Mexico: Employment Still not Reversing the Fall of 2020
According to INEGI figures, the labor market of Mexico has recovered 95% of the jobs lost due to COVID-19.
The number of employed persons in Mexico increased for the fifth consecutive month, but 680 thousand jobs have yet to be recovered to reach the levels prior to the pandemic.
In addition, there is a great pending to compensate in the quality of the jobs, since most of the recovery has occurred in informal occupations, there are higher levels of underemployment, precariousness and lower wages.
Of the almost 13 million people who left the Employed Population (PO) caused by the pandemic, the Mexican labor market has recovered 95 percent of jobs, according to data from the National Institute of Statistics and Geography .
According to the National Occupation and Employment Survey (ENOEN), the PO adds a total of 12.3 million people from May 2020 to June 2021, that is, 678 thousand 127 people are missing from what was seen in the April level of 2020.
However, of the 12.3 million occupations recovered, 10 million were informal, that is, 81 percent of the total.
During June 2021, the PO adds a total of 55.1 million people.
For its part, the Economically Active Population (EAP) shows a recovery of 99.6 percent or 12.5 million from May 2020 to March 2021, of the 12.6 million people who lost their jobs during April of last year.
By economic activity, the population employed in services presents the greatest lag with 1.1 million below the levels of April 2020. Within it, commerce is the greatest drag with a loss of 618,334.
In this same sense, the industry shows a loss of 486,134 for the same period. In a disaggregated manner, construction shows the slowest recovery as it still needs to create 238 thousand 788 jobs.
The agriculture, livestock, forestry, hunting and fishing sector shows a recovery of 880,933 compared to April 2020.
For its part, the Non-Economically Active population (PNEA) available to work, that is, the population that did not work or look for work but would accept a job if it were offered, has decreased by 9.5 million from May of last year to June 2020, after increasing 11.6 million in April 2020.
During the same period, informal employment was the most affected after losing 10.6 million employed people in April 2020, a little more than 10.2 million have been incorporated as of June 2021.
With seasonally adjusted figures and in comparison with the immediately previous month, in June 2021 the Unemployment Rate registered a fall of 0.2 percentage points, reaching 4 percent; For its part, the Unemployment Rate fell 0.1 percentage points, to settle at 12.4 percent.
Furthermore, in June there are 1.7 million more underemployed than before the pandemic, and there are 2 million 250 thousand more people in the Non-Economically Active Population.