Introduction to the STPS Initiative
As part of Plan Mexico, the Secretariat of Labor and Social Prevision (STPS) announced the organization of 400 employment fairs across Mexico, aiming to promote over 100,000 job vacancies. These fairs will primarily target vulnerable groups such as women, young people, and individuals with disabilities.
Collaboration with State and Regional Fairs
The national employment fairs will be complemented by state and regional events, thanks to the support of the governments of Mexico’s 32 federal entities.
Additional Employment Support
These initiatives will supplement the personalized assistance provided to job seekers at the 167 offices of the National Employment Service (SNE) across the country and through the Virtual Employment Portal.
Current Employment Trends
According to the Labor Secretary, Marath Bolaños López, formal employment in Mexico has increased since December 2018, currently standing at 22.4 million jobs with an average salary of 18,800 pesos.
SNE Achievements
Bolaños López highlighted some of the SNE’s accomplishments over the past six years, including placing 2.4 million people in jobs, with 162,000 of those placements occurring during the first six months of President Claudia Sheinbaum’s administration.
Priority Programs
Among the priority programs launched at the beginning of this six-year term, Bolaños López mentioned the “Jóvenes Construyendo el Futuro” program, which has trained over 3 million young people and plans to incorporate an additional 80,000 apprentices in May.
Labor Security Reform
The Labor Secretary also discussed the reform aimed at ensuring social security for digital platform workers. Two fundamental guidelines are being debated: the issuance of general rules for IMSS insurance and establishing general dispositions to calculate workers’ net income through STPS. Both are expected to be published within five days of the decree’s entry into force.
Challenges in the Mexican Labor Market
Recent Diagnosis by the Mexican Government
In a recent diagnosis presented by the Mexican government in the National Development Plan, it was noted that “despite advancements, the Mexican labor market continues to face mismatches due to structural inequalities. Although the female labor participation rate has reached historical levels, there remains a 30.1 percentage point gap compared to men.”
Unemployment Rate
The labor unemployment rate in 2024 was 5.3%, nearly three times higher than the adult rate, though labor training programs have helped reduce the percentage of young people (18-29) who neither study nor work by 3 percentage points.
Labor Informality
Regarding labor informality, it was observed that the rate decreased from 56.5% in 2018 to 54.6% in 2024, yet there are still 32.5 million people working under precarious conditions with lower income stability.
Key Questions and Answers
- What is the STPS initiative? The STPS is organizing 400 employment fairs across Mexico to promote over 100,000 job vacancies, focusing on vulnerable groups.
- How will the national fairs be supported? The national fairs will collaborate with state and regional events, thanks to the support of Mexico’s 32 federal entity governments.
- What additional employment support is available? The SNE offers personalized assistance at its 167 offices nationwide and through the Virtual Employment Portal.
- What are current employment trends in Mexico? Formal employment has increased since December 2018, with 22.4 million jobs and an average salary of 18,800 pesos.
- What have been the SNE’s accomplishments? The SNE has placed 2.4 million people in jobs, with 162,000 placements during the first six months of President Claudia Sheinbaum’s administration.
- What priority programs are being launched? The “Jóvenes Construyendo el Futuro” program aims to train and incorporate more young people into the workforce.
- What labor security reform is underway? The reform seeks to ensure social security for digital platform workers through general rules for IMSS insurance and dispositions for calculating net income through STPS.
- What challenges does the Mexican labor market face? Despite progress, structural inequalities cause mismatches in the labor market, with a significant gender wage gap and high informality rates.
