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In a similar way to many countries around the world, the costs of basic household products increase year after year, while the minimum wage is becoming increasingly insufficient to cover necessary expenses. In some Latin American countries, the decision to increase the minimum wage during 2023 has been made, and workers in Venezuela hope that a similar measure will be implemented, given that their income is among the lowest globally. If the increase is approved, you will find all the conditions and the additional amount that should be received by continuing to read.
The increase in the minimum wage is one of the most awaited news in Venezuela in recent months, amidst the acute economic crisis that affects the incomes of millions of households. Despite this, Nicolás Maduro did not comment on it, nor did he make any modifications to labor conditions.
What do you know about the Minimum Wage Increase?
The President of Venezuela, Nicolás Maduro, called on workers throughout the nation to take to the streets to protest against the sanctions imposed by the United States. He also stated on Twitter: "We will always defend the comprehensive salary of Venezuelan workers. We will generate the resources to continue investing in health, education, and housing."
On the other hand, a message was spread on WhatsApp revealing that the country's minimum wage would be raised to 780 bolivars, equivalent to 32.03 dollars as of March 2023. However, Maduro's regime has not yet announced a salary adjustment.
The President of Fedecámaras, Carlos Fernández, pointed out that it will depend a lot on what scheme is allowed to the private sector and the public sector to make remunerations effective. Likewise, he indicated that a different approach to the country's problems should be sought and "stop fighting the issue with monetary policies, but with stimulation policies in supply and demand."
How much is the current Minimum Wage?
According to the Central Bank of Venezuela (BCV), the current minimum wage is equivalent to 6.14 dollars. Workers from the public sector, workers, teachers, and even retirees and pensioners have joined the protests to demand an increase in dollars and better working conditions in their institutions. If the increase in the minimum wage in Venezuela is approved, this income would rise to 50 dollars.
What does the Constitution say about the Minimum Wage Increase?
The Constitution of Venezuela is clear: the minimum wage must cover the basic basket. However, if this mandate is followed, the increase in the minimum wage should be around 500 dollars, something that has already been declared impossible, according to Jorge Roig, former president of the Federation of Chambers and Associations of Commerce and Production of Venezuela (Fedecámaras).
When will the Minimum Wage increase be announced in Venezuela?
The President of Fedecámaras, Carlos Fernández, revealed that the increase in the minimum wage in Venezuela this 2023 could take place on May 1. This date is tentative since it is 'Labor Day' and important announcements are always made on that date, it is possible that the increase will be on that same day.
What do workers in Venezuela demand?
During the protests, workers in Venezuela have demanded an increase in the minimum wage to 50 dollars. "Workers demand salaries and pensions indexed to the cost of the basic basket. We will not accept the agreement between Fedecamaras and the Government that violate our rights to have a dignified salary," said the spokesperson for the Nursing College, Capital District, Ana Rosario Contreras.
Similarly, according to data from the Documentation and Social Analysis Center of the Teachers Federation (Cendas), "a Venezuelan family of five needed, last December, 63.24 current minimum wages, about 400 dollars at the current exchange rate, set at 20.52 bolivars per dollar, to cover the Basic Basket".