The Guatemalan Association of Exporters (Ag
export) reported that the 14.8% increase in the minimum wage for the textile sector is the reason for the low growth prospect.
"Projections indicated a growth of 13.7% to 15.4%, representing $ 1.112 billion more to the projected end of the year $ 8.144 million. However, the estimates were reduced by 40.5% and now expected sales abroad to grow about 8% ($ 660 million)", Sigloxxi.com reported.
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The business sector proposes an increase of 2%, while employee representatives are asking for 47%.
The current minimum wage is Q62, 5 ($7.95) per day, for the export and maquila sectors and Q65 ($8.27) per day for agricultural and nonagricultural sectors.
The final debate is scheduled for tomorrow, December 7 and if a consensus can not reached, the President will make the final decision.
As of February 28 an increase of 7% will be put in place, and another 6% during the second half of the year.
The increase was defined by a tripartite commission composed of government, unions and the private sector and it applies to the eight sectors of the economy.
"The National Minimum Wage Commission ratified the 8% salary increase for micro, small and medium enterprises (MSME)", states the article in Laprensa.com.ni.
From January 2016 an increase of 0.67% will apply to private sector wages of all categories included in the official decree.
The National Wages Council confirmed the government's proposal that the adjustment which will take effect from January 2016 is 0.67% for salaries of workers in the private sector.
The Government passed a decree increasing wages between 13.75% and 14.88%.
Workers in the textile industry should receive 14.88% more salary, while those in other sectors 13.75%.
Alvaro Colom “approved the decree after the National Salary Commission (CNS), composed of businessmen and worker union leaders, failed to reach an agreement during 2010”, explained EFE.