National Employment Service Mexico May 2017.
Classification of Jobs and Occupations in Mexico Formal agriculture and livestock sector 757,171 TOTAL POPULATIO N 123,057,147 M: 59,508,416 F: 63,548,731 Population younger than 15 years old 32,412,601 M 16,601,303 F 15,811,298 Population older than 15 years old 90,644,546 M 42,907,113 F 47,737,433 Economically Active Population 53,681,720 M 33,229,325 F 20,452,395 Economically Inactive Population 36,962,826 M 9,677,788 F 27,285,038 Working 51,859,895 M 32,132,937 F 19,726,958 Unemployed 1,821,825 (3.3%) M 1,096,388 F 725,437 Seeking Employment * 3,571,787 M 2,377,078 F 1,194,709 Formally Employed 22,209,427 (48.8%) M 13,874,343 F 8,335,084 Informally Employed 29,650,468 M 18,258,594 F 11,391,874 M 670,011 F 87,160 Businesses in the formal sector 21,413,165 M 13,188,817 F 8,224,348 Informal agriculture and livestock sector 5,779,959 M 5,162,029 F 617,930 Informal Sector 14,154,774 M 8,635,119 F 5,519,655 Formal businesses with informal workers 7,366,919 M 4,283,834 F 3,083,085 Informal Domestic Workers 2,348,816 M 177,612 F 2,171,204 * Includes unemployed population, employed but seeking another job, or looking to change jobs, or for another reason. SOURCE: ENOE 1ST TRIMESTER 2017 2
Constitutional Base of the National Employment Service Constitutional base in Article 123, Section XXV, which establishes: The service of placing workers will be free for them, whether it is carried out by municipal offices, job postings, or by any other official or private institution. In realizing this services, labor demand will be taken into account and, all else being equal, workers who represent the only source of income for their families will be prioritized. It is regulated in Federal Labor Law, Chapter IV, referred to as Of the National Employment Service; Articles 537-539. 3
National Employment Service in Mexico Established in 1978, the National Employment Service is responsible for implementing active labor market policies, operates a federalized system through coordinating agreements, and has presence in all 32 Mexican states. It has 167 offices, a staff of 3,191, and is free of charge whether job seekers and employers are served in person, on the phone, or online. Its objectives are: 1) Facilitate the connection between those who offer work and those who are seeking work; 2) Orient those who seek work and support their work-readiness; and 3) Assist businesses searching for candidates to fill their vacant posts. The Ministry of Labor, through its General Coordination of the National Employment Service (CGSNE) regulates, assigns the majority of the budget, coordinates, and supervises the operation of actions, services, programs, and strategies, and evaluates its results. 4
Services of Employment Connections The function of employment connections is the primary task and priority to operate the National Employment Service in Mexico, and focus its attention on developing services according to the circumstances and needs of the labor market. Through its almost 40 year history, the National Employment Service has designed and introduced a set of actions related to labor connections, which have allowed it to build an intervention model that offers different alternatives and channels for employers and recruiters, as well as job seekers, with an integrated and complementary vision of services, based on the necessities and profiles of the Mexican labor market. The National Employment Service s priority in Mexico is to bring job opportunities closer to people who are seeking jobs and to support employers find human talent with the labor competencies required to cover their vacant posts, reducing the costs of their recruitment and hiring processes. 5
Services of Employment Connections The Employment Connection Services that are administered in person and virtually in Mexico, which attend the needs of job seekers and employers, are: Domestic Job Placement Foreign Job Placement Bolsa Job postings de Trabajo (In-person). (Presencial). Portal Employment del Empleo portal (Virtual). Ferias Job fairs de (Mixed). Empleo (Mixto). Mecanismo Mechanism de of Labor Movilidad Mobility Laboral (In-person). (Presencial). Atención Temporary a Agricultural Trabajadores Agrícolas Workers Mexico-Canada Temporales México (Inperson). Canadá (Presencial). Through its Employment Connection Services, job seekers are provided with information and advice so they apply for openings congruent with their labor profile, and employers are supported so they publish job vacancies and pay attention to their job requirements to cover vacant positions. 6
