7 News Belize

Is The Solution For Scarce Labour Opening The Borders?
posted (April 5, 2024)
Yesterday we told you about the scarce labour situation - where businesses are having a hard time finding manual labour and entry level employees.

It's. What economists call a tight labour market. And, facing that, there's a limited range of options - the first being to import labor.

We discussed this with an economist today. Here's the story:

They pay slightly more than the five dollar minimum wage but this block factory and other enterprises like it which need manual labour are having trouble finding workers:

Jules Vasquez
"Would you say that labor is scarcer than it used to be?"

Joshua Santos, Production Manager, Tu'Kan Manufacturers Limited
"I would agree. I would agree because one time people used to work for maybe $20, $30, and right now, due to the minimum wage went up, I mean, it's like a problem for getting workers, so I don't really know what's the problem."

According to associate professor at UB, Dr Phillip Castillo - it's no problem, it's a good economic sign:

Dr Phillip Castillo, University of Belize
"It's an evidence that the job market is strong. The most recent unemployment data shows unemployment in Belize at 4%, and that is considered full employment."

"So the job market is strong, and that is commendable. But then to keep it strong, to meet the need, the growing demand for labor, I think the country has to liberalize its migrant work policies because what that does is that that introduces people in believes who want to work."

"So Belize has jobs that Belizeans do not want for whatever reason, and then these jobs will be available for persons around the region who want to work. And I think that's the blend, that's the blend that is required for continued growth."

He suggests importing labour under more relaxed requirements while accepting that entry level workers will go to higher paying call centers:

Dr Phillip Castillo, University of Belize
"If you're looking at a student just entering the labor force, and then the call center is offering $8 per hour, most likely the student would be gravitated towards that because you're looking at $8 per hour in an air-conditioned place and you're fairly safe and those are job considerations."

"But then there remains the other jobs, the block making and the field harvesters that can't pay eight dollars per hour that also need labor."

So, a workforce with a changing demographic may be in Belize's future - while accepting that many Central Americans prefer to go to the US:

https://www.7newsbelize.com/sstory.php?nid=69193&frmsrch=1
John Zabaneh, Citrus Farmer

"Nobody wants to even come to Belize anymore."

Jules Vasquez:
"You mean the labor?"

John Zabaneh, Citrus Farmer
"They don't want to come to Belize."

Jules Vasquez:
"Why is this?"

John Zabaneh, Citrus Farmer
"Why is this? Because the US is there with the doors flung wide open. When people leave their country now, to go looking for jobs, they go to the States. Why come to Belize?"

We'll have more on this story next week.

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