• RECORD: The total number of Mexicans in informal employment reached new records during the third quarter of 2019 with the national statistics agency (INEGI) recording a total of 31.1 million informal workers and 1.8% higher from the same quarter in 2018.
• WEAKNESS: Considered one of the most relevant weaknesses of the Mexican economy, the informal employment rate remained high (56.4%), very much in line with the trend sustained since the Great Recession of 2009; in 2010, the informal employment rate hovered around 60%.
• COMPONENTS: Most of the Mexican workers in informal employment are working in the informal economy (15.2 million) but another big group of them (7.5 million) are employed in the private sector and even government but without access to social security protections, according to INEGI.
• RECOMMENDATION: In May, the Organization for Economic Cooperation and Development (OECD) recommended Mexico a coordinated approach to reduce informality by lowering costs of doing business, reduce employee dismissal costs and at the same time increasing social protection.
