On Thursday the country’s Ministry of Labor announced it hopes to reach consensus with business and labor unions, over increasing the minimum wage this year.

According to Peru21, several small business associations have criticized the proposed increase, arguing their firms will not be able to implement the salary increase.

The government has proposed raising the minimum wage from 675 soles to 750 soles, per month.

Deputy Minister of Labor, Pablo Checa, said the ministry would present its studies to the National Labor Council, in hopes of reaching consensus with business and union representatives.

Government officials have estimated the wage increase would represent a 430 million soles boost to the economy, Peru21 reported.

Last march Prime Minister Oscar Valdes said the wage increase would take place in the first half of the year.

"We believe this should be done before July 28, during the first semester; it’s what we have planned unless there is some unforeseen event,” the Prime Minister said.

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