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AON Warns Mexico’s Fast-Rising Minimum Wage Could Overtake Professional Pay by 2028

Companies face pressure to redesign pay structures to keep offers competitive.

Overview

  • Mexico has confirmed a 12% minimum wage increase for 2026 effective January 1, raising the general daily rate to 312.25 pesos and the border rate to 470.26.
  • AON’s latest compensation survey indicates many above‑law professional offers would be eclipsed by 2028 if annual minimum‑wage gains hold near 12%.
  • Employers plan average 2026 adjustments of 5.4% for non‑union staff and 6.4% for unionized workers to preserve market positioning, with inflation seen at 4.7% for 2025 and 5.0% for 2026.
  • The survey flags potential remuneration increases of up to 11%, with a concentration of salary actions expected in April 2026.
  • AON projects the minimum wage including social charges could reach about 15,000 pesos per month by 2030 and 22,500 by 2050, raising concern about growth in informal employment.