Lower unemployment rate in Baja California
According to the Instituto Nacional de Estadística y Geografía (INEGI), the level of unemployment in Baja California declined slightly in October in accordance with the rate of employment generation. With an unemployment rate of 2.38% which was lower than the 2.95 % of last month and the 3.85% in October of the previous year, these results were reached thanks to the strategies developed by the various sectors of the state administration headed by Governor Francisco Vega de Lamadrid.
Carlo Bonfante Olache, Secretary of Economic Development, indicated that the entity has the lowest rate of the Northern border states and has the eighth place as the lowest unemployment rate in the country. At a national level, the unemployment rate was 3.67% representing a comparative decline with 4.41% from last month and 4.55% in October last year.
This information is related to a report by the Instituto Mexicano Del Seguro Social (IMMS) until October 2016, which states the creation of 62,744 jobs in the year, thanks to these results the entity was rewarded the second place on the northern border and the fifth at a national level.
The secretary mentioned that the growth of formal workers is the result of the efficiency that economic activity has had during 2016. This increase has led to a performance above the national average, concerning salaries we can observe an increase during this year in the last 8 Months consecutively, taking into account Tijuana’s inflation for this calculation.
This growth has also been seen in other sectors an example of this growth is in the manufacturing sector with a 15.3% increase in nominal value in November. Wholesale trade grew by 13.8% while the small-scale business grew its revenue by 23.4%. According to data from the Monthly Survey of Business Establishments (EMEC).
As a final point, the head of SEDECO mentions that a lower rate of unemployment is a challenge for companies, because for them to retain more people in their workforce will imply not only improving wages but also improving labor environment, improving family life and better training. Adding to this, there is already a more positive trend for higher salaries, which has allowed the entity to move from an average of 297 pesos to 307 with a growth of 3.3% over last year.