Colombia’s minimum wage to increase in ’25

Colombia’s President Gustavo Petro announced that the country’s minimum wage will increase by 9.54 per cent in 2025, after talks between the government, business associations, and workers’ unions failed to reach a consensus.

The minimum wage will rise to 1.4 million pesos (approximately $323.90) per month in 2025, up from 1.3 million pesos this year. The adjustment marks a smaller increase compared to the 12 per cent hike implemented for 2024.

In previous years, agreements on minimum wage increases were reached between the government and stakeholders, covering 2022 and 2023. However, this year’s negotiations concluded without an accord.

Colombia’s central bank has projected that annual inflation in Latin America’s fourth-largest economy will close 2023 at 5.3 per cent, with a decline to 3.1 per cent expected by the end of 2025.

Attribution: Reuters

Subediting: M. S. Salama