Results of the study for proposing the increasing amount to the Minimum Wage for 2020 and its repercussions

Abstract

The Minimum Wage had an historic recuperation in 2019, however, still represents very serious lags that decrease the living quality of the working class. For the Minimum Wage to reach the purchasing power of 1976, it should increase 281%; while to level the GDP growth per capita of the neoliberal period, the increase should be 349%. For 2020, the Minimum Wage could increase in a nominal range between 24 and 25% to reach an amount of $ 128.60 per day without the inflation exceeding the monetary policy objective (3% +/- 1%). It is recommended and of highest priority to continue with a policy to increase the purchasing power of wages in order to reach dignified levels.