The evolution of the labor market from 2019 to date is not encouraging, affirmed the business sector, since generating jobs has become more expensive and the worker productivity has fallen.
“Salary increases are in themselves good news for workers and in a certain way for society in general. But the correct thing is that they are accompanied by greater productivity”, established the Center for Private Sector Studies (CEESP).
He argued that the increases have implied a higher unit cost of labor and a loss of competitiveness of the production plant that ultimately makes them unsustainable.
In its weekly message, the body of the Business Coordinating Council (CCE), maintained that the unit cost of work in Mexico is in ninth place in a sample of 41 countries, carried out by the Organization for Economic Cooperation and Development (OECD), surpassing that of the average membership of that organization, that of the European Union, the United States and Canada, among many others.
“Labor informality, the lack of competition and free entry and exit to national industries and the quality of human capital in terms of productive capacities are generally causes of stagnation or reduced productivity,” he said.
To this end, he recommended combating informality by applying the law and generating incentives for it in social programs – which to date are simply transfers without conditions that rather encourage labor informality and contribute to perpetuating poverty levels.
The CEESP called for taking measures to stimulate economic competition and facilitate the inclusion of new players in industries where there is little entry and exit of companies; and it is essential to direct education towards useful fields for productivity and resume the evaluation of schools, teachers and students in this regard.
He applauded that wages have risen sharply since 2019. “The minimum has been 134.8%, 88.4% in real terms. For its part, the base salary of the IMSS contribution is 19% higher than that of 2018 at constant prices”.
