Mexico's Female Labor Participation Hits Decade-High in 2Q24

Mexico's female labor participation has seen significant growth in recent years, with 2Q24 marking the third-highest rate in a decade. According to data from the National Institute of Statistics and Geography (INEGI), 46.3% of Mexico’s economic activity now includes women, signaling a steady rise in their role within the national economy. 

This growth comes as part of a broader increase in the country’s Economically Active Population (EAP), which expanded by 737,000 individuals compared to the same period in 2023, as reported by Mexico’s Ministry of Labor and Social Prevision (STPS). Notably, 436,000 of those new participants were women. The EAP, now totaling 61 million people, highlights a trend toward greater workforce engagement in Mexico.

The increased female labor participation has been linked to recent policy changes in Mexico’s labor landscape. The rise in minimum wage and reforms to outsourcing regulations are seen as contributing factors to this shift, according to the STPS. 

“The Government of Mexico is accountable with a labor policy that includes everyone, becoming a fundamental pillar of the country’s transformation,” says STPS.

Labor poverty, a key indicator of Mexico’s economic health, is also reducing. The percentage of the population unable to afford a basic food basket with their income dropped from 40.7% in 2018 to 34.9% in 2024. This is the second-lowest rate recorded since 2005, reflecting the impact of policies designed to lift working conditions across the board. 

Moreover, between the 2Q23 and the 2Q24, the average real labor income for employed men and women increased by a similar magnitude, with variations of 8.1% and 8.7%, respectively, as reported by CONEVAL.

Women’s unemployment rates have likewise reached a milestone, with only 2.6% of the female population unemployed as of the 2Q24, according to the STPS. This is the lowest rate since 2005, indicating not only the increased participation of women in the workforce but also their success in finding and retaining employment.