Minimum wage approved in Honduras
Every year private enterprise, the working class and the Government of Honduras meet to reach an agreement on the minimum wage increase. For several months, these three sectors met, evaluating various proposals, until a consensus was reached. Thus, at the beginning of April, private enterprise, the working class, and the Government of Honduras agreed on a salary increase ranging between 5.32% and 8.00% for 2022-2023, which will be retroactive as of January 1 and will be in effect for 2022 and 2023. The increase can be paid on a deferred basis in April, May, and June of the current year, corresponding to the months of January, February, and March.
It should be noted that the salary increase depends on the number of employees and the industry in which the company is engaged. In monetary terms, increases range from L. 374 lempiras on average for companies with 1 to 10 employees and L. 407 for companies with 11 to 50 employees. Meanwhile, for companies with 51 to 150 workers, the adjustment is L. 518 lempiras and for companies with 151 or more workers, the increase is L. 640, on average.
The Honduran Council of Private Enterprise (COHEP, for its acronym in spanish), as the employer sector, stated that it is aware that the best way to plan is when there is certainty about the budgetary changes that occur in the finances of companies, Therefore, they will continue to support the setting of the minimum wage on a multi-year basis and agreed based on technical parameters related to the cost of living and productivity, with the purpose of generating economic stability in the country and the sustainability of the companies. COHEP made a call to companies in general, to respect the minimum wage agreement set for the years 2022 and 2023, in accordance with the economic activities, strata of workers and amounts.
Finally, by increasing the minimum wage, workers are supported so that they feel considered and appreciated by the employer. “Wages being more competitive makes possible a more dynamic demand for goods and services, creating a favorable climate for investment”.