Vol. 6 No. 2 (2024): Objectives of the increase in the minimum wage by 2025 in the face of inflationary levels and external pressures

The new government administration in Mexico brings with it its own proposals; but also, commitments to maintain the ideology of social policies, as well as agreements with the business sector and society itself. In this sense, in light of the speculation about the 12% increase in the minimum wage for 2025, which is circulating in some media, we ask ourselves: why would the increase for 2025 have to be less than the average increase (20%) that was determined in the previous administration? There are several positions, one of them is: to consider inflationary levels within this increase in wages; another, an external commitment to caring for the environment, that is, to avoid a possible overproduction due to the fact of recovering the increase in wages. And a last one, derived from this salary increase, companies could choose to cut staff and increase informality, and it would be necessary to investigate whether or not informal employment has an impact on the economy. These stories are what RISAD shares with you, dear readers, in this August-December 2024 issue.