Mexico's minimum wage will see a significant increase as of January 1, 2025, reflecting the government's commitment to improving workers' conditions across the nation.
The new salary set by the national government provides for a 12% raise, lifting the general daily wage from 248.93 pesos to 278.80 pesos. For the Zona Libre de la Frontera Norte (the free trade border zone), the daily wage will increase from 374.89 pesos to 419.88 pesos. This change is set to directly benefit over 8.5 million workers, enhancing their purchasing power significantly.
Secretary of Labor, Marath Bolaños López, emphasized the importance of this increase, stating, "El aumento aprobado para este año es del 12 por ciento, lo que significa una recuperación del 135 por ciento en su poder adquisitivo desde 2018, en beneficio de las y los trabajadores mexicanos." (The approved increase for this year is 12 percent, which translates to a 135 percent recovery of purchasing power since 2018, benefiting Mexican workers.) This statement highlights the administration's intention to improve the economic well-being of its labor force after decades of stagnation.
This adjustment marks the continuation of wage increment policies initiated under the previous administration of President Andrés Manuel López Obrador, where minimum wages saw historic increases. According to the International Labour Organization, "La finalidad del establecimiento del salario mínimo es proteger a los trabajadores contra el pago de remuneraciones indebidamente bajas," which translates to ensuring workers are protected against unreasonably low pay.
The latest increment arises after years of minor increases, with the minimum wage losing about 75% of its purchasing power between 1976 and 1999, with few increases exceeding inflation from 2000 to 2017. The goal of this increase is not only to recover this lost power but to guarantee all workers receive compensation reflective of their labor.
With the new minimum wage rates officially announced, they will vary across different professions and regions. For example, specialty professions under the new standards also receive the same 12% increase, indicating the government's focused approach on ensuring equitable wages across sectors.
Workers like agricultural day laborers and service industry employees, who often see lower entrance wages, will find their incomes more aligned with the cost of living.
Despite these positive steps, some criticisms remain. Organizations such as Acción Ciudadana Frente a la Pobreza (Citizen Action Against Poverty) point out the need for more rapid wage adjustments, urging for differentiated increases between the general and border wages because even with these increases, significant numbers of formal workers still fall below the poverty threshold.
Meanwhile, the overall framework aiming for the minimum wage to reach the equivalent of 2.5 basic baskets of economic necessities reflects the government's long-term goals for poverty reduction and enhanced quality of living. This plan aligns with the commitment from President Claudia Sheinbaum to continue bolstering the salary recovery initiated previously.
Given the historical growth, where the basic wage saw increases of over 311% during López Obrador's era, these adjustments represent continuous efforts to address wage disparity and improve financial stability for Mexicans working across the board.
The policy reform surrounding wage adjustments is also associated with reducing other economic burdens, such as the gender pay gap. The Trabajo Department reports vast progress, with some municipalities observing up to 66% reductions of the pay gap, which positively impacts female workers, especially within communities where poverty is prevalent.
Further emphasizing these changes, the Secretary of Labor asserted, "Con estos incrementos, así como con la reforma laboral, la eliminación de la subcontratación abusiva, el empleo formal se vuelve más atractivo que el informal," or "With these increases and labor reforms, formal employment becomes more attractive than informal jobs." This reveals not only the government's aim to formalize labor but also the necessity to create economic structures conducive to lawful employment.
Even with these increases, experts and labor representatives suggest there is still work to do. Advocates stress the importance of maintaining momentum for future increases, ensuring minimum salaries continue to match inflation rates and meet basic living standards.
Overall, this raise is more than just numbers; it symbolizes hope and recovery for Mexico's labor force after years of economic hardship, aiming to restore dignity through adequate compensation and improved conditions.