Executive Agreement STSS-308-2022

To approve in all and each of its parts the Tripartite Agreement within the framework of Negotiation for the Setting of Minimum Wage for the years 2022 and 2023, which was executed and approved by the representatives of the Employer Sector, Worker Sector, and Public Sector, establishing the adjustment of Minimum Wage at the national level for the years 2022 and 2023 in accordance with the percentages detailed below:

To approve the new Minimum Wage Table that shall apply throughout the country, in accordance with economic activities, company size, and amounts, which shall enter into force as of the first (01) day of January of the year two thousand twenty-two (2022), as follows:

To approve the new Minimum Wage Table that shall apply throughout the country, in accordance with economic activities, company size, and amounts, which shall enter into force as of the first (01) day of January of the year two thousand twenty-two (2022), as follows: 2022 2023 5.32% 5.32% 5.50% 5.50% 6.50% 6.50% 7.50% 8.00% Categories From 1 to 10 Workers From 11 to 50 Workers From 51 to 150 Workers From 151 Workers and Beyond Years Table of Percentage of Adjustment to Minimum Wage

To approve the new Minimum Wage Table that shall apply throughout the country, in accordance with economic activities, company size, and amounts, which shall enter into force as of the first (01) day of January of the year two thousand twenty-three (2023), as follows: MINIMUM WAGE TABLE FOR THE YEAR 2022

To approve the new Minimum Wage Table that shall apply throughout the country, in accordance with economic activities, company size, and amounts, which shall enter into force as of the first (01) day of January of the year two thousand twenty-three (2023), as follows:

MINIMUM WAGE TABLE FOR THE YEAR 2023

That the aforementioned adjustment corresponding to the months of January, February, and March of the year 2022, shall be paid in deferred form during the months of April, May, and June of this year. No. BRANCH OF ECONOMIC ACTIVITY SIZE OF COMPANIES BY NUMBER OF WORKERS MONTHLY MINIMUM WAGE MINIMUM WAGE 2023 ORDINARY WORKDAY OF 8 WORKING HOURS MINIMUM WAGE PER HOUR From 1 to 10 7,802.20 260.07 32.51 From 11 to 50 8,255.64 275.19 34.40 From 51 to 150 9,041.89 301.40 37.67 From 151 and beyond 9,915.61 330.52 41.32 From 1 to 10 10,659.26 355.31 44.41 From 11 to 50 11,016.61 367.22 45.90 From 51 to 150 12,985.89 432.86 54.11 From 151 and beyond 14,878.19 495.94 61.99 From 1 to 10 10,462.78 348.76 43.59 From 11 to 50 11,168.89 372.30 46.54 From 51 to 150 13,165.40 438.85 54.86 From 151 and beyond 15,083.88 502.80 62.85 From 1 to 10 11,003.11 366.77 45.85 From 11 to 50 11,371.96 379.07 47.38 From 51 to 150 13,404.77 446.83 55.85 From 151 and beyond 15,358.14 511.94 63.99 From 1 to 10 10,806.62 360.22 45.03 From 11 to 50 11,168.89 372.30 46.54 From 51 to 150 13,165.40 438.85 54.86 From 151 and beyond 15,083.88 502.80 62.85 From 1 to 10 10,806.62 360.22 45.03 From 11 to 50 11,168.89 372.30 46.54 From 51 to 150 13,165.40 438.85 54.86 From 151 and beyond 15,083.88 502.80 62.85 From 1 to 10 10,806.62 360.22 45.03 From 11 to 50 11,168.89 372.30 46.54 From 51 to 150 13,041.26 434.71 54.34 From 151 and beyond 14,526.61 484.22 60.53 From 1 to 10 10,904.88 363.50 45.44 From 11 to 50 11,270.42 375.68 46.96 From 51 to 150 13,285.08 442.84 55.35 From 151 and beyond 15,220.99 507.37 63.42 From 1 to 10 11,101.34 370.04 46.26 From 11 to 50 11,473.51 382.45 47.81 From 51 to 150 13,524.46 450.82 56.35 From 151 and beyond 15,495.25 516.51 64.56 From 1 to 10 10,610.14 353.67 44.21 From 11 to 50 10,965.84 365.53 45.69 From 51 to 150 12,926.02 430.87 53.86 From 151 and beyond 14,809.63 493.65 61.71 From 1 to 10 10,610.14 353.67 44.21 From 11 to 50 10,965.84 365.53 45.69 From 51 to 150 12,770.78 425.69 53.21 From 151 and beyond 14,357.47 478.58 59.82 TTaabblleeoo ffmmiinniimmuummssaallaa rryyffoorrtthheeyyeeaarr 2 20 02 23 3 11 Hospital Activities 8 Transport, Storage and Communications 9 Financial Establishments, Real Estate and Services Rendered to Companies 10 Community, Social and Personal Services, Security and Cleaning 7 Restaurants and Hotels 3 Manufacturing Industry 1 Agriculture, Forestry, Hunting and Fishing 2 Mining and Quarrying Exploitation 4 Electricity, Gas and Water 5 Construction 6 Wholesale and Retail Commerce MINIMUM WAGE TABLE FOR THE YEAR 2023

