Minimum wage: workers speak of insufficient increase and fear of further price hikes
Translated from Spanish, summarized and contextualized by DistantNews.
At a glance
- Paraguayan workers express mixed reactions to a 5% minimum wage increase, deeming it insufficient for basic needs.
- Some fear the raise will trigger price hikes on essential goods and services, negating the benefit.
- Others report not even earning the current minimum wage, making the increase irrelevant to their personal situation.
Paraguay's President Santiago Peรฑa announced a 5% increase to the minimum wage, equivalent to G. 144,952, a rise that has elicited varied responses from workers. While some welcome any adjustment, many argue it falls short of covering essential living costs, sparking concerns about its real impact.
It is very little. You reach the end of the month and it's not enough. The expenses we have, the children in the school. Three million [guaranรญes] is nothing.
One worker lamented that the announced increase is "very little" and does not meet the actual needs of families. "You reach the end of the month and it's not enough. The expenses we have, the children in school. Three million [guaranรญes] is nothing," she told ABC TV, highlighting the struggle to make ends meet.
Concerns about inflation and rising prices are also prevalent. Another citizen expressed worry that the wage hike will be absorbed by increased costs for basic necessities. "What happens if the salary goes up? The family basket will go up everything. There is no solution. No matter how much it rises, everything will be readjusted," she stated, citing a recent bus fare increase as an example of immediate price hikes.
What happens if the salary goes up? The family basket will go up everything. No solution. No matter how much it rises, everything will be readjusted. Yesterday I paid for an internal bus ticket, which wasn't supposed to go up yet and they already raised it. It's detrimental.
Adding to the complexity, several workers reported not even earning the current minimum wage, rendering the announced increase moot for their personal finances. "I don't earn the minimum and there's no possibility of them raising it for me. Every year it goes up, I ask for a raise and they don't give it to me. And it's not easy to find work," one individual shared.
I don't earn the minimum and there's no possibility of them raising it for me. Every year it goes up, I ask for a raise and they don't give it to me. And it's not easy to find work.
For some, the increase offers a slight benefit, but remains insufficient for those managing multiple expenses, such as private school fees for children. "For some it will be okay, but for others it is little," a young woman commented. The fear of a direct impact on prices was a recurring theme, with one citizen summarizing, "All prices will go up, it's complicated."
For some it will be okay, but for others it is little. For those families who have to struggle to send [children] to private school, because public education is bad, they have to pay the monthly fee, breakfast, lunch and snack for their children, those expenses are a lot. It's little sometimes, it's difficult. May God bless us, so that it is fair for every family.
Originally published by ABC Color in Spanish. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.