There will be a 0.5% wage increase for the second half of 2016. This means that a worker earning ¢ 300,000, will now earn ¢450,000 from July, 1st.
However, domestic servants are entitled to 2% of wage increase.
The idea is to increase ¢500 per every ¢100,000 people already make.
According to Dennis Cabezas, president of the National Wages Council, neither the unions’ proposals, nor UCCAEP’s proposal got most votes, whereas the government’s proposal was accepted unanimously.
The Council accepted the need to reconsider the formula with which wages are set and they expect to implement improvements for the next revision.
Cabezas, as representative of the labor sector, considers contradictory the fact that inflation is low but the costs of life is higher for employees.
On the other hand, Franco Pacheco, president of the Costa Rican Union of Chambers and Associations of Private Enterprises (UCCAEP), said the increase represents a great effort for the business sector, composed mostly of small and medium enterprises.