By Mónica Villafaña, partner and head of the Business and Corporate Division.
This Wednesday, 14 July, the National Wage Committee has announced through its Resolution 1-2021 a wage adjustment authorising a new minimum wage for non-sectorised enterprises.
The increase is effective from 16 July 2021.
A non-sectorised company is considered to be any company that does not belong to the free zone, tourism, bars, restaurants, and non-profit organisations sector.
The increase only applies to those employees currently earning the minimum wage. which is calculated on the basis of the company’s classification:
| Type of company | Previous minimum wage PDO | Minimum wage new PDO | Implementation of the increase
As of 16 July 2021 |
Implementation of the increase
As of 1 January 2022 |
| Microenterprises | N/A | 11,900.00 | 11,500.00 | 11,900.00 |
| Small companies | 10,730.00 | 12,900.00 | 12,400.00 | 12,900.00 |
| Medium-sized companies | 12,107.00 | 19,250.00 | 18,500.00 | 19,250.00 |
| Large companies | 17,610.00 | 21,000.00 | 20,000.00 | 21,000.00 |
(*) If the employee is currently earning the new minimum wage or more, no increases are applicable according to the resolution.
Classification of companies:
| Type of company | Characteristics in terms of number of employees | Characteristics in terms of annual gross sales PDO |
| Microenterprises | A maximum of 10 employees | Up to 8,000,000.00 |
| Small companies | 11 to 50 employees | From 8,000,000.00 up to 54,000,000.00 |
| Medium-sized companies | 51 employees or more | From 54,000,000.00 up to 202,000,000.00 |
| Large companies | 151 employees or more | More than 202,000,000.00 |
In case a company meets different scale criteria, the higher scale shall apply.
