The average compensation for a worker in the Metropolitan Area of Caracas in the commerce and services sector reached $213.6 per month in December 2023, a nominal increase of 54% compared to the same month of the previous year, according to a study by the Venezuelan Finance Observatory (OVF).
When broken down by positions, average salaries are $458.2 for managers, $309.1 for professionals, and $195.1 for workers and operators. Professional and technical positions recorded the highest increase with an annualized rise of 55%. The gap between managers and workers remained virtually unchanged compared to December 2022, with the former earning a remuneration 2.4 times higher.
According to the OVF, the food basket stood at $386 in December.
The data comes from commercial establishments in the Metropolitan Area of Caracas, a sector that accounts for about 65% of employment in that area, as explained in the methodological note of the OVF.
Minimum wage in Venezuela
In March 2022, a new minimum wage amount came into effect, increasing from Bs 7 to Bs 130 (about $23 at that time) from the second half of the month. That amount remains unchanged, so the depreciation of the bolivar has reduced it to the equivalent of about $3.6. In January 2023, the government announced an increase in the food bonus (known as the socialist food basket) to the equivalent of $40, which must be paid in bolivars indexed to the official exchange rate.
In addition to this, there is a discretionary remuneration paid by the state to its employees, known as the economic war bonus equivalent to $60, payable in bolivars and indexed to the official exchange rate.
Although the minimum wage is no longer relevant for setting remuneration in the private sector, it does have an effect on the public sector, which is the most lagging in this regard.