There are still about three months until the deadline to discuss and determine the increase in the minimum wage that will come into force in Colombia in 2024, but the positions for the negotiations are already known.
During the week, Deputy Finance Minister Diego Guevara said that, taking into account the current economic situation, the increase in the minimum wage for 2024 could be double-digit.
“The negotiations will take place in December. “We have no doubt that the increase will be double-digit,” Guevara said, adding: “I believe that no one will question the increase in the minimum wage because it is actually what determines the evolution of inflation and therefore that Law shows.” and so that employees do not lose their purchasing power.”
(The dependence of your wallet on the minimum wage and inflation).
It should be noted that the latest inflation data for August is 11.43% and the increase in the minimum wage should not be less than the annual CPI.
(How the rise in wages has influenced the country’s high inflation).
Furthermore, according to the Economic Expected Survey (EME), analysts expect the CPI to end 2023 with an annual fluctuation between 10.5% and 11%.
For his part, Jaime Alberto Cabal, President of Fenalco, said that the deputy minister’s statement was somewhat cheerful, because at this level of inflation we have to be very careful and have a minimum wage at the level of productivity.