That the aforementioned adjustment corresponding to the months of January, February, and March of the year 2022, shall be paid in deferred form during the months of April, May, and June of this year. No. BRANCH OF ECONOMIC ACTIVITY SIZE OF COMPANIES BY NUMBER OF WORKERS MONTHLY MINIMUM WAGE MINIMUM WAGE 2023 ORDINARY WORKDAY OF 8 WORKING HOURS MINIMUM WAGE PER HOUR From 1 to 10 7,802.20 260.07 32.51 From 11 to 50 8,255.64 275.19 34.40 From 51 to 150 9,041.89 301.40 37.67 From 151 and beyond 9,915.61 330.52 41.32 From 1 to 10 10,659.26 355.31 44.41 From 11 to 50 11,016.61 367.22 45.90 From 51 to 150 12,985.89 432.86 54.11 From 151 and beyond 14,878.19 495.94 61.99 From 1 to 10 10,462.78 348.76 43.59 From 11 to 50 11,168.89 372.30 46.54 From 51 to 150 13,165.40 438.85 54.86 From 151 and beyond 15,083.88 502.80 62.85 From 1 to 10 11,003.11 366.77 45.85 From 11 to 50 11,371.96 379.07 47.38 From 51 to 150 13,404.77 446.83 55.85 From 151 and beyond 15,358.14 511.94 63.99 From 1 to 10 10,806.62 360.22 45.03 From 11 to 50 11,168.89 372.30 46.54 From 51 to 150 13,165.40 438.85 54.86 From 151 and beyond 15,083.88 502.80 62.85 From 1 to 10 10,806.62 360.22 45.03 From 11 to 50 11,168.89 372.30 46.54 From 51 to 150 13,165.40 438.85 54.86 From 151 and beyond 15,083.88 502.80 62.85 From 1 to 10 10,806.62 360.22 45.03 From 11 to 50 11,168.89 372.30 46.54 From 51 to 150 13,041.26 434.71 54.34 From 151 and beyond 14,526.61 484.22 60.53 From 1 to 10 10,904.88 363.50 45.44 From 11 to 50 11,270.42 375.68 46.96 From 51 to 150 13,285.08 442.84 55.35 From 151 and beyond 15,220.99 507.37 63.42 From 1 to 10 11,101.34 370.04 46.26 From 11 to 50 11,473.51 382.45 47.81 From 51 to 150 13,524.46 450.82 56.35 From 151 and beyond 15,495.25 516.51 64.56 From 1 to 10 10,610.14 353.67 44.21 From 11 to 50 10,965.84 365.53 45.69 From 51 to 150 12,926.02 430.87 53.86 From 151 and beyond 14,809.63 493.65 61.71 From 1 to 10 10,610.14 353.67 44.21 From 11 to 50 10,965.84 365.53 45.69 From 51 to 150 12,770.78 425.69 53.21 From 151 and beyond 14,357.47 478.58 59.82 TTaabblleeoo ffmmiinniimmuummssaallaa rryyffoorrtthheeyyeeaarr 2 20 02 23 3 11 Hospital Activities 8 Transport, Storage and Communications 9 Financial Establishments, Real Estate and Services Rendered to Companies 10 Community, Social and Personal Services, Security and Cleaning 7 Restaurants and Hotels 3 Manufacturing Industry 1 Agriculture, Forestry, Hunting and Fishing 2 Mining and Quarrying Exploitation 4 Electricity, Gas and Water 5 Construction 6 Wholesale and Retail Commerce

That the aforementioned adjustment corresponding to the months of January, February, and March of the year 2022, shall be paid in deferred form during the months of April, May, and June of this year.

