Economy Politics Country 2025-12-12T21:54:00+00:00

New Minimum Wage Set in Panama

An agreement has been reached in Panama on a new minimum wage, which will take effect from January 16, 2026. Increases will be differentiated by sector and region.


New Minimum Wage Set in Panama

The Minister of Labor and Labor Development of Panama, Jacqueline Muñoz de Cedeño, announced that the country will have a new minimum wage starting January 16, 2026, after employers and workers reached an agreement at the tripartite table established a month ago. With a tone that made it clear that, finally, the calculators and interests aligned, Muñoz de Cedeño highlighted that the table "put the Panamanian first", avoiding unrealistic expectations and betting on "responsible, cold decisions based on hard numbers". "This table leaves a commitment and renewed confidence," she stated. The government explained that the goal is to equalize regions, considering that the country operates under two economic areas with different realities. The adjustment was reviewed line by line by the MITRADEL. The agreement will be sent to the President of the Republic for his sanction and subsequent publication of the corresponding decree. Once signed, the new minimum wage will be applied nationwide from January 1. The increases by sector are as follows: industrial fishing: +B/.10.00; domestic workers and security agents: +B/.9.50; security workers: +B/.12.00; waste collectors in Panama: +B/.16.00; transportation (drivers): +B/.12.50; school bus drivers: +B/.12.00.