Business leader de Hoyos: insisting on wage increase. Business leader de Hoyos: insisting on wage increase.

Coparmex continues minimum wage push

Business group insists on 19% increase to demonstrate Mexico is advancing

The minimum daily wage will increase by 19% to 95.24 pesos (just under US $5) on November 1, predicts the Mexican Employers Federation (Coparmex), which is pushing for the hike.

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Coparmex plans to insist on the increase when the representative council of the National Minimum Wage Commission (Conasami) meets tomorrow in Mexico City.

The commission reviews the minimum wage annually by taking into account inflation rates, and a revised rate usually goes into effect on January 1.

But last week, prominent union leader Carlos Aceves del Olmo called on the Labor Secretariat to convene an extraordinary Conasami meeting with the aim of reaching an earlier agreement on a new minimum wage.

Employers’ associations, workers and government officials will participate in the negotiations.

Coparmex will argue that the minimum wage should be brought into line with recommendations from the social development agency, Coneval, which advocates an increase in order for it to reach parity with its own threshhold for well-being.

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Coparmex president Gustavo de Hoyos made it clear what outcome the organization wants.

“Beyond the pressures of the Secretariat of Finance and Public Credit or the unyielding stance of the Bank of México, we expect Conasami to comply with its mandate,” he said.

De Hoyos also said that minimum wage negotiations could have an impact on the current North American Free Trade Agreement (NAFTA) talks.

“It’s time to give a sign that the country is advancing . . . in the right direction in the evolution of its labor market, in combating growing inequality and that it is on the route toward social development,” he said.

Labor Secretary Alfonso Navarrete has already said on several occasions that there is an agreement to increase salaries before the end of the year. The current minimum wage only covers 84% of the amount needed to reach the well-being line established by Coneval.

If approved, the increase would more than double last year’s seven-peso raise.

Source: El Economista (sp)

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  • gypsyken

    It’s interesting that an association of employers in Mexico is advocating an increase in the minimum wage, while employers in the U.S.oppose it.

    • Güerito

      The really interesting thing to note is that the Mexican Employer Federation supports raising the minimum wage, but Mexican politicians are against it.

      • Sharl

        that figures! just like an American politician! they’ve got there’s so screw the rest of you…

        • Güerito

          No, it’s not like in the US. In the US, employers are not pushing for an increase in the minimum wage.

        • Sharl

          What I said was sarcasism Guierto! Believe me I know how crap works in the US!

    • 101st

      You’re looking at a minimum wage of $5.00 PER DAY.

      • gypsyken

        Yes, but the cost of living is much less in Mexico than it is in the U.S. (I am well acquainted with that fact, since I lived year-around in Mexico from 2003 to 2016.)

        • cooncats

          It isn’t 10 times lower, genius. The minimum wage in Mexico is a joke and everyone knows it. Except you apparently.

        • Güerito

          I just went through this in a different thread. Many things are the same price or higher in Mexico, with automobiles, gasoline, electronics, and household appliances coming first to mind. That’s why there’s a market for bringing these items into Mexico from the US.

          Rent, food and manual labor are much cheaper in Mexico. Real estate is about one-third to one-half the cost.

          Overall, the cost of living in Mexico is about ond-third of that in the US. The minimum daily wage in Mexico ($4.00 USD) is one-sixteenth of that in the US ($64.00 USD).

        • ben

          IMO no. food is the same as US. clothes can be the same or more. i dont buy electronics but i hear the cost is higher. the US is 3000 miles wide. housing varies between city to city neighborhood to neighborhood. the wages here are sinful never the less. why do you think there are so many breakins? there is also no unemployment insurance.

      • Güerito

        More like $4.00 USD.

    • Paul Wilkins

      My guess is that the employers feel that increasing the minimum wage might help NAFTA survive. Additionally, the increase would be a tiny amount of money for a very small number of workers.

      • Güerito

        This Employer Federation has been pushing for increases in the minimum wage long before the recent threats to NAFTA.

        And, while you’re right the increase would be a tiny amount of money, any increase in the minimum daily wage in Mexico would effect almost 4.5 million full-time workers.

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