Minimum wage increase in Venezuela

The president of Venezuela, Nicolas Maduro (image), has announced that the minimum wage will be increased by 15% in the country starting December. The new minimum salary will be 4,889 bolivars per month. Minimum wage is the least amount of money a company is allowed to pay its employees. Cost of goods has shot up in Venezuela. This has made it hard for people making minimum wages to afford the basic necessities.

Venezuela was ruled by the Spanish for almost 300 years. Simón Bolívar (image), a political leader born in Caracas, the capital of Venezuela, helped several South American countries get their independence from Spain. Venezuela got its independence in 1811. Bolivar is considered a national hero and the Venezuelan currency, the bolivar fuerte, is named after him.

According to the magazine The Economist, in July, the cost of a Big Mac at McDonald’s in Venezuela was 75 bolivar (US$6.82), making it amongst the most expensive Big Macs in the world. Since 1986, The Economist has been publishing the cost of Big Macs in a few countries. Here is the Big Mac index for July 2014.

Image Credits: Agência Brasil for Maduro’s image, Galería de Arte Nacional for Bolivar’s image
Sources: http://news.xinhuanet.com/, economist.com, http://www.britannica.com/, CIA World Factbook