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-Editorial
In a move signaling the Mexican government’s continued commitment to improving labor conditions, President Claudia Sheinbaum Pardo announced a 12% increase in the national minimum wage for 2025. This adjustment will raise the daily minimum wage from 248.93 pesos to 278.80 pesos across Mexico, and from 374.89 pesos to 419.88 pesos in the northern border region. The increase, which follows an agreement with the business sector, highlights the economic policies of the Fourth Transformation, designed to improve the quality of life for workers.
“The 12% increase means the minimum monthly wage will be 8,364 pesos, and in the border region, it will be 12,596 pesos. This increase is more than three times the estimated inflation rate for next year,” said Sheinbaum.
The wage hike aligns with the government’s goal to ensure that a minimum wage can cover at least 2.5 basic baskets, which represents a significant improvement in workers’ standard of living. Sheinbaum emphasized that under previous neoliberal policies, Mexico was viewed as a country with cheap labor, but since the advent of the Fourth Transformation, wages have steadily risen.
“We can proudly say that Mexican Humanism is working and delivering results, reducing poverty and inequality, and improving the lives of Mexicans,” Sheinbaum added.
The wage increase was approved by the private sector, benefiting approximately 8.5 million workers nationwide, according to Marath Bolaños López, Secretary of Labor and Social Welfare. He pointed out that the increase is part of the broader strategy to recover the purchasing power of Mexican workers, fulfilling one of the commitments made by the president in the Zócalo.
Business leaders, however, have expressed concerns about the timing and impact of the wage increase. Francisco Cervantes Díaz, president of the Business Coordinating Council (CCE), emphasized that while employers support efforts to reduce labor poverty, the business sector faces challenges due to rising operational costs. “While the minimum wage increase is a positive step for workers, businesses are struggling with higher costs and financial pressures. It’s important to ensure that we maintain the balance between fair wages and a competitive business environment,” Cervantes Díaz stated.
The announcement has sparked mixed reactions in the business community, with some employers expressing that the increase could further strain small and medium enterprises already facing challenges due to inflation and other economic pressures. Many have called for more targeted measures that would help alleviate the burden on businesses while still addressing workers’ needs.
Despite these concerns, the increase in minimum wage has been welcomed by labor groups. José Luis Carazo Preciado, a spokesperson for the Labor Sector of the National Minimum Wage Commission (Conasami), noted that the hike is a sign of positive change in Mexico’s labor landscape. “This increase is a symbol of progress, showing that the labor sector’s demands are being heard. It’s an important step toward improving the economic and social conditions of workers,” Carazo said.
The event also brought together representatives from both labor and business sectors, including key figures from the National Minimum Wage Commission (Conasami) and the Congress of Labor. While there was agreement that the increase is a positive move toward economic improvement, the challenges faced by employers are expected to remain a point of discussion in the coming months.
As Mexico heads into 2025, the minimum wage increase remains a central issue in the ongoing dialogue between labor and business sectors, reflecting the broader economic challenges that need to be balanced in the effort to improve living standards while maintaining business competitiveness.