Services of Employment Connections Mechanisms of complementary attention Workshops for Job Seekers. Information, advising, and techniques for the job search. Labor Observatory. Free public service of online information: www.observatoriolaboral.gob.mx National Employment Service by Telephone. Free telephone attention by calling 01800 841 2020 Centers of Labor Intermediation. Modules with computers and internet for job searches. Job Offers Newspaper. Bimonthly publication with information about job opportunities. Informational Magazine. Quarterly publication directed to employers, placement agencies, and unions. State Employment System. Exchange of job openings and labor profiles that are difficult to fill or find. 7
The National Employment Service and its attention to employers In its attention to employers, the National Employment Service has the role of helping them cover their vacancies through a preselection process that specialized advisers carry out, which allows them to scout the most suitable candidates for their job openings. Employers who need to contract personnel sign into the Employment Portal, the Job Fairs Portal, or go to the National Employment Services offices and make their request in person. In all cases, they must supply the most important requirements of the vacancy to guarantee a labor match that allows the channeling of candidates the fulfil their necessities. To promote the services offered to employers, there is a promotional campaign and diffusion that is led by the CGSNE, operating in a coordinated way with the National Employment Service Offices. Videos, tryptics, posters, and business folders have been developed. They have also been diffused through radio and television in interviews with central office staff, and more. Currently, the business arrangement area has been formalized as responsible for promotion and diffusion of the National Employment Service s services. The figure of the arranger is definitive in the process of incorporating new businesses, and more and better vacancies. 8
The National Employment Service and its attention to employers Job Postings. Principal characteristics of the service to employers. Service available for all businesses with job vacancies that need a candidate preselection service. Personalized attention (in-person) at the 167 National Employment Service offices through labor advising and personnel specialized in business placement. Support the preselection of candidates through de requirements defined by employers to cover their vacancies. A computer application to register employers and openings with the most important requirements for a labor match, which guarantees overlap between the characteristics of the candidates and the requirements of the vacancy. Sending the candidate to the vacancy with an invitation letter and profile. Follow-up to the placement of all candidates channeled. 9
The National Employment Service and its attention to employers Job Posting. Principal characteristics of the service to employers. During the interview process, employment advisors identify the level of affinity (match) of the job seekers with the vacancies, and, based on this, determine if a candidate will be sent to a company. Currently there is an average placement of 35.2%, obtained based on personalized follow-up with the company. 10
The National Employment Service and its attention to employers Job Posting. Principal characteristics of the service to employers The employment adviser refers the three best candidates. There is personalized follow-up to verify if the company contracted someone referred. Average time to cover a vacancy is 8 business days. 11
The National Employment Service and its attention to employers Job Posting. Principal characteristics of the service to employers Free publication with job offers. Agile format to profile the job vacancies, with principal requirements for the match. Access to an ample database with more that 2 million current resumes of all types of candidates. Validation of the candidate profiles with the requirements of the vacancies ( match ). Tools to administer and update employer data and job offers. Candidate interviews online. 12
The National Employment Service and its attention to employers Principal services that the Employment Portal offers to employers. Match tool Vacancy 1: Commercial Director Assistant: 95% match. Vacancy 2: Mechanical Engineer: 80% match. 13
The National Employment Service and its attention to employers Employment Portal. Principal characteristics of the service to employers Information about the National Employment Service. Promotion of vacancies in the job offers newspaper. Access to information about Job Fair events. Contents of interest for human resources professionals. Social networks. @empleogob_mx /empleogobmx 14
The National Employment Service and its attention to employers Recruitment events: Job Fairs Recruitment and selection events that are carried out based on business needs. There is a direct and massive connection between employers and job seekers, with which it is posible for businesses to find the personnel they need and increase the possibilties of placement for job seekers. These events let employers directly interview job seekers and access many resumes, reducing the costs and times of recruitment and selection. Employers register online through the portal http://ferias.empleo.gob.mx These events are carried out in two modalities: o In-person o Online(Virtual Fairs) 15
