Mexico to Increase Minimum Wage for 2019
Leer en Español: Incremento al salario mínimo para 2019
Mexico's National Minimum Wage Commission (CONASAMI) on Dec. 17, 2018, announced its decision to increase the minimum wage for 2019, the creation of a Salary Economic Area for the municipalities located 25 kilometers (approximately 15.5 miles) from the northern border and surrounding areas, and established a Border Minimum Wage.
Per the announcement, the daily minimum wage will increase on Jan. 1, 2019, from 88.36 Mexican pesos (approximately US $4.39) to 102.68 Mexican pesos (US $5.10). At the same time, the Border Minimum Wage will raise to 176.72 Mexican pesos (US $8.79).
The CONASAMI explained that this figure was squared from the current General Minimum Wage of 88.36 Mexican pesos per day, in addition to a nominal increase in Mexican pesos through the Independent Recovery Amount (MIR) of 79.94 Mexican pesos per day (US $3.97), and the consideration of an inflationary percentage adjustment of 5 percent.
The following municipalities will have to pay the Border Minimum Wage as of Jan. 1, 2019:
- Playas de Rosarito
- San Luis Río Colorado
- Puerto Peñasco
- General Plutarco Elías Calles
- Santa Cruz
- Agua Prieta
- Práxedis G. Guerrero
- Coyame del Sotol
- Manuel Benavides
Coahuila de Zaragoza
- Piedras Negras
- Nuevo Laredo
- Miguel Alemán
- Gustavo Díaz Ordaz
- Río Bravo
- Valle Hermoso
For more information or questions on how this minimum wage change may impact your business, contact the authors.
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