Minimum Wage in Panama

Panama has more than 30 different minimum wages, which vary by economic activity and geographic region. In the agribusiness sector, particularly in agriculture, the minimum wage for small businesses is $347.09, while large companies pay $432.30. In agriculture and livestock farming, the minimum wage for small businesses is $340.85, and for large businesses, it is $428.15. In the commercial sector, the minimum wage in small retail businesses is $492.58; small hotels pay $494.65; and small restaurants pay $482.18. In the processing part of agribusiness, small businesses have a minimum wage of $492.58. The average minimum wage in Panama is around $630 per month. However, excluding domestic service, where the basic wage is $340, there are 11 economic activities where the minimum wage is less than $500 per month. Construction is very well paid due to the collective agreement between Capac and Suntracs. However, work on the drainage of agricultural lands and forests has a minimum monthly wage of $432.30. In gardening, the base wage is $432.30 per month, while for the repair and maintenance of personal and domestic use, it is $482.18. In artisanal fishing, the base wage is $478, and in the manufacturing industry, small businesses pay $482.18. On the one hand, workers are asking for a monthly wage of $900, while on the other hand, employers and the government are proposing a much smaller figure. The Minimum Wage Commission has been established, and although there seems to be a consensus on increasing it, expectations about what the increase might be are very different. At the end of the year, after four sessions, the new minimum wages that will govern for the next two years must be announced.