Labor Unions Highlight Job Displacement Concerns Amid AI Integration

Web Editor

October 20, 2025

a person is typing on a keyboard with a blue background and a blue light behind them that says artif

Introduction to the Issue

Labor unions affiliated with Mexico’s Confederation of Workers (CTM) acknowledge that job displacement due to artificial intelligence (AI) is a pressing concern across various sectors, including textiles, food, and automotive industries.

AI’s Impact on Employment

Although precise figures are not yet available, labor unions within the CTM are already experiencing the effects of AI integration in their workplaces. Tereso Medina, the substitute secretary-general of CTM, points out that AI has the potential to displace jobs at an alarming rate. This reality is evident in the automotive sector, where a single robot’s introduction once led to the displacement of around fifty positions.

Textile Industry Transformation

María Concepción Huerta Salgado, the subsecretary of Women’s Action at CTM, highlights the significant transformation faced by the textile industry with the incorporation of AI into production plants. A key aspect of this transition is the substantial reduction in workforce, with estimates suggesting that only 20% of original workers have been integrated into the new AI-adopting plants.

Case Study: Textile Company in Tulancingo, Hidalgo

Huerta Salgado cites a specific example in Tulancingo, Hidalgo, where a textile company is implementing an AI pilot program. Previously employing approximately 2,500 workers, the company now has only 50 employees in the new AI-integrated plant—a mere quarter of its previous workforce potential.

Union Response and Future Challenges

Recognizing the significant reduction in personnel, labor unions face the challenge of “renewing themselves or perishing.” The CTM aims to ensure that remaining workers are well-compensated and share in the benefits of increased industry competitiveness brought by AI. Additionally, they emphasize the importance of training and awareness to help workers and union leaders adapt to new technologies and understand the mindsets of newer generations.

New Sindical Leadership for the Future

Medina Ramírez, the CTM leader, acknowledges that this issue challenges labor unions to construct a future labor agenda. He notes that AI follows other significant processes in the automotive sector, such as diesel and gasoline engine manufacturing, automation, and robotics. He stresses the need for new union leadership capable of effectively addressing AI processes, promoting responsible and constantly evolving unionism.

Key Questions and Answers

  • What is the main concern for labor unions regarding AI? Labor unions are primarily concerned about job displacement caused by the integration of artificial intelligence into various industries.
  • How is AI affecting the textile industry? The textile industry faces significant transformation due to AI integration, resulting in a substantial reduction of the workforce.
  • What measures are labor unions taking to address AI-related job displacement? Unions aim to ensure fair compensation for remaining workers, promote training and awareness, and develop new leadership capable of addressing AI processes.
  • Why is new union leadership crucial in the face of AI integration? New union leaders must be equipped to handle AI processes effectively and promote responsible, evolving unionism.