In the event that the year-over-year inflation rate recorded in the month of December 2022, issued by the Central Bank of Honduras, is greater than the adjustment herein established for the year 2023, an adjustment equal to the percentage of inflation recorded shall be applied, for which the respective agreement shall be issued through the Secretariat of Labor and Social Security, with the updated values.

The General Directorate of Salaries and the General Directorate of Labor Inspection shall be responsible for monitoring strict compliance with the payment of Minimum Wages in accordance with established legal norms; guaranteeing in all cases the application to all workers of the principle of equal remuneration between male and female labor for work of equal value.

Excluded from this Agreement are the Workers of the Honduran Textile Maquiladora Sector and other Free Trade Zone Companies by virtue of the existing Agreement executed on the thirteenth (13) day of December of the year two thousand eighteen (2018).

The present Agreement shall be published in the Official Gazette La Gaceta. Given in the city of Tegucigalpa, municipality of the Central District, on the first (01) day of the month of April of the year two thousand twenty-two (2022). LET IT BE COMMUNICATED AND PUBLISHED IRIS XIOMARA CASTRO SARMIENTO Constitutional President of the Republic LESLY SARAHÍ CERNA Secretary of State in the Labor and Social Security Departments

word the coordinators of the employer and worker sectors present to this Commission the proposal for the setting of Minimum Wage for the years 2022 and 2023, which after being widely discussed by unanimous vote the Minimum Wage Commission agrees: 1.- To establish the Adjustment to Minimum Wage for two years, which shall enter into force as of the first (01) day of January of two thousand twenty-two (2022), likewise as of the first (01) day of January of two thousand twenty-three (2023), respectively in accordance with the percentages described in the following table: 2.- Due to the negotiation of percentages for adjustment to Minimum Wage, the Minimum Wage Table that shall apply throughout the country for the years 2022 and 2023 is described in accordance with economic activities and number of workers as follows: 2022 2023 5.32% 5.32% 5.50% 5.50% 6.50% 6.50% 7.50% 8.00% Categories From 1 to 10 Workers From 11 to 50 Workers From 51 to 150 Workers From 151 Workers and Beyond Years Table of Percentage of Adjustment to Minimum Wage MINUTES V MINIMUM WAGE NEGOTIATION COMMISSION YEAR 2022 CONFERENCE ROOM OF THE MINISTERIAL OFFICE. In the city of Tegucigalpa, municipality of the Central District, department of Francisco Morazán, Republic of Honduras, meeting in the facilities of the Civic Government Center: "José Cecilio del Valle", fifth (5th) floor of Building Body B, on Friday the first (01) day of April of the year two thousand twenty-two (2022), at four o'clock in the afternoon and thirty minutes (04:30 pm), day and time set for the holding of the hearing with the Minimum Wage Negotiation Commission, with attendance and in representation; FOR THE WORKER INTEREST: Proprietary Members: Mario de Jesús Sales, Constantino López Arias and Benjamín Vásquez Gutiérrez; as Alternate Members: Josué Jeremías Orellana, Tomás Membreño and José Humberto Lara Enamorado. FOR THE EMPLOYER INTEREST: Proprietary Members: Rafael Enrique Medina Elvir, Fernando Alejandro García Merino; as Alternate Members: Marcia Raquel Alquino Valle. FOR THE NATIONAL INTEREST: Proprietary Members: Walter Armando Paguada (President), María Ubaldina Martínez Molina; as Alternate Members: Alejandro Antonio Young Portillo, Martha Molina Mejía and Ogla Reyes Cruz. and as guarantor of the process the Attorney Lesly Sarahí Cerna, in her capacity as Secretary of State in the Labor and Social Security Departments, Attorney Emilson Motiño Rodríguez Undersecretary of Labor Relations and the Licentiate Percy Durón Rubio, Undersecretary of Employment and Social Security; who acting in good faith and demonstrating the capacity that prevails in each of the sectors they represent to reach consensus for the benefit of the Honduran population, the minutes are transcribed that account for the Hearing in which the following matters were deliberated and decisions made: I.- Verification of Quorum. Through roll call and statement, as well as the Attendance List duly signed by those present, it was verified that the representatives mentioned in the preamble of the present Minutes are present in representation of each Sector and consequently, there is sufficient quorum to deliberate and decide on the matters on the agenda with full right to voice and vote without any restriction, which had been convened in legal and proper form. II.- Opening of Session and Invocation to God: Having verified the quorum the President of the Commission the Lic. Walter Armando Paguada proceeded to declare the Session open giving welcome and making the respective invocation to God, Next the floor was ceded to the Minister Ms. Abg. Lesly Sarahí Cerna, who gives words of welcome to each of those present, at the same time makes a call to the Commission on the importance of reaching a final consensus regarding the setting of Minimum Wage for the year two thousand twenty-two (2022).- III.- Appointment of ad hoc Minutes Secretary: By unanimous vote the members of the Commission agree: 1) To appoint the Attorney María Ubaldina Martínez Molina as Ad Hoc Minutes Secretary, in order for her to draft the corresponding Minutes. IV.- Reading and Approval of the Agenda: Using the floor the President of the Negotiation Commission proceeds to read the Agenda to be Developed, which once read and asked to each sector whether the proposed agenda is accepted, without any objections thereto, is approved unanimously by the members of the Negotiation Commission, proceeding with its development. V.- Reading, Discussion and Approval of the Previous Minutes. Having been granted again the use of the floor to the Minutes Secretary, who reads the previous Minutes which is registered with number IV, submitted to discussion and approval, is approved and ratified proceeding finally to its signature. VI.- Bipartite Presentation of Proposal for the Setting of Minimum Wage: Using the floor the coordinators of the employer and worker sectors present to this Commission the proposal for the setting of Minimum Wage for the years 2022 and 2023, which after being widely discussed by unanimous vote the Minimum Wage Commission agrees:

