First modification:
An emergency presidential decree published on Sunday, November 15 in the official gazette establishes that formal workers in the private sector will receive an extraordinary bonus of 210 soles. But the measure excludes the informal, who make up 70% of the workforce.
The Peruvian president, Pedro Castillo, raised the hope of many when, in his speech of his first 100 days in office, he categorically stated that no citizen who worked in a formal way was going to earn less than 1,000 soles a month (about $ 250).
That November 10, 2021, the country’s workers took it for granted that there would be an increase in the minimum living wage by 7.53% as of December, from the current 930 soles (about $ 231.5).
It would have been the first rise since 2018, when the government of then-President Pedro Pablo Kuczynski approved a 9.41% rise. However, the euphoria was short-lived.
A grant, but not a salary increase
The same president had to leave the same day later to clarify his message: “they will be paid a subsidy of 70 soles (per month), thus temporarily increasing the minimum salary they receive.”
Although the Ministry of Economy spoke of a subsidy for three months, finally, on Sunday, November 14, the Government materialized its announcement with the publication in the official gazette of an emergency decree that dispelled all doubts.
The aid will be 210 soles (about 52 dollars) and will apply only once for private formal workers in the country who receive a gross remuneration of up to 2,000 soles (500 dollars).
The ministerial portfolio foresees that the subsidy will benefit some 3 million formal workers in the private sector, which covers more than 80% of the private formal employment registered in the third quarter of 2021.
However, on the outside are informal employees, who represent 70% of the workforce in a country of more than 30 million people.
With EFE and local media
.