Honduras’ most prominent business leaders will meet today in San Pedro Sula to discuss the minimum wage increase that has been autohorized by the government of Honduras. The minimum wage has moved from Lps. 3,700 to Lps. 5,500, an increase which according to some private business owners will bring a wave of job losses across the board.
Analyst have said that the huge increase in the minimum wage will:
1. Put Honduras in an uncompetitive position when compared to other Central American countries with lower minimum wages and more qualified workers.
2. Increase inflation as many businesses will increase prices to try to offset their workforce costs.
3. Job losses to try to offset their workforce cost.