• 1)

  To establish the Adjustment to Minimum Wage for two years, which shall enter into force as of the first (01) day of January of two thousand twenty-two (2022), likewise as of the first (01) day of January of two thousand twenty-three (2023), respectively in accordance with the percentages described in the following table:

• 2)

  Due to the negotiation of percentages for adjustment to Minimum Wage, the Minimum Wage Table that shall apply throughout the country for the years 2022 and 2023 is described in accordance with economic activities and number of workers as follows: MINIMUM WAGE TABLE FOR THE YEAR 2023 MINIMUM WAGE TABLE FOR THE YEAR 2022

• 3)

  That the aforementioned adjustment corresponding to the months of January, February, and March of the year 2022, shall be paid in deferred form during the months of April, May, and June of this year.

• 4)

  It is agreed to establish a Safeguard Clause that indicates that in the event that the year-over-year inflation rate recorded in the month of December 2022, issued by the Central Bank of No. BRANCH OF ECONOMIC ACTIVITY SIZE OF COMPANIES BY NUMBER OF WORKERS MONTHLY MINIMUM WAGE MINIMUM WAGE 2023 ORDINARY WORKDAY OF 8 WORKING HOURS MINIMUM WAGE PER HOUR From 1 to 10 7,802.20 260.07 32.51 From 11 to 50 8,255.64 275.19 34.40 From 51 to 150 9,041.89 301.40 37.67 From 151 and beyond 9,915.61 330.52 41.32 From 1 to 10 10,659.26 355.31 44.41 From 11 to 50 11,016.61 367.22 45.90 From 51 to 150 12,985.89 432.86 54.11 From 151 and beyond 14,878.19 495.94 61.99 From 1 to 10 10,462.78 348.76 43.59 From 11 to 50 11,168.89 372.30 46.54 From 51 to 150 13,165.40 438.85 54.86 From 151 and beyond 15,083.88 502.80 62.85 From 1 to 10 11,003.11 366.77 45.85 From 11 to 50 11,371.96 379.07 47.38 From 51 to 150 13,404.77 446.83 55.85 From 151 and beyond 15,358.14 511.94 63.99 From 1 to 10 10,806.62 360.22 45.03 From 11 to 50 11,168.89 372.30 46.54 From 51 to 150 13,165.40 438.85 54.86 From 151 and beyond 15,083.88 502.80 62.85 From 1 to 10 10,806.62 360.22 45.03 From 11 to 50 11,168.89 372.30 46.54 From 51 to 150 13,165.40 438.85 54.86 From 151 and beyond 15,083.88 502.80 62.85 From 1 to 10 10,806.62 360.22 45.03 From 11 to 50 11,168.89 372.30 46.54 From 51 to 150 13,041.26 434.71 54.34 From 151 and beyond 14,526.61 484.22 60.53 From 1 to 10 10,904.88 363.50 45.44 From 11 to 50 11,270.42 375.68 46.96 From 51 to 150 13,285.08 442.84 55.35 From 151 and beyond 15,220.99 507.37 63.42 From 1 to 10 11,101.34 370.04 46.26 From 11 to 50 11,473.51 382.45 47.81 From 51 to 150 13,524.46 450.82 56.35 From 151 and beyond 15,495.25 516.51 64.56 From 1 to 10 10,610.14 353.67 44.21 From 11 to 50 10,965.84 365.53 45.69 From 51 to 150 12,926.02 430.87 53.86 From 151 and beyond 14,809.63 493.65 61.71 From 1 to 10 10,610.14 353.67 44.21 From 11 