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Business Groups Back House Approval of Minimum Wage Bill

Private-sector organizations urge the Senate to pass the measure before the legislative session ends June 30.

Jobs & Labor·By Caribbean Business Staff··3 min read
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A coalition of Puerto Rico’s leading private-sector organizations welcomed the House of Representatives’ approval of House Bill 1115, saying the amended measure creates a more balanced and evidence-based process for evaluating future changes to the island’s minimum wage.

The business groups said the legislation addresses concerns they have raised about the current wage-setting process by creating a temporary wage advisory board that would evaluate future recommendations using technical analysis, objective data and broader representation from affected sectors.

“We recognize the work of the House of Representatives in addressing the concerns raised by the private sector and approving a path that promotes a more balanced, transparent and evidence-based process,” said José González, president of the Puerto Rico Retailers Association. “This legislation does not limit the discussion on the minimum wage; on the contrary, it strengthens the quality of the analysis and contributes to better-informed decisions that benefit both workers and Puerto Rico’s economy.”

The private sector has supported the measure because it would return authority over minimum wage policy to the Legislature rather than leaving future recommendations solely to the Minimum Wage Evaluation Commission, whose members are not elected. Puerto Rico’s minimum wage has increased from $7.25 to $10.50 per hour in recent years.

Sonia Navarro, president of the Puerto Rico Restaurants Association, said the island needs a process grounded in economic and social analysis before making changes to wage policy.

“Puerto Rico urgently needs mechanisms that allow us to assess the economic and social impact of any change in wage policy through concrete analysis,” Navarro said. “The House’s approval of this bill demonstrates that consensus can be reached and decisions can be based on current technical data supported by all sectors involved.”

Manuel Reyes, executive vice president of the Chamber of Food Marketing, Industry and Distribution, said the bill would provide greater certainty for employers while promoting investment and protecting jobs.

The organizations are now urging the Senate to approve the legislation before the current legislative session concludes on June 30, arguing that the proposal would establish a more representative, objective and reliable framework for evaluating future minimum wage policy.

For her part, Sonia Navarro, president of the Restaurants Association of Puerto Rico, noted that “Puerto Rico urgently needs mechanisms that allow for the assessment, through concrete analyses of the economic and social effects any change in wage policy. The House’s approval of this bill demonstrates that it is possible to build consensus and promote decisions based on up-to-date technical data and supported by each sector involved.”

Meanwhile, Manuel Reyes, executive vice president of the Chamber of Food Marketing, Industry and Distribution, emphasized that “this measure represents an important step toward providing greater certainty to the productive sectors, promoting investment and protecting jobs. We are confident that the Senate will recognize the value of this effort and take action before the current legislative session ends.”

The end of the current legislative session is June 30. The private sector leaders said the bill should be passed before this date as the initiative will contribute to a more representative, objective and reliable process for evaluating and formulating recommendations on Puerto Rico’s wage policy.

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