Monday, May 31, 2010

Inflation Outpaces Salaries in Chihuahua: Economy Has Lost Jobs

Although the average salary in the state of Chihuahua is 8.53 percent higher than it was two years ago, inflation has gone up even higher--11.31 percent--so purchasing power is down 2.8 percent. The average salary two years ago was 199.61 pesos; it has gone up to 216.65 pesos today (March 2010) which at the exchange rate is about $16.96 per day in U.S. dollars, but would have to be $17.44 to have the same purchasing power as two years ago.

Overall, jobs in the formal sector in the state of Chihuahua have declined by 11 percent since October of 2007 to a total of 629,195 (April), down from about 706,000 at that time.

Note: In New Mexico, although we have a population that is smaller than Chihuahua (a little over 2 million here, 3.3 million in Chihuahua) our formal work force here in spite of an 8.7 percent unemployment rate is about 959,000. In Chihuahua the informal labor sector is much larger than in New Mexico. The informal sector is neither taxed nor monitored by government and would include most servants, many informal working arrangements for services such as gardening and handiwork. It also includes crime, which has increased dramatically.

For story in Diario click here.

5 comments:

Anonymous said...

Does the state of New Mexico do alot of business with Chihuahua these days?

Jose Z. Garcia said...

I don't think the state government does much business with Chihuahua. There is business between New Mexico and Juarez, especially through Foxconn.

The governor's agenda with Chihuahua ended years ago and very little has been done in the border region on infrastructure or anything else for several years.

Anonymous said...

The state of New Mexico had a far better agenda with Mexico with Gov Johnson was in office. Richardson is good at press events but never any follow thru. Evidence is he hires members of staff to deal with mexico that can not event speak spanish.

Anonymous said...

Please enlighten us and provide us some names of these people us tax payers are paying for-
Anonymous said...
The state of New Mexico had a far better agenda with Mexico with Gov Johnson was in office. Richardson is good at press events but never any follow thru. Evidence is he hires members of staff to deal with mexico that can not event speak spanish.

June 1, 2010 2:01 PM

Anonymous said...

I think your reader is talking about the New Mexico Border Authority and how the Richardson appointed staff can not speak Spanish.