Colombia | In search of a good minimum wage for all Colombians

Summary

At this time, talks on the minimum wage increase for the year 2024 have already begun and this decision affects formal workers directly and indirectly all workers, as the minimum wage is fundamental to the country's economy

Key points

• Key points:
• The right minimum wage increase for 2024 is one that promotes investment and consumption decisions, and does not deepen the expected deterioration in job creation.
• At BBVA Research we estimate that next year national job creation will grow by only 0.7% annually.
• Raising the minimum wage much higher than expected inflation, without taking into account labor productivity, will have negative effects on inflation.

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