Minimum wage in Panama 2026: what Decree 13 says

Panama has no single national minimum wage. It is set by decree and varies by economic activity, company size, occupation and region. The one in force is Executive Decree No. 13 of 31 December 2025.

Since when is it in force?

Decree 13 was published in the Official Gazette on 6 January 2026 and took effect on 16 January 2026. It governs the 2026–2027 period and repeals Executive Decree No. 1 of 2024. The adjustment was agreed by the National Minimum Wage Commission (workers, employers and the State).

Region 1 and Region 2

The country is split into two regions. Region 1 covers Panama City and the larger urban districts; Region 2 covers the rest of the country, usually with slightly lower rates. Within each region, the rate varies by activity and, in many cases, by company size.

How big is the increase?

The increase is modest. Hourly rates run from roughly B/.1.22 to B/.2.36 depending on activity and region, and the simple average minimum wage rises to about B/.636.80 per month. Increases of roughly B/.9.50 to B/.15.00 per month were agreed for the period.

How do I find my exact rate?

Because there are 59 rates across 74 activities and 2 regions, you must look up your rate by activity and region on the MITRADEL (Ministry of Labor) portal. Don't apply a single general figure.

With nominaHQ you set each employee's salary and payroll applies the rest (CSS, income tax, décimo) automatically, so pay stays compliant.

Source: Executive Decree No. 13 of 31 December 2025 (Official Gazette, 6 Jan 2026), MITRADEL. Figures are approximate; check your exact rate at MITRADEL and confirm with your advisor.