The labor market in Mexico is grappling with the challenge of integrating over 10 million potential employees into productive economic activities, reveals a recent study.
Titled “The Landscape of Vacancies and the Available Population in Mexico,” the research indicates that companies in the country have noted an insufficient workforce for their needs.
Valeria Moy, General Director of the Mexican Institute for Competitiveness (IMCO), highlights an existing gap between available jobs and individuals who could potentially fill these positions but currently are not.
The study reveals that over 10 million individuals, though of working age and capable of employment, remain unengaged in the economy.
This demographic includes 2 million unemployed individuals, 2.6 million who are in a context that impedes their economic participation, and 5.8 million who, due to lack of incentives, choose not to engage in economic activities.
The majority of non-participating individuals are women engaged in domestic tasks who perceive low job-finding prospects.
Companies, particularly in the manufacturing and wholesale trade sectors, report challenges in filling vacancies, largely due to a lack of qualified workers.
In addressing this issue, IMCO suggests that companies could adjust job offers, potentially with improved remuneration, labor flexibility, and more inclusive conditions.
As of May 2023, Mexico’s Economically Active Population was 60 million with an unemployment rate of 2.9 percent.
The Mexican economy grew by 3.0 percent in 2022.