CARACAS - President Hugo Chavez has announced a 25 percent increase for Venezuela's minimum wage starting May 1.

Chavez says workers will get a 15 percent boost in pay at the beginning of May. They will get the remaining 10 percent rise Sept 1.

The wage hike announced Monday will benefit close to 3 million people, who will earn $360 a month once the full increase is phased in.

Chavez has promised a generous redistribution of Venezuela's windfall from this year's soaring oil prices as he looks ahead to a presidential election in 2012.

Venezuela is struggling to curb Latin America's worst inflation. Venezuelan consumer prices rose more 27 percent over the last year.