
At a glance
- The monthly minimum wage in Chile rose to CLP529,000 for employees aged 18–65, and CLP394,622 for those under 18 or over 65.
- The increase affects family allowance thresholds, the legal profit-sharing bonus cap, and administrative fines.
- A further increase is set for January 2026.
- Employers must recalculate and adjust pay retroactively if May 2025 payrolls didn’t reflect the new rates.
Effective May 1, 2025, Chile’s monthly minimum wage increased to CLP529,000 for employees aged 18 to 65, and to CLP394,622 for those under 18 or over 65 years.
The adjustment affected various wage-linked items, including:
- Family allowance thresholds.
- Increase in the annual cap for the legal profit-sharing bonus regulated under Article 47 of the Labor Code (applicable when this benefit is guaranteed to employees and not contingent upon the company’s profits). This annual cap is set at 4.75 monthly minimum wages, which, if prorated and paid monthly, amounts to approximately CLP209,396 per month.
- Fines imposed by the administrative authority.
The law also established a future increase. As of January 1, 2026, the minimum wage will rise to CLP539,000 for employees from 18 to 65 years and CLP402,082 for employees under 18 and over 65 years.
Companies that have not yet accounted for the increase are advised that if the May 2025 and subsequent payrolls have already been processed and paid, they should recalculate the compensation of employees whose salaries are tied to the minimum wage, determine the corresponding difference, and include it in the next payroll payment.