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Honduras

World bank, 2019
Poverty headcount ratio at $3.65 a day (2017 PPP) (% of population)
26%
Population below international poverty line

Varies per sector and company size.

WageIndicator Foundation 2024

variable
National minimum wage

Equivalent to 7,959 Honduran lempira per worker per month.
Global Living Wage Coalition, 2023

290
per month
Rural living wage

Equivalent to 9,920 Honduran lempira per worker per month.
Global Living Wage Coalition, 2023

361
per month
Urban living wage
World bank, 2022
Employment in agriculture (% of total employment) (modeled ILO estimate)
24%
Agricultural workforce
World bank, 2022
Agriculture, forestry, and fishing, value added (% of GDP)
13%
Agriculture share of GDP

ITUC Global Rights Index, 2023
No guarantee of rights.

5
very high
Risk to workers' rights

Context

Honduras has approximately 10.5 million inhabitants.[1] The population is relatively evenly distributed between urban (60%)[2] and rural (40%)[3] areas. The agricultural sector absorbs 24% of total employment in Honduras,[4] and contributes 12% to the national GDP.[5]

The country faces severe poverty, food insecurity and inequality, with its indigenous population being the poorest social group. Approximately 28% of the country’s land is dedicated to agriculture, which is characterized by the production of low-profitability products such as bananas, plantains, rice, maize and beans.[6] Smallholder farmers account for about 70% of the farmers in Honduras, who generally cultivate in plots of less than 1 hectare of land. These farmers are particularly vulnerable to external shocks, such as natural disasters and price fluctuations, which are recurrent in Honduras.[7]

The top produced commodities in Honduras are sugar cane, palm oil fruit, raw milk, maize, and bananas.[8] Similarly, the top exported commodities are bananas, palm oil, green coffee, cantaloups and other melons, and molasses.[9]

Footnotes
  1. ^ World Bank (2023). https://data.worldbank.org/indicator/SP.POP.TOTL?locations=HN
  2. ^ World Bank (2023). https://data.worldbank.org/indicator/SP.URB.TOTL.IN.ZS?locations=HN
  3. ^ World Bank (2023). https://data.worldbank.org/indicator/SP.RUR.TOTL.ZS?locations=HN
  4. ^ World Bank (2022). https://data.worldbank.org/indicator/SL.AGR.EMPL.ZS?locations=HN
  5. ^ World Bank (2023). https://data.worldbank.org/indicator/NV.AGR.TOTL.ZS?locations=HN
  6. ^ IFAD. Honduras. https://www.ifad.org/en/web/operations/country/id/honduras#anchor-1
  7. ^ GAFSP. Smallholders in Honduras Weather the Effects of Climate Change. https://www.gafspfund.org/projects/smallholders-honduras-weather-effects-climate-change
  8. ^ FAOSTAT (2022). http://www.fao.org/faostat/en/#rankings/commodities_by_country
  9. ^ FAOSTAT (2022). http://www.fao.org/faostat/en/#rankings/commodities_by_country_exports

Wages

Minimum wage

The minimum wage in Honduras varies by sector and within sectors it depends on the size of the company’s workforce. In the agricultural sector, the minimum wage starts at 7,802.10 Honduran lempira (284 EUR).[1]

Although labor rights are established by the state, the law fails to effectively assure the rights of domestic workers. Working excessive hours, failing to respect maternity rights, and not paying minimum wage are examples of violations by employers in many industries, including agriculture. A large part of the country's informal sector, agricultural workers are often penalised for taking days off provided by law. The Secretariat of Labor, responsible for enforcing wage and hour laws, fails to do so consistently and effectively. Civil society continued to raise problems with minimum wage violations, highlighting agricultural companies in the south as frequent violators. [2]

Footnotes
  1. ^ Wage Indicator Foundation (2024). Minimum Wage-Honduras. https://wageindicator.org/salary/minimum-wage/honduras
  2. ^ U.S. Department of State (2023). Country Reports on Human Rights Practices: Honduras. https://www.state.gov/reports/2023-country-reports-on-human-rights-practices/honduras/

Living wage

The Global Living Wage Coalition has developed a Living Wage reference value study for both rural and urban regions of Honduras based on the Anker methodology.

The Anker Living Wage Reference Value for rural Honduras was estimated at 7,959 Honduran lempira (290 EUR) per month This estimate accounts for the wage required by rural workers to afford a basic but decent standard of living in a typical rural area of Honduras.[1]

The Living Wage Reference Value for urban Honduras is estimated at 9,920 Honduran lempira (361 EUR) per month. [2]

Footnotes
  1. ^ Global Living Wage Coalition (2023). Anker Living Wage Reference Value: Rural Honduras. https://www.globallivingwage.org/reference-value/living-wage-reference-value-for-rural-honduras/
  2. ^ Global Living Wage Coalition (2023). Anker Living Wage Reference Value: Urban Honduras. https://www.globallivingwage.org/reference-value/living-wage-reference-value-urban-honduras/

What's happening

initiative

Fairtrade Living Income Reference Price for Coffee from Honduras

A Fairtrade LIRP indicates the price needed for an average farmer household with a viable farm size and an adequate productivity level to make a living income from the sales of their crop. This study was valid in 2022. 

resource

Living Wage Reference Value, Urban Honduras

Living wage estimate for workers to be able to afford a basic but decent living standard in the urban region of Honduras. Global Living Wage Coalition. 

resource

Living Wage Reference Value, Rural Honduras

Living wage estimate for workers to be able to afford a basic but decent living standard in a typical rural area of Honduras. Global Living Wage Coalition. 

initiative

Sustainability in the Honduran Informal Market

This report explores the possibility of creating sustainable supply chains that benefit its members on the informal market in Honduras.

initiative

Impacts of Fair Trade-Certified Coffee.

This report explores the implications of Fairtrade certified coffee in farm workers and smallholders in Nicaragua, Brazil, Honduras and Peru.

initiative

Creating Economic Opportunities

This report by the Rainforest Alliance is a case study of the ULAKUAS agroforestry cooperative aiming at securing sustainable forestry and livelihood development.

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