#Honduras 🇭🇳 #BDS_Article: Extension of Maternity and Paternity Leaves: Toward Effective Shared Responsibility
One of the most significant labor rights reforms currently under consideration in Honduras is the...
Effective June 1, 2025, the new minimum wage rates in El Salvador will come into force, as established by Legislative Decree No. 11, published in the Official Gazette on Friday, May 23 of the current year.
With this adjustment, the minimum monthly wage for workers in the commerce, services, industrial, and sugar mill sectors is set at $408.80.
However, it must be noted that the applicable statutory deductions will be applied to this amount: 3% for the Salvadoran Social Security Institute (Instituto Salvadoreño del Seguro Social, ISSS) and 7.5% for the Pension Fund Administrator (Administradora de Fondos de Pensiones, AFP). As a result, the net monthly income that these workers will receive will be approximately $366.90.
In the case of the textile maquila and apparel sector, the minimum wage will increase from $359.16 to $402.25, representing a significant improvement. After the mandatory deductions are applied, the net amount to be received by workers in this sector will be $361.02 per month.
For workers engaged in sugarcane harvesting and coffee processing, the minimum wage will increase from $272.66 to $305.77. However, after subtracting the ISSS and AFP contributions, the net monthly wage will be $274.43.
Lastly, agricultural & livestock workers and coffee pickers, who currently earn $243.46, will see their minimum wage increase to $272.67. After the corresponding deductions, their net income will be approximately $244.69.
You may access the full text of the Decree here.
Please contact us if you have questions or require legal assistance regarding the implementation and management of this wage increase.
