Industrial Development in Mexico: Which Sectors Provide More Employee Training?

In today's rapidly expanding Mexican market, thanks to the phenomenon of nearshoring and the influx of companies, having a skilled workforce is crucial for the industrial sector. Skilled workers possess specialized knowledge, abilities, and experience in specific fields. Alongside their education, these employees require appropriate training to keep their skills and knowledge up-to-date. Nonetheless, according to data from the Mexican Economy Secretariat and the National Institute of Statistics, Geography, and Informatics (INEGI), only about one-sixth of Mexican workers receive consistent training.

Companies' expansion and arrival in Mexico are closely tied to a growing pool of competitively skilled workers. Over the last three years, companies in the industrial sector have absorbed nearly 40 million square meters of space in Mexico, almost doubling their previous footprint, as reported by SiiLA.

Despite Mexico becoming an attractive country for the manufacturing and logistics sectors, boasting a highly competitive and professional workforce on a global level, institutions like the Organization for Economic Cooperation and Development (OECD) have acknowledged that many companies face challenges in finding the required skilled labor. These challenges can be attributed to two main reasons. First, the lack of training leading the workforce to specialize in low-value-added activities, thereby contributing to the prevalence of informal employment. Second, many skilled workers in Mexico are not effectively utilizing their abilities and talents.

 Which sectors invest more in employee training?

Education and training play pivotal roles in fortifying Mexico's industrial growth. The Federal Labor Law (Article 153) establishes that employers must train their staff to ensure skill updates, prepare them for new positions, prevent workplace risks, and enhance productivity.

Based on the most recent data from the Economy Secretariat and INEGI, companies related to business support and waste management lead in employee training, with 97% of their workforce having received training at least once. Following this productive sector are companies in financial services, mining, wholesale trade, energy, manufacturing, mass media, and professional services, with training rates of 66%, 62%, 45%, 43%, 36%, 36%, and 23.5%, respectively.

Also, companies engaged in transportation, real estate, entertainment, education, and healthcare and social assistance services train 19%, 18%, 14%, 13%, and 11% of their workforce.

On the other hand, companies in the lodging, construction, retail, corporate, additional services, and agriculture sectors show the lowest training rates, with only 8%, 7.5%, 6%, 5%, 3%, and 0.3% of their workforce receiving training, respectively.

It is worth mentioning that, on average, only 17% of workers in Mexico receive consistent training. This deficiency does not imply that workers lack specialized knowledge, skills, and/or experience. Instead, it means companies haven't updated and enhanced their employees' abilities. Data from INEGI indicates that the reasons companies cite for not providing training include the belief that their staff's knowledge and skills are adequate, that new hires are already trained, or that the training cost is expensive.

Training is essential in the industrial sector as it boosts productivity, workplace safety, work quality, and employee commitment. Additionally, it enables industries to maintain competitiveness and adapt to technological and regulatory changes, making it a wise investment that positively impacts overall company performance and success. To delve further into topics related to the industrial sector, explore SiiLA REsource or contact us at contacto@siila.com.mx.