The recent publication of the Oficial Venezuelan Gazette, a magazine where laws and decrees are published when approved, revealed the truth about the supposed peg that the minimum monthly salary had to the national crypto asset, the petro (PTR), after a recent increase. The decree published establishes this minimum payment in the fiat currency of the country and does not mention the petro anywhere.
The Gazette 6,691, issued on March 15th, includes the decree 4.653, which states:
The mandatory monthly national minimum wage is increased throughout the territory of the Bolivarian Republic of Venezuela, for workers who provide services in the public and private sectors… establishing the amount of one hundred and thirty bolivares (130.00 VES) per month.
This contradicts the statements that the Venezuelan president Nicolas Maduro made earlier this month when he stated that the minimum wage would be raised to half a Petro, linking the value of this minimum monthly wage to the value of the crypto asset.
Reactions and Explanations
This decree and the lack of a peg between this minimum monthly wage originated reactions in people from the working sectors, who lamented the situation. One of them was the general coordinator of the National Front of the Working Class Struggle, Pedro Eusse, who mentioned this raise had been ”an immense disappointment when discovering that there is no such peg to the petro because that is not reflected in the Official Gazette.”
Eusse further declared:
They promised that they were going to anchor the salary to half a petro, which is an accounting measure that increases with oil prices. What we see now is a salary frozen at $30.
However, Franklin Rondon, representative of the National Assembly, the legislative power entity in the country, declared that, in this case, the petro was just used as a unit of account, and that this doesn’t mean that the minimum wage will be increased every time that this crypto asset rises in value.