MEF also sees no room to increase the minimum wage in the midst of a recession

The vice minister of Economy, Juan Pichihua Sernapointed out that an eventual increase in the Minimum Vital Remuneration (RMV) is not on the radar of the Ministry of Economy and Finance (MEF) in a recession scenario that urgently needs to be reactivated through private investment.

During his presentation at the Peru Sustainable Social Infrastructure conference, organized by Dorado Investments, the official thus supported the previous statement of the Minister of Labor, Daniel Maurate, who days ago mentioned that raising the minimum wage was not “recommended” today.

“There is a lot of pressure for salary increases, but it is difficult for them to happen in the context we find ourselves in. First is the reactivation and then we have to see other actions,” Pichihua said.

It is worth remembering that the increase in the minimum wage was a promise made by President Dina Boluarte during her message to the Nation on July 28, a month in which the Peruvian economy fell -1.29% and in which the head of the portfolio , Alex Contreras, still did not recognize the ongoing recession.

In this sense, Pichihua noted that formal employment “has not grown, but it does not mean that unemployment has increased” thanks to the measures sent by the Executive at the beginning of the year. He asserted that if it were not for mining and trade, the situation would have been more complicated.

However, the vice minister highlighted the full use of public funds for the reactivation through the first two Con Punch Peru plans. So much so, that the project for additional resources with a supplementary credit was only approved by Congress on October 20.

“The part of leading indicators, such as energy in recent months, is already showing us a slight recovery and we hope that in November and December the growth rate of energy consumption will already take on the dynamics it had in previous months and years,” he said. .