Querétaro, Mexico, has proven that it has plenty to attract manufacturers. Well-known brands ranging from General Electric to Coca Cola to Samsung have operations in this state, just a nine-hour drive from the U.S. border. The benefit of having such a strong manufacturing presence is that the local labor force has some technical training or experience, and many more are eager to enter this enticing field.
Having watched manufacturing employment increase in 2018—from 79,326 (20%) to 91,564 (22.7%) people—nearly 10% of local job seekers are working to join the manufacturing sector, and are willing to do so at a wage equal to or below the industry median.
On the other hand, there is much competition for these workers, not just from other manufacturers but other industries as well. The manufacturing sector employs only about 20% of the workforce in Querétaro. Others find employment in commerce, social and professional services, hospitality and construction. That means manufacturers who want to recruit the best, and keep turnover costs low, need a solid employment plan in place before they invest in operations in Querétaro.
Due to the competitive local job market, workers in Querétaro know they have alternative options if they are unhappy with their employer, so it’s important that employers have a retention plan in place. According to the Querétaro Labor Market Report from Tetakawi, turnover in the Querétaro region tends to be lower than other areas in Mexico as many managers have discovered the right formula for employee retention.
Tetakawi’s field study of the area, which serves as the basis for its Labor Market Report, found that the leading factors, aside from salary, that employees consider when changing employment are better benefits. As a result, it’s critical that employers make benefits beyond those required by the Mexican Labor Law a central part of their retention plan.
The field study revealed five preferred benefits for regional workers:
Of course, employers don’t have to provide all of these benefits. The key is to find the right balance for your specific location.
Based on its field study and experience, Tetakawi recommends the following benefit enrollment strategies:
With your benefits plan in place, it’s time to start recruiting. While it’s important to use multiple channels in your employee search, the Tetakawi field study found social networks to be the method of choice for finding new employment. People searching for direct labor employment in Querétaro used social media networks 44% of the time. The majority (42%) of these job seekers start with Facebook, followed by Internet sites like Indeed.com.
Other employment sources include state and municipal employment services, public announcements in neighborhoods, referrals from other employees, postings at educational institutions, and Google searches. A multi-pronged approach that balances a strong social media presence with more direct ways to reach potential employees where they live is the strongest way to recruit motivated manufacturing employees.
For more insight on recruitment strategies in the Querétaro region, read the full report here