The Central Bank of Costa Rica has updated the methodology and base year for its Minimum Wages Index (ISM) and has begun publishing the revised indicator, which now reports index levels by worker occupation as well as by economic activity for the private sector. The ISM tracks relative changes in statutory minimum wages, which are set in Costa Rican colones by decree of the Presidency of the Republic and the National Wages Council. The revised ISM introduces specific service-sector breakdowns including accommodation, restaurants and education, and uses a moving-weight system updated annually based on employment counts from the National Institute of Statistics and Census Continuous Employment Survey and insured-worker data published by the Costa Rican Social Security Fund. The index’s reference base is 2022, the redesigned framework allows updated series back to 2010, and the Central Bank noted that while similar increases across minimum wage categories would not materially change the overall index, the update could affect contract indexation.
Central Bank of Costa Rica 2025-02-07
Central Bank of Costa Rica updates its Minimum Wages Index methodology to add occupation and service-sector detail
The Central Bank of Costa Rica has revised the methodology and base year for its Minimum Wages Index (ISM), now reporting index levels by worker occupation and economic activity in the private sector. The updated ISM includes service-sector breakdowns and uses a moving-weight system based on employment data. The reference base is 2022, and while similar wage increases may not significantly alter the index, the update could affect contract indexation.