The National Employment Service and its attention to employers Other services to support employers National Employment Service by Telephone, a Contact Center that gives support to employers about services and programs that the National Employment Service offers, locations of physical offices, Job Fairs that will be held son, registering vacancies, etc. State System of Employment, a coordination mechanism which allows the allsocation of recruiters and human resources professionals and operates via Exchange meetings, where specific personnel necessities are addressed. Job Offers Newspaper, a bimonthly publication where available job offers are publiciezed, which is very useful primarily for micro and small establishments. This publication is available online through the Employment Portal. Opening Spaces Strategy. Through the Centers of Evaluation of Labor Skills, labor competency evaluations for disabled people and the elderly are carried out to guarantee required profiles for inclusive employers. Promotion and diffusion strategies of the supply of the National Employment Service s services through massive outreach like radio and television, printed materials, emails, and social networks. 16
Job Support Program The National Employment Service and its attention to employers Bécate Sub-program. Support businesses that, through services of employment connections, do not find candidates appropriate to cover their vacancies, through incorporating job seekers in training courses in their offices and directly in their productive processes where job seekers develop their labor competencies and are able to adapt their labor profile to employers needs. During the time in training, job seekers receive a training stipend of one to three times the minimum wage, transportation, and accident insurance. Bécate allows businesses to have qualified personnel and guarantees that 80% of people trained are able to find a job. Modalities of employer attention. Labor Practice Training. Courses developed directly in the productive process of employment centers (micro and small businesses), fundamentally oriented at Young job seekers who need to gain experinece and/or strengthen their labor competencies. Mixed Training. Courses which are essentially practical, oriented at acquiring, strengthening, or converting labor skills of the job seeker, which allows greater odds in job placement. Carried out with medium and large companies NISSAN, HONDA, MAZDA, GENERAL MOTORS, CHRYSLER, BOMBARDIER, etc.) 17
Results December 2012 to April 2017. Results by program level and attention strategy: Subprogram / Sservice Actions Attended Placed Total Subprograms 87,871 1,801,300 1,358,492 Bécate 59,400 1,185,538 930,335 Fomento al Autoempleo 28,471 57,139 57,139 Movilidad Laboral Agrícola 492,676 340,548 Movilidad Laboral Industrial y Servicios 30,542 30,470 Repatriados Trabajando 35,405 Total Services of Employment Connections 59,651 20,154,678 4,425,264 Job postings 5,881,553 2,071,497 Employment Portal 8,369,016 1,611,079 Job Fairs 2,430 1,811,651 645,293 Temporary Agricultural Workers Program 106,895 97,395 National Employment Service by Telephone 1,811,246 Labor Intermediation Centers 933,162 Workshops for Job Seekers 53,323 820,703 State Employment System 3,898 420,452 Total Labor Contingencies 2,327 49,405 41,540 Total National Employment Service 149,849 22,005,383 5,825,296 18
Organizational Structre of a National Employment Service Office Director General of the National Employment Service Coordinator of Labor Connection Coordinator of Financial Support to Training Coordinator of Labor Mobility Coordinator of Human Development and Resource Administration Coordinator of Supervision, Social Auditing, and Judicial Advising Coordinator of Planning and Labor Information Coordinator of the Regional Unit Employment Advisor Employment Advisor Employment Advisor Administrative analyst Supervision and followup analyst Information analyst Employment Advisor Business Arranger Business Arranger Business Arranger Human resources analyst Social auditing analyst IT analyst Business Arranger Receptionist The CGSNE has defined a structure that is replicated in all offices of the National Employment Service, which facilitates coordination with the different areas of central offices. Through the different activities of the National Employment Service, 22 million job seekers have been attended since 2012, and 5.8 million of them have been placed in jobs. 19
