Proposed Minimum Wage of 8,500 Lempiras

Negotiators from the labor unions propose to set a minimum wage of 8,500 lempiras, according to the leader of the Confederation of Workers of Honduras (CUTH), Jose Luis Baquedano.

“In this country to live more or less, a worker must earn monthly lempiras of 8,500 to cover the cost of basic food, and health, housing, education and utilities,” said the labor leader.

“If a minimum wage is based on nothing more than basic food, that means that the worker is unable to meet demand for housing, health and education, we must speak of fair wages to improve living conditions” he said.

The initial cost to employers, including the bonus paid of one month’s salary twice-yearly, would bring that number to 9,916 lempiras. This number does not include the additional money employers are required to pay on employee’s behalf for medical treatment, ongoing education, etc., nor the accumulative expenses of a parting employee who has worked longer than two months, who is paid unemployment by the entity providing work.

4 Responses to "Proposed Minimum Wage of 8,500 Lempiras"

  1. miraclemant  December 24, 2009 at 11:42 pm

    This is why more and more manufactures are only paying by what is called “piece meal”, that is they pay a set amount based on how much the worker produces. The worker is NOT paid based upon time spent at the company, but rather their pay is based solely upon how much they produce. What I have seen is that a worker that is hard working, and puts their mind and body to the task of producing for the manufacture can actually make more money, but the worker who is a slacker, and does not want to work hard, but only shows up to put their time in, will soon realize that he/she either must step it up and produce, or will go somewhere else and take another employers money.

  2. Axel Reyes Bogran  December 24, 2009 at 11:01 am

    You know gonow, that the worst part of the policy that gives those two extra months of salary per year has nothing to do with economics, it has to do with social behaviour.

    It would be just as beneficial to the employee to receive a higher sallary per month, as well as just as damaging for the employers, since they still would have to pay more than it is fair, but still keeping the cost of production to the same level.

    The horrible truth is that they pay those 2 extra months so the employees can have money around Christmass time.

    It is such common practice for the Honduran workers to drink their sallary away almost the same day that they get paid, those 2 extra months are almost an insurance policy for having money at the end of the year.

    The reason is very simple, lack of discipline on the employee side, but us latinos hate to be told what we are doing wrong, so nobody dares, and istead, the Ministry of Labour just forces the employee to pay more times.

    And do not even think about compensating by paying less each month, the Leftist Unions would never go for that, because their leadersmake so much money from being in that position (corruption anyone?) that they would not dream of antagonizing their syndicates.

    So go figure, unless some real leadership comes into power, Honduras will keep on going down that twisted road known as “failure”.

  3. gonow  December 23, 2009 at 11:03 pm

    it easy to say what one needs or wants ..but in the long run every thing; manufactured ,grown or cought is dependent on supply and demand that include many factors; price and quality is on top ….. locally a few people are shielded from those demands for a while becouse they belong to a union ………. but like they have learned [?] in many countreys manufacturers go where they get the best deals in quality and dependable labor ………. millions and millions of jobs left the u.s and went to asia some went to mexico but now companies are leaving mexico and going to asia when the unions demand a little tomuch the jobs go ….simple as that so in honduras the union demands 2 month salery as bonus ?? that is the same as having 8 weeks vacation that is not going to last special when you have 29% unemployment good luck is nice …but good wisdom is needed a lot more ……

  4. Axel Reyes Bogran  December 22, 2009 at 5:49 pm

    To read cooments like that makes one feel like being between a rock and a hard place.

    Of course the workers need and deserve a fair pay.

    And it is very true that pay can not be accounted only to take care of food.

    But what about the workers?

    Most workers in Honduras that are protected by a Syndicate (Union) do not feel responsible toward the employer.

    Is this Union representative taking care of that part also.

    It is very costly to break into a market, and when you do, your product has to be able to compete in a very crowded enviroment and to do that, it has to be of a comparable quality to that of the closest competitor.
    In order for this to hapen, the employee (worker) has to be very dedicated to quality control and production standards that contribute to keep the cost of production down, then it may be possible to pay that laborer at a better pay rate, when there is more money earned by that product that he/she made.

    At this time though, the products made in Honduras are having a very dificult time competing in the world market, mostly due to lack of quality control, and when the product of an industry can not compete in the realm of quality, it has then to compete in the world of price, to do that, costs has to be reduced, and the workers wages are the first to suffer.

    So, Mr. Syndicate leader, what do you say?

    Should you instruct your union members to become better emoployees before you start demanding better wages?

    I think so.

    And so does almost anybody that is trully familiar with the impossibilty of dealing with Honduras labor laws and Honduran laborers.

    Of course, every generalization has its exceptions, but this are not currently enough.

    Teach your employees to be better workers first, then fight for their right to get paid according to their skill levels, not simply because they got up and went to say ‘present’ at their place of work.

    It is time that the Honduran worker wakes up to the reality that there is nothing granted nor free, it has always been a strugle to earn a living.

    Surprising that a country with so many churches so easily forgets the big message in the Bible about how humans will earn their daily bread, there is no free ride, it will be through the sweat of their brows.

    So get to work in fixing your sindicated laborers before you try to fix the labor laws.

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