Survey: Majority of LATAM Countries Likely to See Employment Growth

By Narayan Ammachchi

Employers in most Latin American countries are likely to bolster their workforce in the coming quarter, with job prospects in Brazil, Panama and Peru among the strongest globally, according to a latest survey from HR research firm ManpowerGroup.

US and Mexican employers seem to be optimistic for the first time since the 2008 recession, and hiring plans in Brazil remain strong, says the report, which was released this week.

At the backdrop, the job market looks grim elsewhere in the world, with the European countries slipping deeper into recession leaving hundreds of thousands of people jobless. The report attributes a decreasing job opportunities in India to the decline of the country’s business process outsourcing industry.

More than 35% of employers surveyed in Brazil expect to add to the number of their employees, only 7%  expect to trim payrolls and 57% expect to keep current staffing levels intact.

“The upbeat hiring pace expected in Mexico’s labor market for the July-September period, may provide jobseekers and career-changers with many opportunities to get a position (or a different one) during this time,” said Mónica Flores, Managing Director of ManpowerGroup in Latin America. “Across the country, there are many investments and projects that are compelling decision-makers to define their talent acquisition strategies.”

While the U.S. sees a steady growth in jobs, employers in Argentina, Canada and Costa Rica report the weakest prospects.

“Brazil still has a strong outlook despite slowdowns in most sectors and regions. Panama and Peru’s labor markets are also dynamic, with the former’s manufacturing sector buoyant even as work on Panama’s canal reconstruction project is winding down,” commented Jonas Prising, ManpowerGroup President.

For the second consecutive quarter, employers in all 50 American states, Puerto Rico and the District of Columbia are reporting positive hiring plans.

“Compared to the challenges faced by other parts of the world, the U.S. hiring situation is fairly robust as demand for products and services further improves,” added Prising.

The survey, however, provides little evidence that global hiring plans are improving by any notable degree in the second half of the year, as uncertainty continues to hinder employer confidence across the globe.

“Employers around the world are growing accustomed to unpredictable economic conditions and are becoming increasingly agile in the face of an ever-changing environment,” said Jeffrey A. Joerres, ManpowerGroup Chairman and CEO. “They are remaining disciplined and only pulling the trigger as demand dictates, resulting in a decidedly pedestrian global hiring pace.”

Employers in China and India are scaling back their hiring plans. The ManpowerGroup blames the slowdown in the BPO industry for the decreasing job opportunities in India.

“Some of the downturn in India is attributable to the decline of the country’s business process outsourcing industry, while companies remain frustrated with the disconnect between their skills requirements and available skills in the marketplace,” stated the research firm.