to 50 10,965.84 365.53 45.69 From 51 to 150 12,770.78 425.69 53.21 From 151 and beyond 14,357.47 478.58 59.82 TTaabblleeoo ffmmiinniimmuummssaallaa rryyffoorrtthheeyyeeaarr 2 20 02 23 3 11 Hospital Activities 8 Transport, Storage and Communications 9 Financial Establishments, Real Estate and Services Rendered to Companies 10 Community, Social and Personal Services, Security and Cleaning 7 Restaurants and Hotels 3 Manufacturing Industry 1 Agriculture, Forestry, Hunting and Fishing 2 Mining and Quarrying Exploitation 4 Electricity, Gas and Water 5 Construction 6 Wholesale and Retail Commerce MINIMUM WAGE TABLE FOR THE YEAR 2023

  3.- That the aforementioned adjustment corresponding to the months of January, February, and March of the year 2022, shall be paid in deferred form during the months of April, May, and June of this year. 4.- It is agreed to establish a Safeguard Clause that indicates that in the event that the year-over-year inflation rate recorded in the month of December 2022, issued by the Central Bank of Honduras, is greater than the adjustment herein established for the year 2023, an adjustment equal to the percentage of inflation recorded shall be applied, for which the respective agreement shall be issued through the Secretariat of Labor and Social Security, with the updated values.

• 5)

  The Commission shall remit this draft agreement to the Secretariat of State in the Labor and Social Security Departments in order for it to approve it and submit it to the Presidency of the Republic setting forth the reasons it deems pertinent.

• 6)

  That once issued the agreement by the Executive Power it shall be published in the Official Gazette La Gaceta. VII.- Closure of Session: With nothing further to address the hearing is closed in the same place and date of its opening being five o'clock in the afternoon and fifty minutes (05:50 pm), signing for record at the margin and foot of each useful page. ------------------------------------------------------------- Last Line------------------------------------------------------------------------ FOR THE WORKER INTEREST MARIO DE JESÚS SALES JOSUÉ ORELLANA Proprietary Member - CTH Alternate Member - CTH CONSTANTINO LÓPEZ ARIAS Proprietary Member - CUTH BENJAMÍN VÁSQUEZ GUTIERREZ JOSÉ HUMBERTO LARA Proprietary Member - CGT Alternate Member - CGT FOR THE EMPLOYER INTEREST

  FERNANDO ALEJANDRO GARCÍA MERINO MARCIA RAQUEL AQUINO VALLE Proprietary Member Alternate Member COHEP COHEP RAFAEL ENRIQUE MEDINA ELVIR Proprietary Member COHEP FOR THE PUBLIC INTEREST WALTER ARMANDO PAGUADA ALEJANDRO ANTONIO JESÚS YOUNG Proprietary Member Alternate Member STSS STSS President of the Commission MARÍA UBALDINA MARTÍNEZ MOLINA OGLA REYES CRUZ Proprietary Member Alternate Member STSS STSS MARTHA MOLINA MEJÍA Alternate Member STSS