The flag of Mexico in the Zócalo in Mexico City. (Photo: Hector Vivas/Getty Images)

(CNN Español) -- Workers in Mexico will start 2024 with a 20% increase in the minimum wage.

The National Commission on Minimum Wages (Conasami), a body made up of the government and representatives of workers and employers, agreed to the sixth increase so far in the government of President Andrés Manuel López Obrador.

This Friday it was reported that as of January 1 of next year the minimum wage in most of the country will go from 207.44 to 248.93 pesos per day, and in the Free Zone of the Northern Border it will go from 312.41 to 374.89 pesos per day.

Per month, a worker will receive 11,403 pesos per month on the northern border and 7,508 pesos per month in the rest of the country.

The Business Coordinating Council (CCE), made up of the 7 largest business organizations in Mexico, celebrated the increase.

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"The CCE and the organizations that make it up reaffirm their commitment to improve the income of Mexican workers, as well as their willingness to dialogue with all sectors and reach consensus, but, above all, the commitment not to leave our employees and their families unprotected," the organization said in a statement.

He highlighted that from 2018 to 2024, the minimum wage has increased 221% in the Northern Border Free Zone and 113% in the rest of the country, in real terms.

How Wages Have Evolved

During López Obrador's administration, the minimum wage has had five double-digit increases.

In 2019 it rose 16.2%; in 2020 by 20%; for 2021 the increase was 15%; in 2022 it was 22%, to close the six-year term with 20% more.

This Friday, in his morning conference, the president of Mexico highlighted the increase.

"This is historic, because it means that we are going to fulfill what we promised at the beginning of our government, to increase the minimum wage in real terms to double."

At the beginning of his government, in 2018, the minimum wage was 88 pesos, that is, 2,687 pesos per month, now it will go to more than 7,000 pesos for most of the country.

"This hasn't happened for at least 50 years, that's why I say it's historic. It is necessary to thank the support of the workers' and the business sector, especially the latter, because they accept the increase. That is, there was an agreement, the increase is carried out by consensus," López Obrador said.

Conasami highlighted that these increases have also helped to reduce the gender pay gap by 25%.

The president reported that between 2019 and 2022, thanks to increases in the minimum wage, the number of people living in poverty was reduced by 23.7%. At least 4.1 million Mexicans left this condition thanks to the increase in their purchasing power.