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Anti-poverty organization calls for 30% increase in minimum wage

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Raising the minimum wage by around 45 pesos is necessary to fight poverty, according to an expert.

The National Minimum Wage Commission will announce its decision by the end of the year

The minimum wage is expected to increase by 30% in 2022, according to an anti-poverty organization that has criticized the federal government’s efforts to fight poverty.

Acción Ciudadana Frente a la Pobreza (Citizen Action Against Poverty) has submitted a formal proposal to the National Minimum Wage Commission (Conasami) to increase the daily wage to 185.2 pesos (US $ 8.60) from its current level of 141.7 pesos.

Conasami’s board members were due to start discussing next year’s hike on Thursday. The minimum wage, one of the lowest in the Americas, was raised by 15% earlier this year.

Acción Ciudadana coordinator Rogelio Gómez Hermosillo said that an increase of around 45 pesos in the minimum wage is key to tackling poverty, which has increased during the coronavirus pandemic.

He said that it is “proven” that an increase in size proposed by the ACFP will have no negative effect on the economy.

“Don’t be fooled or confused, this is not a widespread pay rise,” Gómez said. “It is already clear that an adjustment to the minimum wage in Mexico has no effect on macroeconomic variables such as inflation, but it is important in terms of reducing working poverty. “

The ACFP said in a statement that 61% of people with a fixed salary do not earn enough to exceed the poverty line. The working poor are made up of 19.3 million Mexicans, he said.

For work to be “a dignified way out of poverty”, the first step is to raise the minimum wage, said ACFP.

Conasami is due to announce an increase in the daily minimum wage by December 31. The new rate will take effect on January 1.

With reports of Reforma