Manufacturing in Mexico: Human Resources
Manufacturing in Mexico has greatly increased as companies have expanded their global footprint into Mexico. The strategic plan to operate these facilities must include an investment in Human Resources in Mexico that ensures recruitment of qualified candidates, equitable compensation practices, compliance with local regulations and minimal turnover.
North American Production Sharing, Inc. (NAPS) is the leading outsourced administration and compliance management company in Mexico, specializing in employment administration, accounting, import/export and environmental, heath & safety, allowing corporate management to focus their efforts on production and quality control.
Manufacturing in Mexico requires strict adherence to laws and taxes, and the price of noncompliance is steep and swift. Late payment of taxes, failure to present monthly statistics reports and neglecting to file required tax returns online will result in fines, fees, surcharges and back taxes. The Mexican Social Security Institute, the governmental organization that collects social security for the workforce, requires detailed quarterly reports that include monthly payroll data and employee training and job information. Companies must keep an updated registry of employment activities and report risks. Outsourcing to a team that has expertise in governmental regulations and the ability to manage deadlines is the HR solution to avoid sanctions and work suspensions.
The successful deployment of Human Resources in Mexico hinges on partnering with an organization committed to the confluence of the company’s workforce culture. NAPS’ HR professionals are skilled in screening, interviewing, conducting reference checks and testing. Specialists assess whether or not the candidate is qualified and likely to acclimate to the work environment and company mission. The client conducts interviews and makes the final decision. Once the prospect is hired, NAPS conducts new hire orientations and manages the administrative details in accordance with local regulations and company policy.
NAPS services its clients by maintaining and utilizing human resource technology. The system is designed to automate payroll and accounting processes, track attendance and turnover and alert recruiters to staffing needs.
Mexico offers a rich labor pool that includes a large population of young, hard-working, educated and skilled people. Attracting these workers to companies manufacturing in Mexico can be time-sensitive and competitive, especially during initial recruitment and special projects that require mass hiring. Having an HR solution in place is most advantageous at these times. NAPS professionals will respond to the sense of urgency and pull together a multitude of resources to meet the demand.
Outsourcing this function to NAPS clearly puts manufacturers in a position of strength as leaders forge ahead to build their operations in Mexico. One-stop shopping for labor offers numerous benefits and allows management to engage fully in strategic activities with a focus on production. Employees are a highly valued resource that deserves full attention. Outsourcing this function is an effective way to contain cost, relieve internal staff of administrative overload, recruit qualified and well-matched employees, minimize turnover, maximize efficiency and ensure compliance with local labor requirements.
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With over 20 years of experience doing business in Mexico, NAPS can provide expert commentary on trends and changes in the industry. NAPS offers administrative support services for companies manufacturing in Mexico. Administrative services include: Site Selection, HR, Recruitment, Accounting, Payroll, Customs, Environmental and Corporate Compliance. For more information contact NAPS at 858.794-7947 or visit our website.