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back to index backGLOBALtalk March,  2015


Latin America’s Most Competitive Workforces

Who has the most competitive workforces in Latin America? The Latin Labor Index 2014 takes a look.

Labor and talent are key issues for multinationals looking to hire workers in new markets. But which countries offer the best conditions for making use of these factors? Latin Trade Business Intelligence takes a look at how the countries of Latin America compare in creating the best conditions for employers to bring on an effective staff. The ranking takes advantage of four major topics: the difficulty of hiring, the difficult of firing, the rigidity of labor laws, and other factors including stability of labor-employer relations, mean years of school, brain drain, expected years of schooling, and life expectancy.

Overall, conditions in the region saw another annual decline – falling to a combined average of 161 points from 176.3 in 2013, and 183.2 in 2012. Declines came from the usual suspects – with the Mercosur countries such as Argentina, Venezuela, Paraguay, and Uruguay leading declines.

Of these Argentina saw by far the largest declines – with a cumulative score of 39.5 – only a quarter of the regional average. The country’s ranking also fell from number 7 last year to number 18 – last place – in this year’s index.

This decline owed to a steep rise in the monthly minimum wage from $635 a month at the official exchange rate to $1,462, making it the highest monthly minimum wage in Chile – more than twice that in Venezuela (the second highest), and almost …

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Source: Latin Trade - GAI




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