Mexico raises minimum wage
December 3, 1996
Web posted at: 9:30 p.m. EST (0230 GMT)
MEXICO CITY (CNN) -- The Mexican government raised the
minimum wage 17 percent Tuesday in an effort to turn back the
effects of inflation, which has for the past two decades gone
up faster than Mexican wages.
Tuesday's increase raised it to a maximum 26.45 pesos a day,
or about $3.36. However, for most Mexicans the move was
marred by sharp increases in transportation and energy costs.
Both sectors are subsidized by the government. Fuel prices
went up 8 percent from December 1 prices, and urban
transportation prices rose from 20 percent to 50 percent.
Only 3.5 million Mexican workers earn the minimum wage, but
wages for most of the other 35 million workers are loosely
tied to it.
Reuters contributed to this report.
Related sites: Note: Pages will open in a new browser window
External sites are not endorsed by CNN Interactive.
© 1996 Cable News Network, Inc.
All Rights Reserved.