Things That Matter

Mexico Is Increasing Minimum Wage By Record Levels But It’s Still Shockingly Too Low

There’s been a lot of changes since Andrés Manuel López Obrador became president of Mexico, and not everyone would say the changes have been positive. Unfortunately, the situation in Mexico has gotten increasingly worse. There’s an increase in violence. The cartel seems to have continued their reign — and not just in the drug industry but in the farming one as well. However, there is some good news — sort of. 

Mexico’s president has announced they are increasing the minimum wage by 20 percent. 

This is the first time the government has made any changes to the minimum wage in 44 years. 

“We continue to gradually recover the value that the minimum salary has lost over time without creating instability, without creating inflation,” Lopez Obrador said, according to Reuters. “This is an important increase.”

While the increase is definitely welcomed, there are some issues. For starters, the wage hike means Mexicans will now be able to earn 123.22 pesos or $6.50 a day.

You read that correctly, not $6.50 an hour, but a day! That day rate feels incredibly low. The northern region of Mexico will see an increase of  5 percent to 185.56 pesos. Lawmakers were in talks to request a 29 percent increase. However, the concern is that while people need an increase in wages, the inflation rate has slowed down. 

Economists say that the increase could actually hurt Mexico’s economy in the long run because the wage increase doesn’t correlate with how their economy is doing. 

“In the past, real wage growth had been generally aligned with productivity,” economists at JPMorgan noted, according to Reuters. “The new wage policy has opened a significant wedge between the two, which eventually will likely create economic imbalances.”

But the president has urged since before his election that in order to see Mexico prosper and to keep violence down is to help the poor. 

“This is going to help the economy, of course, because it strengthens the internal market,” Lopez Obrador said, according to Time magazine. “If there’s more revenue, it helps reactivate the economy, there are more sales for merchants.”

Some also point out that if employers are forced to pay their workers at a higher rate than they’re expected to — while the economy isn’t at a good point, then they may have to fire some of their employees ultimately. 

No one is disputing that people in Mexico should be paid more, but the problem is, economically speaking, it will be a challenge for employers to increase their employees’ paychecks if the economy and inflation are not prospering. 

This is not the first time Lopez Obrador has increased the minimum wage. Last year he did so as well, but this time the increase is a lot more significant. 

Last year, President Donald Trump also raised concerns about Mexico’s low minimum wage standards, but not because he was looking out for the people of Mexico. He said the low wages would be an incentive for companies in the U.S. to move their laborforce to Mexico. Mexico’s minimum wage standard is low, but other Latin countries are pretty bad as well. 

According to the Tecma Group of Companies, “The minimum wage in Mexico is not only low when compared to its NAFTA trading partners, but is also low compared to workers’ wages in the other countries of Latin America. For instance, Mexico’s minimum wage is 44 percent of that of Brazil and is only 27 percent of what is paid to laborers in Argentina. In terms of a comparison with a country outside of the region, Mexico’s minimum wage represents only 16 percent of that of Spain.”

How this move will play out for Mexico remains to be seen. The increase goes into effect on Jan. 1, 2020. 

The shift in the economy, whether good or bad, will take some sort of shape after six months. If all goes well — in other words, if employers don’t fire their workers, and the economy grows — then perhaps the president by increase the minimum wage again. But we can’t imagine he would raise the minimum wage if the economy remains at this low point. 

READ: The Cartels In Mexico Are Taking Over The Avocado Industry By Any Means Necessary

The Steelers Will Have Their International Game This Year, And They Want To Play In Mexico For Their Fans

Entertainment

The Steelers Will Have Their International Game This Year, And They Want To Play In Mexico For Their Fans

steelers / Instagram

It’s official, the Steelers will have their international game this year, but the place is not yet confirmed. Previous exhibition games were held in Montreal, Barcelona, London, and Tokyo. It’s been years since the team competed directly south of the border. And since Mexico is the home to one of largest fan bases of the Pittsburgh Steelers, they want to play their international game against the Jacksonville Jaguars south of the border

This time, the Pittsburgh Steelers are looking forward to playing in Mexico. 

The Steelers are happy to play an international game, but they have a clear preference for where that game would be. The president of the Pittsburgh Steelers, Art Rooney, said, “We continue to raise our hand and say we’re interested in playing a game in Mexico.”  

The Steelers are expected to have an international game this year like they have in previous years.

One of them is their match against the Jacksonville Jaguars. Meanwhile, it has been rumored that the Jaguars will have a game in London sometime this year.

People are already showing their excitement on social media because who doesn’t want to see the Steelers playing in Mexico.

“I need the best seat for the event of the year” tweeted one user. “I’ll sell my soul to be there,” wrote another die-hard fan. 

Mexico is home to a large portion of the Steeler Nation.

Steeler Nation, as their fans call themselves, proudly wear black and gold in Mexico. Fernando Camacho, a Mexican fan shared this saying in Spanish in an interview with ‘Behind the Steel curtain’, “Mi Corazon y mi alma son Amarillo y negro pero mi pasion y mi orgullo son de acero.” (My heart and soul are Black and Gold, but my passion and pride are made of steel.)

