Mexico Shows Potential for Nearshoring IT Jobs
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Mexico Shows Potential for Nearshoring IT Jobs

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Anmol Motwani By Anmol Motwani | Journalist & Industry Analyst - Fri, 05/12/2023 - 10:33

The post-pandemic reliance on nearshoring is fueling IT jobs and Mexico brims with the potential to grasp them thanks to its highly-qualified, young workforce. 

Global technology companies are increasingly hiring talent in Latin America to handle technological tasks like coding software, as the region is only a couple of time zones away from much of the US and the EU. This location makes them ideal for handling tasks that can be done remotely through phone or computer during the Western business day. “The location, location, location mantra holds true more than ever, consequently materializing and focusing the nearshoring strategic approach on these border cities and states,” says Salomón Noble, CEO, Intermex Servicios de Administración. 

Mexico has a demographic bonus that makes it a good competitor for those jobs. “With an average population age of twenty-seven, Mexico is still a young country holding a comparative advantage known as the demographic bonus that will last for at least two more decades, according to the CONAPO (Mexican Demographics Agency). A very competitive labor pool that has been nurturing and developing over the past six decades from continuous exposure to world-class manufacturing practices across all industries,” says Noble. 

In the US, the number of technicians and engineers that are about to retire is five times larger than Mexico’s entire automotive industry. The country is also able to train talent for the direct supply process because of its demographic bonus, a strength that the US and the EU lack, says Luis Lizcano, Executive President, the Mexican Federation of Aerospace. 

Monica French, Head of New Business Hispanic America, Linkedin, tells MBN that “according to a study conducted by the Economic Research and Teaching Center (CIDE), it is estimated that nearshoring will generate close to 150,000 jobs in the technology sector alone in Mexico. According to our LinkedIn 2023 Jobs on the Rise report for Mexico, the top roles that coincide with manufacturing are Site Reliability Engineer, Data Engineer, JavaScript Developer, Cloud Engineer and Logistics Specialist.”

Due to the region's recent investments in startups, there is now an excess of highly-skilled tech workers available for remote work, which presents an opportunity for nearshoring companies to hire experienced talent that was previously difficult to acquire. 

Photo by:   StartupStockPhotos , https://pixabay.com/users/startupstockphotos-690514/?utm_source=link-attribution&utm_medium=referral&utm_campaign=image&utm_content=593312, Pixabay, https://pixabay.com/

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