The National Salary Council (CNS, for its acronym in Spanish) approved by majority the minimum wage increase for private sector employees for the year 2022, valid from January 1st, 2022 onwards. The approved general increase was 2.09% overall for all private sector minimum wages.

In execution of agreements made by the CNS, once the 2.09% has been applied, the following increases will also be applied to the minimum wages of the categories mentioned below.

1. Monthly domestic service 2.33962%.
2. Monthly semi-skilled worker 0.3986390%.
3. Qualified worker by day 0.3955514%.
4. Monthly specialized worker 0.5562880%.

This change means that, like every year, the salary that cannot be garnished increases.

The Minimum Wage Decree for the Private Sector applies to employees, regardless of how long they have been working for the company. The employees who benefit from this salary increase are:

• Private sector employees who currently receive the minimum legal salary for their category.
• Employees who have an agreement with their employers to receive the minimum salary increase, even though their current salary is above the minimum legal amount.

The Employment, Labor, & Immigration Law Practice of Dentons Muñoz–Costa Rica offers legal advice relating to:

• · Legislation review: to determine which of the applicable minimum salaries correspond to which category of employees.
• · Legal opinions: in reference to all minimum wage matters.
• · Legal advice: to prevent future legal issues.

To obtain legal advice on Costa Rican labor and employment law, please do not hesitate to contact us.