
The minimum wage in El Salvador has seen one of the most significant increases in Latin America in recent years. According to data from the Organización Internacional del Trabajo (OIT), between 2012 and 2025, the country is among the nations where the minimum wage increased between 40% and 60%, a remarkable advance not only for its magnitude but also because it has occurred gradually and in real terms, meaning it has outpaced inflation.
This performance places El Salvador alongside countries like Chile, Nicaragua, and the Dominican Republic, which also reported significant increases during the same period. In contrast, other economies in the region, such as Brazil, Colombia, Costa Rica, Ecuador, Panama, and Uruguay, registered more moderate increases, between 10% and 30%, according to the report.
For economist Román Rodríguez, the salvadoran case reflects positive results in terms of wages. He explains that one of the main successes has been that the increases have not been limited to nominal adjustments (that is, simple increases in figures), but have managed to stay ahead of price growth. This means that workers’ purchasing power has improved, allowing them to cope more effectively with the cost of living.

Rodríguez emphasizes that, in many countries, wage increases are often eroded by inflation. “Increases are frequently announced as a success, but if prices rise at the same rate or faster, those increases are diluted”, he explains. In the case of El Salvador, the real growth of the minimum wage has prevented this effect, which represents a relief for thousands of families.
The gradual increase is also a key factor. According to the analysis, staggered adjustments allow companies to adapt without causing abrupt impacts on employment, while ensuring a sustained improvement in workers’ income. This combination has contributed to a more stable increase with lasting effects.

Although the regional context shows uneven progress, El Salvador stands out for having achieved a balance between wage growth and inflation control. For the ILO and specialists, this type of progress is fundamental to strengthening workers’ well-being and boosting the economy, since greater purchasing power drives domestic consumption and improves living conditions.
In this scenario, the country is consolidating its position as one of the regional leaders in terms of real minimum wage, with results that, if sustained over time, could continue to generate positive impacts in both the social and economic spheres.
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