Unions propose raising the minimum 16% and employers 7.21%. The Government seeks an agreement before December 15.
Within the framework of the Salary and Labor Policies Concertation Table, the workers, through the labor confederations, proposed a 16% increase for the minimum wage and transportation assistance. This proposal would raise the minimum wage to $1,601,260with an increase of $227,760. The transportation aid would be set at $232,000for a total of $1,833,260.
On the other hand, the business associations presented a proposal to increase the 7.21%which represents an adjustment of $102,634. With this percentage, the minimum wage would remain at $1,536,134 and transportation assistance $214,420for a total of $1,740,554.
Basis of Proposals and Dialogue
The union organizations base their proposal on factors such as inflationthe productivity and the increase of cost of living in education, health, housing and public services. They affirm that the adjustment must preserve the purchasing power of about 12 million workers.
In contrast, businessmen assure that their approach responds to the need for a responsible adjustment that does not affect the employment nor the stability of the SMEs.
Advances and Government Mediation
Despite the distance between the figures, the Ministry of Labor positively highlighted that the unions presented their proposal formally and in writing, something that did not happen in previous years. This contributes to a more transparent discussion environment.
The Government will act as mediator in the next sessions. The Concertation Commission has until December 15 to reach an agreement on the minimum wage that will govern from January 1, 2026.
The Minister of Labor pointed out that the initial difference can be interpreted as an opportunity for dialogue, as there is “a great margin” to seek agreements that especially favor those who earn a minimum wage.
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Discussion on Deindexation
Also discussed was the proposal of deindex products and services from the minimum wage. The Government proposes to advance in the deindexation of the costs associated with Housing of Social and Priority Interest (VIS and VIP)while the unions asked to include the public servicesparticularly that of drinking water.
The minister once again highlighted the good atmosphere of the meeting, marked by the written formalization of business proposals and a tension-free dialogue.
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Source: Integrated Information System
