The new minimum wage, between demands for adjustment and moderation

Employers and workers are now looking to the executive branch to define a new minimum wage after it has not reach an agreement at the table of technical analysis.

While the former are calling for restraint and not putting the country’s future at risk, the workers are asking the government of Laurentino Cortiz to make adjustments.

“Don’t come and tell us what happened in November prevents adaptation. We believe that the adjustment must be made according to all workers. The cost of living is too high,” said Nelva Reyes, representative of the labor sector.

According to Reyes, they proposed an adjustment between 30 and 32% for large companies, while for micro and small companies it would be 20 to 25%.

The leader expressed regret that, while this sector presented exhaustive conclusions supported by data, businessmen did not make proposals for corrections or increases.

“We believe that they do not want to make any kind of correction of workers’ salaries Government, because it cannot be that all the benefits go to businessmen,” Reyes added.

For his part, Juan Antonio Ledezma, president Commission for the work of the National Council of Private Entrepreneurship, He stated that management’s goal is to preserve existing jobs and generate more.

He reminded that private companies are losing jobs and producing up to 25 percent less than before.

He emphasized that there is a large workforce at the state and informal levels, which is not sustainable. He also said that illegal workers do not pay insurance or taxes, and in a few years they will be beneficiaries from 120 to 65 years old.

“We are asking the state sector, which will make the final decision, do it with a vision of the country, future, to understand that we have to compete at the international level, and not risk what we have,” said Ledezma.

For her part, the Minister of Labor and Labor Development, Mr. Doris Zapataannounced that the decision will be made by the end of the year.

He added that the Executive Technicians will be consulted and after the evaluations are completed, a corresponding regulation will be published, which could come into effect in the first or second half of January in case of an increase.

“We as the Government are currently representing each of the positions we have5 institutions represented at the table, and analyzing with them what was raised”, said the minister.