Robots Cut Jobs in Maquiladoras

The maquiladora industry in Tijuana faces job cuts as automation rises. Companies shift focus to supervisory roles amid declining robot prices and increasing labor costs, adapting to the changing industrial landscape.

### Decline in Robot Prices Leads to Job Reductions in the Maquiladora Industry

In Tijuana, the maquiladora industry is witnessing a significant shift in its employment landscape. According to Luis Manuel Hernández, former president of Index, the return on investment for a robot is approximately two years. At the same time, the cost of manual labor is rising, leading to fewer job vacancies within the industry.

Hernández emphasized the urgent need for the industry to adapt to these new realities. As automation becomes more prevalent, companies are focused on process supervision rather than the execution of manual tasks. “You will use fewer people because you’re automating. What you want is process supervision, not the process itself, and this gives us an idea of the radical change we are seeing. Labor costs are rising, while robots are becoming cheaper,” he explained.

He also highlighted the continuous demand for products from the North American market, which necessitates that companies adjust to consumer demands across the border. “The economy will grow and continue to grow because the United States consumes,” Hernández concluded.

### Maquiladoras Adjust Hiring Requirements

With the changes brought by automation, maquiladoras have also been rethinking their hiring practices. Some companies have begun to relax their employment requirements, even accepting workers with a history of drug use in an effort to fill positions. This adjustment reflects the broader difficulties in adapting to a swiftly changing industrial environment and the varied challenges that come with it.

### Secondary Article: Global Trends in Automation Affecting Employment

In a similar vein, global trends show that automation continues to influence employment across various sectors. A recent report by the International Federation of Robotics states that the global market for industrial robots reached new heights in 2022, with 384,000 units sold worldwide. This surge is expected to impact jobs, particularly those involving repetitive manual tasks.

A case study involving a major automotive manufacturer revealed that automation increased production efficiency by 40% but resulted in a 30% reduction in the workforce. Industry experts argue that while some jobs are eliminated, others are created in areas like robot maintenance and software development, demanding a shift in worker skill sets.

Luis Castro, an analyst in industrial trends, noted, “We are in the midst of what could be termed as the fourth industrial revolution, and adaptation is crucial. While robots handle repetitive tasks, skilled labor is needed to supervise these processes and maintain the machinery.”

As more companies embrace automation, the challenge will lie in reskilling the existing workforce to adapt to the new job landscape, ensuring there aren’t widespread job losses in already vulnerable sectors.

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