Manufacturing in Mexico: Labor

  • December 26, 2016

    December 26, 2016

    The wages of workers in Mexico are one of the most cost-effective aspects of nearshoring manufacturing operations to Mexico. In recent years, the hourly wage rate of workers in Mexico has dipped below that of China, making it one of the most popular places for manufacturing operations, particularly for products destined for the United States. In order to understand wages in Mexico, it is vital to consider the various factors [...]

    The wages of workers in Mexico are one of the most cost-effective aspects of nearshoring manufacturing operations to Mexico. In recent years, the hourly wage rate of workers in Mexico has dipped below that of China, making it one of the most popular places for manufacturing operations, particularly for products destined for the United States. In order to understand wages in Mexico, it is vital to consider the various factors [...]

  • July 22, 2015

    July 22, 2015

    For American companies considering moving their manufacturing operations abroad, Mexico has seemed to be a logical choice. Its geographic proximity to the United States along with its large labor force make it an attractive alternative to domestic production. As in any multinational arrangement, however, there are difficulties in complying with local laws. Federal labor law in Mexico can be applied non-uniformly and can be difficult to navigate. Any company wishing [...]

    For American companies considering moving their manufacturing operations abroad, Mexico has seemed to be a logical choice. Its geographic proximity to the United States along with its large labor force make it an attractive alternative to domestic production. As in any multinational arrangement, however, there are difficulties in complying with local laws. Federal labor law in Mexico can be applied non-uniformly and can be difficult to navigate. Any company wishing [...]

  • February 19, 2013

    February 19, 2013

    Effective December 01, 2012, Mexico’s Federal Labor Law (FLL) underwent the most comprehensive reform in over 40 years.  Many of the new laws will impact companies manufacturing in Mexico, especially those who are uninformed and/or unprepared to address the more than 300 changes in the decree.  Below are three key changes employers can expect under the new decree. Outsourcing The reform heightens the regulations on employee outsourcing (subcontracting) with potentially [...]

    Effective December 01, 2012, Mexico’s Federal Labor Law (FLL) underwent the most comprehensive reform in over 40 years.  Many of the new laws will impact companies manufacturing in Mexico, especially those who are uninformed and/or unprepared to address the more than 300 changes in the decree.  Below are three key changes employers can expect under the new decree. Outsourcing The reform heightens the regulations on employee outsourcing (subcontracting) with potentially [...]

  • October 19, 2012

    October 19, 2012

    Although some manufacturing companies might shed a little concern about the skill level in Mexico’s workers, Mexico graduates more engineering students than the US, Germany, Brazil and Canada. Currently, Mexico graduates about 90,000 engineers and technicians per year. Increased government aid to education programs means that companies who manufacture in Mexico are now working with a highly qualified, skilled and trainable work force. Mexico has served as a low-cost manufacturing [...]

    Although some manufacturing companies might shed a little concern about the skill level in Mexico’s workers, Mexico graduates more engineering students than the US, Germany, Brazil and Canada. Currently, Mexico graduates about 90,000 engineers and technicians per year. Increased government aid to education programs means that companies who manufacture in Mexico are now working with a highly qualified, skilled and trainable work force. Mexico has served as a low-cost manufacturing [...]