Minimum Wage in El Salvador: Rates, Trends & Compliance

If you’re hiring in El Salvador, it’s important to adhere to the latest laws surrounding minimum wage to remain compliant as an employer. Learn what the updated minimum wage is, how it applies to different workers, and factors influencing minimum wage in El Salvador.

Iconic landmark in El Salvador

Capital City

San Salvador

Currency

United States Dollar

(

$

)

Timezone

CST

(

GMT -6

)

Payroll

monthly

Employment Cost

15.25% - 16.25%

What Is the Minimum Wage in El Salvador?

As of 1 January 2026, El Salvador's minimum wage varies by industry. The rates are standardized in U.S. dollars (USD), as El Salvador uses the USD as its official currency. 

The current monthly minimum wages are:

Industry / Sector Monthly Minimum Wage (USD) as of 2026
Commerce, services, industry, sugar mills $408.80
Textile & clothing manufacturing (maquila) $402.26
Sugarcane harvesting & coffee processing (agro-industrial) $305.23
Agricultural sector, fishing, livestock, coffee harvesting $272.72

Average vs. Reasonable vs. Typical Minimum Wages

When talking about wages in El Salvador, it’s useful to separate what the law sets as the minimum from what workers typically earn and what’s considered enough to cover everyday living costs. Because minimum wages are set by sector, these figures can look quite different depending on the type of work.

Average Minimum Wage: This refers to the mean wage calculated across various sectors. In El Salvador, the average minimum wage is sector-dependent, ranging from $272.72 to $408.80.

Reasonable Minimum Wage: A reasonable minimum wage is generally understood as the level of pay needed to cover basic living expenses such as food, housing, healthcare, and transportation. While the legal minimum wage in El Salvador remains between USD 272.72 and USD 408.80 per month in 2026, there is ongoing debate about whether these amounts are sufficient, particularly in urban areas where living costs are higher.

Typical Minimum Wage: The most commonly observed minimum wage within the country. In El Salvador, the typical minimum wage aligns with the $408.80 per month rate prevalent in commerce, services, and industry sectors.

How Does Minimum Wage Apply to Different Workers in El Salvador?

Minimum wage rules in El Salvador apply broadly, but how they work in practice depends on factors like employment type and industry sector. Here’s how minimum wage requirements typically apply to different categories of workers in 2026.

Full-Time Employee Wages

Full-time employees are entitled to the full monthly minimum wage set for their specific industry sector. For example, as of 2026, a full-time employee working in commerce, services, or industry earns a minimum of USD 408.80 per month, while workers in agriculture are covered by lower sector-specific rates.

Part-Time Employee Wages

Part-time employees are paid proportionally based on hours worked, using the hourly rate derived from the monthly minimum wage applicable to their sector. Employers must ensure that part-time pay remains consistent with the legal minimum when calculated hourly or daily.

Interns and Trainees

El Salvador’s labour laws do not explicitly define minimum wage rules for interns or trainees. Compensation for these roles is often determined by individual agreements between the employer and the worker, although general labour protections may still apply depending on the nature of the work.

Expats

Expatriates working in El Salvador are subject to the same minimum wage laws as local employees. Employers must apply the relevant sector minimum wage regardless of nationality.

Factors Influencing Minimum Wage in El Salvador

El Salvador’s minimum wage levels are shaped by a combination of economic conditions, sector-specific needs, and government policy. These factors help explain why wages vary across industries and change over time.

Industry-Specific Variations

Minimum wage rates differ by sector to reflect economic conditions and labour demand. Sectors such as commerce and services have higher minimum wages, while agriculture and agro-industrial work are covered by lower statutory rates.

Economic Conditions

Factors like inflation, employment levels, and cost-of-living pressures play an important role in minimum wage decisions. Wage levels are periodically reviewed to assess whether adjustments are needed to keep pace with economic realities.

Government Policies and Legislation

Minimum wages are set and reviewed by the Salvadoran government through the Ministry of Labor, in consultation with employer groups and worker representatives. Any changes are formalised through official wage decrees and typically apply nationwide by sector.

Minimum Wage History and Trends in El Salvador

El Salvador’s minimum wage has been adjusted periodically over the years, often in response to inflation, economic growth, and labour market pressures. As of 2026, the most recent adjustment remains the increase that took effect in June 2025, with no new changes announced since then. Future reviews are expected to continue factoring in economic conditions and employment trends.

