Thursday, 19 August 2021 12:59

Ministry of Labor verifies companies' compliance with the 20% wage adjustment

Written by Evelyn Alas

The Ministry of Labor has deployed more than 700 inspectors nationwide to verify that companies are complying with the new salary adjustment, these measures will be developed in all companies in the country.

The verification was carried out in Laboratorios Vijosa, a company with more than 700 employees, of which more than 400 are women. During the tour, the company's payrolls were checked and the workers were talked to.

The Central Government has arranged a one-year subsidy, managed by the Banco de Desarrollo de El Salvador (BANDESAL), to support micro, small and medium-sized enterprises (MSMEs) that will increase their workers' salaries.

The verification was applied to the new tariff schedule included in the historic increase of 20% to the minimum wage. The increase came into effect this august, with which employees in commerce and services will go from earning US$304.17 to US$365.00. The maquila sector will go from US$295.30 to US$359.16.

The comprehensive initiative includes the verification of the prices of food products, through the Defensoría del Consumidor, which carries out inspections to ensure compliance with market standards.

"We have verified and confirmed that there is indeed a payment per fortnight and others are by payroll in a monthly payment. The 100 %, as the new tariff schedule states, has been executed in this way. This is one of many companies that we are verifying throughout the country", said the minister of Labor, Rolando Castro.