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There are fewer and fewer well-paid jobs in Mexico

The wage gap between large companies and small business in Mexico is the largest of the industrialized countries in Latin America, according to the Economic Commission for Latin America and the Caribbean (ECLAC).

The employees of the micro businesses have an average salary of only 12.8% of the average of a worker in a large company, for a small company the percentage is 39.1% and for a medium one it’s 66.7%.

With this gap, Mexico is below countries such as Argentina, Brazil and Chile, where the average difference is 48.2%, 42.2% and 37.6%, respectively.

“Such wage differences make it more difficult for redistributive policies to reduce levels of inequality and to achieve progress towards the Sustainable Development Goals (SDGs),” ECLAC said in “Quadrennial report on regional progress and challenges in relation to the 2030 Agenda for Sustainable Development in Latin America and the Caribbean”.


In the parallel report, issued by Organization for Economic Cooperation and Development (OECD), it’s explained that employment is becoming polarized in Mexico because few high-skill jobs are being generated.

¬ęThe growing imbalances in the labor market are particularly serious in Mexico. The polarization of jobs has resulted in an increasing proportion of low-skilled jobs in relation to those of medium and high qualification “, stated in the Employment Report in 2019.

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