Over the past decade, El Salvador’s minimum wage policy has evolved significantly as the government has sought to balance competitiveness with worker welfare. Key historical changes include:

  • 2011: The minimum wage increased by 8%.
  • 2013–2015: A series of annual 4% increases was implemented, resulting in a total rise of 16% over four years.
  • 2017: A historic adjustment of approximately 20.7% was introduced, the largest increase in the country’s history, with variations by sector.
  • 2021: The minimum wage rose by 20% in August 2021, applying across sectors.
  • 2025: A further 12% increase took effect in June 2025, raising sector-based minimum wages to their current levels.

As of 2026, these 2025 rates remain in force. While additional adjustments may be considered in future reviews, any changes will depend on inflation, economic performance, and labour market conditions, and would need to be formally approved by the government.

Minimum Wage for Top Paying Roles in El Salvador

While El Salvador sets statutory minimum wages by sector, top-paying and executive roles operate very differently. Salaries for these positions are usually negotiated individually and reflect experience, seniority, company size, and whether the employer operates regionally or internationally. As a result, earnings in these roles sit far above the legal minimum wage.

Below are some of the highest-paying roles in El Salvador in 2026, with typical average monthly salary ranges:

  • Country Manager / Director: Responsible for overseeing local operations and strategic planning, Country Managers typically earn USD 18,000–22,000 per month, particularly at multinational companies.
  • Chief Executive Officer (CEO): CEOs lead overall company strategy and performance. In 2026, average monthly earnings are generally USD 18,000–22,000+, depending heavily on company size and sector.
  • IT Director: Manage technology strategy, infrastructure, and digital transformation. Typical earnings range from USD 18,000–21,000 per month, especially in finance, telecoms, and larger enterprises.
  • Call Centre Director: Overseeing large service operations and performance metrics, Call Centre Directors usually earn USD 16,000–19,000 per month, depending on scale and client base.
  • Leasing Director: Leasing Directors managing commercial or industrial portfolios generally earn USD 15,000–18,000 per month, particularly in real estate and logistics-focused businesses.

These salaries are many times higher than El Salvador’s 2026 statutory minimum wages, which range from USD 272.72 to USD 408.80 per month depending on sector, underscoring the wide gap between entry-level legal minimums and senior professional compensation.

Discover Your Competitive Edge

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Disclaimer

THIS CONTENT IS FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSTITUTE LEGAL OR TAX ADVICE. You should always consult with and rely on your own legal and/or tax advisor(s). Playroll does not provide legal or tax advice. The information is general and not tailored to a specific company or workforce and does not reflect Playroll’s product delivery in any given jurisdiction. Playroll makes no representations or warranties concerning the accuracy, completeness, or timeliness of this information and shall have no liability arising out of or in connection with it, including any loss caused by use of, or reliance on, the information.

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ABOUT THE AUTHOR

Milani Notshe

Milani is a seasoned research and content specialist at Playroll, a leading Employer Of Record (EOR) provider. Backed by a strong background in Politics, Philosophy and Economics, she specializes in identifying emerging compliance and global HR trends to keep employers up to date on the global employment landscape.

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FAQs About Minimum Wage in El Salvador

What is the current hourly or daily minimum wage in El Salvador?

In El Salvador, the minimum wage varies by industry rather than being a single flat rate. As of 2026, monthly minimum wages range roughly from about USD 272.72 in agriculture to around USD 408.80 in commerce, services, and general industry, reflecting the sector-based structure of wage law in the country.

Are there exceptions to the minimum wage law in El Salvador?

Generally, all employees are entitled to the minimum wage corresponding to their industry sector.

How often is the minimum wage reviewed in El Salvador?

The minimum wage is reviewed at least every three years by the National Minimum Wage Council.

What is the minimum wage vs. living wage in El Salvador?

As of 2026, El Salvador’s minimum wage continues to vary by sector. The highest rate is USD 408.80 per month – approximately USD 13.44 per day – for workers in commerce, services, and industry, while the lowest rate is USD 272.53 per month for those in agriculture.

In contrast, estimates of a living wage – the income needed to cover basic costs such as food, housing, healthcare, and education – are significantly higher, often cited at USD 600–700 per month in urban areas. This gap continues to fuel debate over whether current minimum wage levels adequately reflect the real cost of living in El Salvador.

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