The states on the border between Mexico and the United States are those with the cities with the best working conditions, which are reflected in high wage levels, a smaller gender income gap, and greater formality, among other factors, according to the Urban Competitiveness Index 2024 (ICU).
According to the report prepared by the Mexican Institute for Competitiveness (IMCO), this year, Ciudad Juárez, Hermosillo, Monclova-Frontera, and Piedras Negras lead the list of cities with the best working conditions in the four categories into which the study is divided, based on population size.
The ICU analyzes the conditions of the country’s main cities in six dimensions to define their level of competitiveness, one of which is the labor component through a subindex called “Labor Market.” The following variables are evaluated in this report: gender income gap, salary level, average labor product, work days of more than 48 hours, companies with more than 50 employees, and labor informality.
“The Labor Market sub-index measures the efficiency of the main production factor: human capital. Specifically, it considers characteristics that are essential for the adequate performance of workers and employers, determinants for establishing conditions for growth and development in each of the cities. Those in which workers are more and better trained and salaries are more competitive are more attractive for talent and investment,” says the IMCO.
Under this analysis, the cities with the best conditions for work in 2024 are the following:
Cities with more than one million inhabitants
Ciudad Juárez, Chih.
Monterrey, NL.
Saltillo, Coah.
Chihuahua, Chih.
Tijuana, BC.
From 500,000 to one million inhabitants
Hermosillo, Son.
Reynosa, Tamps.
Mazatlán, Sin.
Veracruz, Ver.
Matamoros, Tamps.
From 250,000 to 500,000 inhabitants
Monclova-Frontera, Coah.
Nuevo Laredo, Tamps.
Nogales, Son.
Los Cabos, BCS.
La Paz, BCS.
Less than 250,000 inhabitants
Piedras Negras, Coah.
Sabinas, Coah.
Guaymas, Son.
Delicias, Chih.
Chetumal, QRoo.
The most outstanding cases
In the report, the IMCO highlights that the monthly salary for workers in the 66 cities analyzed is 10,483 pesos per month. In this category, the city with the highest average is Los Cabos, with 16,038 pesos; At the other extreme is Moroleón-Uriangato, with 7,181 pesos.
Meanwhile, regarding the gender pay gap, the average in this year’s report is 16.4%. The widest difference between the salaries of men and women in the cities analyzed is observed in Moroleón-Uriangato (38%); Playa del Carmen (32%) and Cuautla (31%). On the other hand, the smallest in terms of population density are Guaymas (2.6%), Tapachula (0.4%), Irapuato (7.5%) and San Luis Potosí (8.1%).
Meanwhile, the cities with the lowest level of informality are Ciudad Juárez and Monclova-Frontera, both with 28.4%, compared to an average of 47.1 percent. Although the IMCO warns that in 23 of the 66 cities evaluated, more than half of the population is employed in the informal economy.
In terms of productivity, measured as pesos generated per hour worked, the cities with the highest level are Veracruz, with 558.8 pesos, and Saltillo, with 467.9 pesos. The average for the cities under study is 257.8 pesos per hour worked.
Source: eleconomista