So naturally, the team’s first choice for an international game is to play in Mexico.

Rooney added during an interview with the Pittsburgh Tribune-Review that, “They have to work out the logistics and all the pieces of the puzzle to have a game down there. Our first choice would be to play a game in Mexico if we have an international trip.” 

The Steelers have a history with Mexico that runs deep.

The Steelers played the Vikings in London in 2013, but have a longer history with Mexico. They played an exhibition game there in 2000, and have conducted clinics there in the past to try to drum up interest. They’ve also played in exhibition games in Toronto, Montreal, Barcelona, Tokyo, and Dublin. Rooney said that they prefer to have it in Mexico where they have a large number of fans. Mexico is also a neutral ground for both teams. 

READ: Alejandro Villanueva’s Jersey Is Top Seller After He Was Only Steelers Player To Stand During National Anthem

El Chapo’s Daughter Is Using His Name And Face to Launch A Beer Brand After She Launched A Fashion Line

Culture

El Chapo’s Daughter Is Using His Name And Face to Launch A Beer Brand After She Launched A Fashion Line

elchapo701 / Instagram

It seems like everybody today is trying to get in on the alcohol business. Whether it’s The Rock with a new tequila brand or Ryan Reynolds buying a gin company, it seems to be all the rage right now that even “El Chapo” is getting his own line of beers. 

Say hello to the “El Chapo 701” brand run by Joaquin “El Chapo” Guzman’s daughter Alejandrina Guzman Salazar, who also is behind a fashion and lifestyle company built around her jailed father’s brand. The new line of beer, called El Chapo Mexican Lager, was unveiled for the first time to the public on Jan. 14 at a fashion trade show in Guadalajara, Mexico. 

“It hasn’t been released for sale to the public yet. I just brought some to display,” spokeswoman Adriana Ituarte told AFP, as the beer line is currently still waiting on government approval to sell beer in Mexico. The alcohol displayed at the trade showed brown, black and white labeled craft beer bottles with the Sinaloa cartel leader’s infamous mustache face adorned on them. 

Alejandrina Guzman Salazar’s company is banking on the idea that people will want to buy craft beer, labeled and named after her infamous father, at bars and markets in Mexico. 

Beer lovers won’t have to break the bank either when it comes to purchasing the new line of beer which comes in at 70.10 pesos, or about $3.73, for a 355 ml bottle. There is also the name of the brand, “El Chapo 701” which has an interesting meaning behind it. The “701” is a reference to El Chapo’s place on the 2009 list of the world’s richest persons from Forbes magazine (estimated at $1 billion). 

The “El Chapo” beer is expected to have a large fan base due to the notoriety of the imprisoned drug cartel leader and a growing market for collectible celebrity alcoholic beverages like these. The company is hoping that, besides just the name and branding of the beer, fans will actually enjoy the drink and keep coming back to it.

“I don’t know if we take the label off and the beer is good if it’s going to sell,’  Ituarte told the Daily Mail. “But obviously the brand gives the plus of sale, we continue with the idea that we are selling and as long as the product is good, people buy it and like it.”

Ituarte said at the trade show that the product will be sold at bars throughout Mexico that also sell stock craft beer, a market that has flourished in Mexico City in recent years due to the growth of microbreweries. The lager was produced by La Chingonería, a Mexico City-based brewery company. 

“This is an artisanal beer, with 4 percent alcohol. This prototype is a lager, and it’s made up of malt, rice, and honey so it’s good,” Ituarte told Daily Mail. “And the idea is for it to be sold at bars that stock craft beer.”

This is not the first time that “El Chapo” has seen his name being cashed in on by his family. There has been a clothing and accessories line made in tribute of Guzman.

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Salazar’s company has already cashed in on her father’s name with a line of T items such as t-shirts, belts, purses, and jackets all adorned with imagery of Guzman and the 701 logo. The brand has been quite successful in under a year of going public which shows the power of “El Chapo’s” name. 

Salazar isn’t the only one getting in on the drug lord’s name. Last March Guzmán’s wife, Emma Coronel, launched a fashion and leisurewear line, licensed by her husband. “I’m very excited to start this project, which was based on ideas and concepts that my husband and I had years ago,” Coronel told CNN in a statement at the time of the launch. “It is a project dedicated to our daughters.”

These dedicated “El Chapo” brands show the notoriety and the power of his name when it comes to marketing. If this new beer line is anything like the clothing and accessories already released under his name, there is sure to be a market for this too. 

Guzman is currently serving a life sentence at a supermax prison in Colorado after being convicted on drug trafficking and weapons charges in 2019. El Chapo was forced to forfeit $12.6 billion as part of his punishment.

READ: California Man Is Using His Culture To Create Hilarious And Super Relevant Mexican Greet Cards