Mexican Job Market Shows Slight Growth in July
The Mexican Social Security Institute (IMSS) reported that 22.3 million jobs were registered in July, representing an annual growth of 2%.
According to an analysis of Citibanamex employment data, there appears to be a deceleration of formal employment in Mexico, as annual growth has not exceeded 3% so far this year. The lowest figure from last year (January to July) was 3.4%.
The bank attributed this deceleration to the slowdown in several key economic sectors, including transportation, communications, trade, and construction.
Despite the slight growth, job creation remained stagnant in July, with figures remaining at the same level as June after a marginal increase of 0.2% in the previous month.
In terms of wages, Citibanamex estimated that the wage bill stood at 9 thousand 672 million real pesos, representing a growth of 6% from the previous month. Real wages grew by 3.9%, slightly lower than the 4.3% recorded in the previous month.
The report also projected that the IMSS would create an additional 400,000 jobs by the end of 2024. However, job creation in the first seven months of the year was the lowest since 2019 (306,014 jobs), excluding the pandemic-stricken year of 2020.