### Baja California’s Manufacturing Industry Loses 23,827 Jobs in Second Quarter of 2024
Between April and June 2024, Baja California’s manufacturing industry saw a significant reduction in its workforce, losing 23,827 employees. This sector experienced the highest job losses compared to other industries, as reported by the National Institute of Statistics and Geography (INEGI).
Following manufacturing, the construction industry faced the second largest job losses with a reduction of 4,068 workers. The extractive and electricity industries also reported a drop in employment, losing 2,928 positions.
Overall, secondary activities in the state, which include manufacturing, construction, and extractive industries, reported a cumulative loss of 30,823 jobs compared to the same period last year. In contrast, primary activities (such as agriculture, livestock, forestry, hunting, and fishing) and tertiary activities (including commerce and services) fared better.
During the second quarter of 2024, the total employed population in Baja California was 1,794,675, which is 9,106 fewer than the same period in the previous year. The majority of those employed were in subordinate and remunerated roles (78.3%), followed by self-employed workers (15.3%).
Unemployment also saw an increase, with 50,516 people reported as jobless—7,912 more than in the second quarter of 2023. Consequently, the unemployment rate rose from 2.3% to 2.7% of the Economically Active Population (PEA).
Additionally, there was an increase of 22,350 in the number of individuals aged 15 and older who are not participating in economic activities. This Non-Economically Active Population includes 176,317 individuals who were not actively seeking work but would accept a job if offered.
According to the National Survey of Occupation and Employment (ENOE) released on September 2, 2024, informal employment decreased from 676,682 to 655,917, a reduction of 20,765 people. Subemployment also affected 60,169 workers who expressed the need and availability to work more hours than their current jobs required, particularly in the secondary (manufacturing and construction) and primary (agriculture and livestock) sectors.
### Additional Industry News: Job Losses Continue to Plague the Manufacturing Sector
New data has surfaced, confirming the struggles within the manufacturing sector in other parts of Mexico and globally. A report from early September 2024 highlights that overall manufacturing jobs in Mexico have declined due to a combination of automation, shifting global supply chains, and economic slowdowns in major export markets.
In Querétaro, another manufacturing hub, industries reported a troubling trend of reduced work hours and increased layoffs, particularly in the automotive and aerospace sectors. Economists suggest that the increasingly unstable political climate and new trade regulations have contributed to these challenges.
Globally, the situation isn’t better. European manufacturing sectors are also seeing a downtrend, influenced significantly by declining orders from the once-booming Chinese market. Analysts expect that unless there is a substantial economic turnaround, manufacturing job losses may persist into the foreseeable future.
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