Over the past few decades, outsourcing has become an increasingly popular business practice. Many companies have chosen to outsource jobs to countries with lower labor costs, including Mexico. In this article, we will take a closer look at the number of jobs that are currently being outsourced to Mexico and explore some of the reasons behind this trend.

Outsourcing in Mexico: A Growing Trend

According to recent data from the Mexican Association of Automotive Suppliers (AMAP), there are now more than 200,000 people working in the automotive industry alone. This represents a significant increase in the number of jobs that have been outsourced to Mexico over the past few years.

One of the main reasons for this trend is the relatively low labor costs in Mexico. The average salary in Mexico is significantly lower than in many other developed countries, making it an attractive option for companies looking to reduce their overall labor expenses. Additionally, Mexico has a large and highly skilled workforce, which makes it easy for companies to find qualified workers to fill open positions.

Another factor driving the growth of outsourcing in Mexico is the country’s strategic location. Mexico is situated on the border with the United States, making it an ideal location for companies looking to tap into the North American market. By setting up operations in Mexico, companies can take advantage of lower labor costs while still being able to easily ship goods and products to their customers in the US.

The Impact of Outsourcing on the Mexican Economy

The growth of outsourcing in Mexico has had a significant impact on the country’s economy. In addition to creating new jobs, outsourcing has also helped to increase foreign investment in the country. According to data from the Mexican government, foreign direct investment in the country reached $34 billion in 2019, up from $28 billion the previous year.

Outsourcing has also helped to diversify the Mexican economy, reducing its reliance on traditional industries such as oil and gas. By attracting companies from a range of sectors, outsourcing has helped to create new opportunities for growth and development in Mexico.

Summary

In conclusion, the number of jobs being outsourced to Mexico is on the rise, driven by factors such as low labor costs, a skilled workforce, and strategic location. This trend has had a positive impact on the Mexican economy, creating new jobs and increasing foreign investment in the country. While there are concerns about the potential negative effects of outsourcing on wages and working conditions, it is clear that this practice will continue to play an important role in shaping the global economy in the years to come.