Services of Employment Connections ATTENTION SCHEME Attended Placed % Attended % Placed Services of Employment Connections 20,154,678 4,425,264 92% 76% ** Job Support Program 1,850,705* 1,400,032 8% 24% Total December 2012 - April 2017 22,005,383 5,825,296 100% 100% *Includes labor contingencies 167 offices in all 32 states 3,191 staff members in the National Employment Services offices 999 Employment Advisors (31% del personal) 289 Business Arrangers (9%) 1,903 Other areas 60% 202 staff in the General Coordination of the National Employment Service office The Mexican National Employment Services has prioritized attention to job seekers through its Services of Employment Connections over the past few years, emphasizing use of new communication technologies. Currently, 40 % of staff support areas of employment advising and business arranging. 20
Millions 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Millions Services of Employment Connections 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 1.4 1.2 1.0 0.8 0.6 0.4 0.2 0.0 37% more Placed Placed In 2008 the National Employment Service launched the employment portal www.empleo.gob.mx, and volume of attention increased by 41.6% and placement by 37%. Since then, there have been deliberate advancements in systems consolidation. 16 systems have been merged into 5, and 16 databases have been merged to 1. SVL Tradicionales SVL en Línea 57.2% more Vacancies The National Employment Service s involvement into virtual attention for job seekers and employers has permitted an increase of up to 57.2% more vacancies and along with that coverage of attention to employers. From 2015-2016, the National Employment Service supported 181,960 formal businesses which all registered at least one vacancy through the jobs portal, the employment portal, and the Jobs Fairs. 5.0 4.0 3.0 2.0 1.0 0.0 SVL Tradicionales SVL en Línea Vacancies 21
Strengthening the National Employment Service 2012-2017 The growth that the National Employment Service in Mexico has seen particularly around its services of employment connections in the past few years can be fundamentally explained due to: The diversification and automatization of services that have allowed broader reach to more businesses and job seekers, as well as opening more offices. The leading role the National Employment Service has taken in its participation with strategic initiatives from the President s office and implicate, on one hand, direct services to the employers with the most dynamism in the Mexican economy (the automotive sector, aeronautics, tourism, services), and, on the other hand, job seekers, the national crusade against hunger, the social prevention program against violence and crime, attention to women, youth, etc. Resources contributed by states to promote hiring staff, having job fairs, attending the training needs of businesses, and developing promotional campaigns. Example: in 2016, the Ministry of Labor spent 1,726 mdp (approx. $90 million USD) and states spent 350 mdp (approx. $19 million USD). 22.
Strengthening the National Employment Service 2012-2017 The consolidation of a National System of Performance, which has 41 indicators that allow evaluation and recognition of the operations of the Offices of the National Employment Service in each of their areas of services and programs. Posting more and better vacancies due to creating an consolidating an area of business arrangement that has the following functions: Define and execute strategies that allow the identification and registration of employers that have job vacancies. Administer the offer of vacancies, follow up once preselected candidates are sent, analyze levels of placement and the causes of rejection of the candidates to improve attention to businesses. Evaluate employer satisfaction as well as process results for business arrangement with the goal of continuous improvement. Propose promotional material design that allows the National Employment Service to approach more employers. 23
Strengthening the National Employment Service 2012-2017 The professionalization process for National Employment Service staff in the states, where from 2014 to date committed work has been done to improve attention to businesses and job seekers. In this vein: Job profiles were optimized for employment advisors and business arrangers, making an undergraduate degree obligatory. Currently, almost 80% of staff have these academic qualifications and they have become an indispensable prerequisite, according to the degree that applies in the corresponding profile. Training actions were encouraged specifically in topics that have allowed strengthening and standardizing employment connection servicees. From 2014 to date, 1,118 colleagues have been trained in personnel recruitment, 427 in business arrangement, and 505 in teamwork. 53% have been certified in existing labor competency standards. 24
