Mexico, Colombia Key Destinations for Global Talent Acquisition

We have never experienced as much dynamism in the workplace as we do today. In the last century, all companies followed a similar formula in the relationship between employers and employees. Nowadays, each company reinvents its internal dynamics in an effort to find the work system that results in the greatest productivity in the short and long term. Having four generations coexisting in the same workplace bubble is no easy feat for HR departments, as each generation has its own particularities; however, the rules must be the same for everyone.

Various theories are discussed in HR forums worldwide regarding constructing a working system that harnesses the skills of Gen Z, Gen Y, Gen X, and baby boomers. One topic that continues to be a point of debate is the analysis of remote or hybrid work models. Even with this, what is not in question is the high profitability this work model can represent, especially in technology development.

Finding highly skilled talent in developing countries, where the cost of living is lower than in first-world countries, is a factor that has led companies worldwide to institutionalize remote work internally to maximize the efficiency of their human capital budgets without sacrificing quality. Additionally, more and more professionals are demanding remote or hybrid work models to commit their talent. In this context, Latin America is no exception, as employers have had to adapt to this new demand in the labor market.

A Betterwork study, conducted by Betterfly and Criteria, revealed inspiring success stories from Mexico and Colombia. These countries have successfully adapted to the remote work model, where employees of foreign companies have been able to establish a strong sense of belonging despite the distance.

The supply of human talent has changed drastically in both Mexico and Colombia. No more than a decade ago, we were discussing the so-called "brain drain" phenomenon, where the brightest talents emigrated to developed countries in search of better opportunities. Now, there has been a notable trend of return, known as "brain circulation." This is largely due to the changes in the international status quo of the industrial market, along with efforts by universities, the private sector, and the public sector to elevate the quality of professionals in the region. Institutions like Tecnológico de Monterrey, UNAM, Instituto Politécnico Nacional in Mexico; Universidad de los Andes, Universidad Nacional, and Pontificia Universidad Javeriana in Colombia have gained international recognition for their programs in engineering, technology, and business. Both countries have also made significant technological investments through national budgets and by facilitating foreign direct investment. Cities like Guadalajara have positioned themselves as the Mexican Silicon Valley. Meanwhile, Medellin has been recognized for its digital transformation and focus on innovation, being named the World's Most Innovative City by the Wall Street Journal in 2013.

The combination of these factors has made Mexico and Colombia global tech talent hubs and set them on a path of international influence. This fosters regional development and creates a growing pool of talent that is not only available for remote work worldwide but is also shaping the future of the global tech industry.

Talent conditions in these regions are strengthened by their geopolitical conditions, especially in Mexico. Beyond the benefits of the USMCA and the various international treaties Mexico has to facilitate international trade, its proximity to one of the world's largest buyers, the United States, has made it the perfect candidate to be an ally of multinationals worldwide.

Since we witnessed the fragility of international logistics during and after the pandemic, industrial projections in Mexico have accelerated. According to a study published in 2021, of 400 executives in the supply chain and logistics sector, 40% indicated that their companies' image had been damaged by missed deadlines or costs arising from operational disruptions. By 2022, industrial developers increased the speed of building new projects by 70% compared to the previous year. Nearshoring has transformed Mexico's industrial landscape.

Moreover, the integration of artificial intelligence in the workplace has resulted in high efficiency in both logistics and administrative processes, as well as in the agility of human talent to achieve their goals.

The ecosystem in which Mexico and Colombia find themselves, both at a geopolitical, social, and technological development level, makes them highly attractive destinations for the acquisition of strategic talent for companies worldwide. As the leader of an Employer of Record company, I have witnessed the growing demand and interest from companies worldwide in the talent from these regions.

A few weeks ago, a user on our communication channels, Manolo, made an insightful observation about talent development in our regions. He emphasized the importance of avoiding the temptation to view our progress merely as an imitation of first-world hubs such as Silicon Valley. Manolo's perspective resonates with me; the rapid and unprecedented development in both Mexico and Colombia distinguishes them as unique and vibrant innovation ecosystems.