El Salvador Approves 12% Minimum Wage Increase Starting June 1.

The Government of El Salvador has officially announced a 12% increase in the national minimum wage, effective June 1, 2025. The adjustment was unanimously approved by the National Minimum Wage Council (CNSM) and applies to the maquila, industrial, agricultural, and service sectors, which operate under differentiated wage structures.

Labor Minister Rolando Castro confirmed the implementation date, highlighting that the wage hike follows a proposal by President Nayib Bukele. “The minimum wage increase will take effect starting June 1, 2025, as proposed by President Nayib Bukele,” stated the minister during an official announcement.

With this adjustment, workers in the commerce, services, industrial, and sugar mill sectors will now earn $408.80 per month. Employees in the textile and apparel industry will see their wages rise from $359.16 to $402.25. In the agricultural sector, including coffee workers, wages will increase from $243.46 to $272.67.

These updated wage rates will be subject to the corresponding deductions for the Pension Fund Administrator (AFP) and the Salvadoran Social Security Institute (ISSS), as required under national labor regulations.

This wage increase represents a significant step toward improving income for thousands of formal workers across the country, reinforcing El Salvador’s commitment to economic equity and labor rights under the current administration.