Employment Advisor Profile FORMAL EDUCATION Undergraduate degree in Social Work, Psychology, Business Administration, Industrial Relationship, Communication, Pedagogy, and Industrial Engineering. WORK EXPERIENCE In staff recruitment and selection, group management, project administration and control. DESIRED COMPETENCIES KNOWLEDGE SKILLS ATTITUDE Marketing and Public Relations Techniques, applied interviewing skills, event planning, technical report writing, basic computer skills. Leadership; takes initiative and is creative, Analysis and Synthesis of information, Teamwork, Communication, Interpersonal relationships Service oriented, positive attitude, open to diversity of thoughts, open to change, assertive, self-critical, selfesteem, self-motivation, Dynamic, discreet, available to travel, positive, empathy, ethical, flexibility, honesty, initiative, patience, perseverance, professional, respectful, responsible, drive to advance, tolerance. 25
Business Arranger Profile FORMAL EDUCATION WORK EXPERIENCE KNOWLEDGE Academic degree, preferably in the following areas: Social Science and Humanities, Economic-Administrative and Industrial Engineering and Psychology. Experience in activities that involved the productive sector, in labor connection processes such as staff recruitment and selection DESIRED COMPETENCIES Administration, SWOT Analysis, Commerce and Business, Computers, Market research, Marketing, Strategic planning, Programming and budget, Negotiation techniques. SKILLS Active listening, written and verbal skills, leadership, negotiation, results-based orientation, persuasion, sociability, problem solver, decision maker, teamwork. ATTITUDE Service oriented, positive attitude, open to diversity of thoughts, open to change, assertive, self-critical, selfesteem, self-motivation, Dynamic, discreet, available to travel, positive, empathy, ethical, flexibility, honesty, initiative, patience, perseverance, professional, respectful, responsible, drive to advance, tolerance. 26
Training activities for staff development 2017-2022 2017 2018 2019 2020 2021 2022 Onboarding and rules Employment Advisor Business Arranger Complementary training Teamwork Quality and efficiency in Service delivery to employers and job seekers in the National Employment Service Placement followup Operational Management Promotion and Diffusion Digital positioning Social media Information and Communication Technologies Planning and information analysis Assertive communication Administration of human, financial, and material resources Administration and evaluation of projects and materials Leadership Legal advising Basic Training 27
Challenges 2017-2022 Modernize the technological infrastructure of the National Employment Service and increase levels of automatization of services and programs through better use of information and communication technologies, both to attend job seekers and employers and to make a better use of labor market information. Improve the profiling system to allow service assignment, paying particular attention to the characteristics, degree of vulnerability, type and intensity of support needed for job seekers. Develop an integrated strategy of arrangement, attention, and follow-up with the business sector which specifically addresses their contracting needs and establish a long-term relationship. Define an organizational development model that promotes development of the National Employment Service staff, multichannel attention to employers and job seekers, and which guarantees the execution of defined processes for service delivery. 28
Challenges 2018-2022 Strengthen the Performance Evaluation System of the National Employment Service Offices, including a larger numbers of management, impact, Service quality, and personnel productivity indicators. Incorporate a transversal gender strategy, taking into consideration the task of creating awareness in employers and improving criterial for profiling women to bring them closer to better employment opportunities. Position the opening spaces strategy with the business sector, to be recognized as an alternative in Mexico to be able to contact disabled people and the elderly. Push labor mobility schema domestically and internationally in countries like Canada, the US, and others that might be interested in contracting Mexican talent. 29
Challenges 2018-2022 Improve skills development programs (Bécate) which allows the acquisition, development, and/or certification of labor competencies, which allow the attention of the requirements of employers and allow beneficiaries to be placed in a formal job. Training courses focused on the most Dynamic sectors of Mexico will be focused on; socioemotional competencies will also be supported, and pilots will be developed which will allow the identification of the impact of Bécate in the longer term. Strengthen the attention model for those repatriated from the United States, to bring them closer to job opportunities in Mexico. 30
National Employment Service Mexico Secretaría del Trabajo y Previsión Social Subsecretaría de Empleo y Productividad Laboral Coordinación General del Servicio Nacional de Empleo @empleogob_mx /empleogobmx