage increases:
March 2000
- The minimum wage went from 345 soles to 410 soles, according to Supreme Decree No. 010.
September 2003
- During the government of Alejandro Toledo, the salary was adjusted to 460 bases through Supreme Decree No. 019.
January 2006
- A new minimum wage of 500 soles was established, according to Supreme Decree No. 016.
October 2007
- In the administration of Alan García, the minimum wage increased to 530 soles and then to 550 soles in January 2008, through Supreme Decree No. 025 and No. 002, respectively.
December 2010
- Under García’s management, the salary rose to 580 soles, and then to 600 soles in February 2011, according to Supreme Decree No. 011 and No. 002.
August 2011
- It was increased to 675 coins by Supreme Decree No. 011.
June 2012
- The minimum wage was set at 750 soles, according to Supreme Decree No. 007.
March 2016
- The minimum wage was established at 850 soles through Supreme Decree No. 005.
March 2018
- In 2018, the minimum living wage reached 930 bases, as provided in Supreme Decree No. 004.
- The salary went from 930 soles to 1,025 soles through Supreme Decree No. 003.
May 2022
What were the key changes to the minimum wage in Peru during the presidencies of Alan Garcia and Martín Vizcarra?
1,000 soles was established under President Alan Garcia through Supreme Decree No. 007.
March 2011
- The minimum wage was set to 750 soles during the presidency of Ollanta Humala via Supreme Decree No. 010.
February 2014
- The minimum wage increased to 750 soles again through a Supreme Decree, maintaining the same rate as in 2011, despite economic changes.
May 2018
- Under President Martín Vizcarra, the minimum wage was raised to 1,000 soles through Supreme Decree No. 017.
This historical context highlights the fluctuations and stagnations in Peru’s minimum wage, reflecting broader economic and social challenges faced by workers and the government.