São Paulo – A decree signed by Brazilian president Michel Temer was published on the Federal Official Gazette This Friday increasing the minimum wage from BRL 880 (USD 269) to BRL 937 (USD 286), as of January 1, 2017. The move had been announced on Thursday (29) by the government.
In a statement issued early Thursday night, the Brazilian Ministry of Planning, Development and Management said the new minimum wage means total wages paid in 2017 BRL 38.6 billion (USD 11.7 billion). The amount is equivalent to 0.62% of Gross Domestic Product (GDP), and the government said it will “a have positive effect, spurring consumption and economic growth throughout the year.”
*Translated by Gabriel Pomerancblum