What Will a Higher Minimum Wage Mean for Mexicans?
Mexico will raise its minimum wage by 12 percent, a commission made up of government, labor and business representatives announced on Dec. 4. The new daily minimum wage of about 279 pesos takes effect on New Year’s Day. The minimum wage will be higher, about 420 pesos daily, along the country’s border with the United States. How significant is this minimum wage increase as compared to past wage hikes? Who stands to benefit most from the decision? To what extent will the change lead to a tangible improvement in the daily lives of Mexicans, and how will businesses be affected?