Exploring Bolivia's Minimum Wage: Understanding The Basics

Bolivia has a government-mandated minimum wage, which means that no worker in Bolivia can be paid less than a certain amount. The minimum wage in Bolivia is 2,500 BOB (Bolivian Boliviano) per month in 2024, which equates to 329.6 EUR or 387 USD per month. This is an increase from 2023, when the minimum wage was 2,362 BOB per month, or 327 USD per month.

Minimum wage in 2023: 2,250 BOB/month

As of 2023, the minimum wage in Bolivia is 2,250 BOB per month, or 327 USD per month. This is a significant increase from previous years; in 1991, the minimum wage was just 120,000 BOB per month.

The minimum wage in Bolivia is set by the government, and all employees are entitled to receive at least this amount as a mandatory minimum rate of pay. Employers who fail to pay at least the minimum wage may be punished by the government.

In addition to the monthly minimum wage, all Bolivian employees are entitled to an obligatory Christmas bonus, known as 'Aguinaldo', under the General Labour Law. This bonus is equivalent to one month's pay and is not subject to taxation.

The minimum wage in Bolivia is subject to change and is typically updated yearly. In 2024, the minimum wage was increased to 2,500 BOB per month, or 3,955 euros per year. This represents a 5.84% increase from the previous year, which is greater than the CPI (Consumer Price Index) of 2023, which was 2.1%.

Minimum wage in 2024: 2,500 BOB/month

As of 2024, the minimum wage in Bolivia is 2,500 BOB per month. This equates to 1805 Bolivian bolivianos per month, plus an obligatory Christmas bonus of one month's pay. This is prorated for the amount of time the worker has been in their position. This has been the minimum wage since 1 January 2024 and represents a 5.84% increase from the previous year. This is a higher rate of increase than the 2023 CPI of 2.1%, meaning workers have gained buying power in the last year.

The minimum wage in Bolivia is government-mandated, and no worker can be paid less than this rate. Employers who fail to pay the minimum wage may be punished by the Bolivian government.

The minimum wage in Bolivia is much lower than in other countries. For example, the minimum salary in Bolivia is 2,500 Bolivians, while the minimum salary in the District of Columbia is 23,465+ Bolivian bolivianos.

The average salary in Bolivia is much higher than the minimum wage. According to Salary Explorer, the average annual salary in Bolivia is 102,000 BOB, or 8,530 BOB per month. This equates to 14,829 USD per year or 1,240 USD per month as per April 2023 exchange rates.

Obligatory Christmas bonus

The minimum wage in Bolivia is 2,500 BOB (Bolivian Boliviano) per month, which equates to about 314 USD. This rate came into effect on January 1, 2024.

In Bolivia, all workers are entitled to an obligatory Christmas bonus under the General Labour Law. This bonus is equivalent to one month's salary and is not subject to any taxation. Additionally, a second bonus of one month's pay is given in May if the company made a profit in the previous year.

In November 2013, Bolivian President Evo Morales announced a double Christmas bonus for the country's 300,000 public employees. This meant that public employees would receive an extra two months' salary during the month of December. This decree caused controversy, with private companies objecting to the additional cost and critics arguing that it would aggravate inflation. However, the measure was well-received by traditional supporters of Morales and the Bolivian Workers Central (COB).

The double Christmas bonus was framed by the government as a redistributive measure to share the benefits of the country's economic growth with the workers. According to President Morales, the bonus was a fair recognition of the workers' contribution to the country's growth. The decree stated that the bonus would be paid annually as long as Bolivia's GDP growth exceeded 4.5%.

Second bonus in May

The minimum wage in Bolivia is currently 2,500 BOB per month. This has been the case since 1 January 2024.

In addition to this, all Bolivian employees are entitled to an obligatory Christmas bonus under the General Labour Law. This bonus is equivalent to one month's pay and is not subject to any taxation.

A second bonus is also paid in May if the company made a profit for the previous year and is declared by the government. This is also equivalent to one month's pay.

Therefore, the second bonus in May for workers on minimum wage in Bolivia is 2,500 BOB.

Bolivia's minimum wage ranking

Bolivia has a government-mandated minimum wage that all workers must be paid. As of 2023, the minimum wage in Bolivia is 2,250 BOB (Bolivian Boliviano) per month or USD 327 per month. In 2024, the minimum wage rose to 2,500 BOB per month, which equates to €329.6 per month or USD 314 per month.

According to one source, Bolivia ranks 62nd out of 122 countries in terms of the height of its minimum wage. This places Bolivia among the countries with the lowest minimum salary.

The minimum wage in Bolivia includes obligatory bonuses such as the Christmas bonus (Aguinaldo), which is equivalent to one month's pay. A second bonus of one month's pay is given in May if the company made a profit for the previous year.

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