Mexico’s Labor Market in 2025: Youth, Education, and Industry Growth

In June 2025, Mexico’s Economically Active Population reached 61.8 million people, according to the National Institute of Statistics and Geography (INEGI). This figure is about 1.2 million higher than in the same month of the previous year, reflecting steady growth in the country’s labor force.

Breaking it down by sector, the distribution is as follows:
  • Services: 27.1 million people (45.1%)
  • Commerce: 11.8 million people (19.7%)
  • Manufacturing Industry: 9.3 million people (15.5%)
  • Agriculture, Livestock, Forestry, Hunting, and Fishing: 6.5 million people (10.7%)
  • Construction: 4.6 million people (7.6%)
  • Other Economic Activities (mining, electricity, water, and gas supply): 391,000 people (0.6%)
  • Not Specified: 418,000 people (0.7%)
When compared to June 2024, certain areas show the most notable increases:
  • Professional, Financial, and Corporate Services: +477,000 people
  • Restaurants and Accommodation Services: +456,000 people
  • Agriculture, Livestock, Forestry, Hunting, and Fishing: +300,000 people
  • Transportation, Communications, Postal Services, and Warehousing: +245,000 people

These figures show that Mexico’s labor market is not only expanding but also diversifying.

The Demographic and Educational Engine

With a median age of 29.6 years, Mexico has the youngest workforce in North America. This demographic profile represents a steady flow of talent with the adaptability, energy, and skills required in industries such as call centers, marketing, software development, and engineering.

Higher education is expanding rapidly. In the 2023–2024 academic year, 5.2 million students attended universities across more than 3,100 institutions (Online Learning’s Potential to Improve Access and Quality in Higher Education in Mexico: Perspectives of Higher Education Stakeholders).

A key milestone has been the rise of women in academia. For the first time, women have surpassed men in completing bachelor’s and master’s degrees. According to the OECD, they now account for 53% of all bachelor’s degree graduates, while UNESCO reports that at the doctoral level, men represent 53% and women 47%. This shift is bringing more women with advanced qualifications into the workforce.

Core Disciplines Shaping Mexico’s Workforce

Until now, the demands of Mexico’s economy and the country’s competitive advantages in global markets have shaped the profile of Mexican talent. According to data from the National Association of Universities and Higher Education Institutions (ANUIES), the four largest fields of study among higher education graduates are:

  • Business Administration – Programs in business management, accounting, finance, and related disciplines represent a significant share of graduates, reflecting the country’s growing services sector and the need for professionals in corporate operations, trade, and logistics.
  • Social Sciences and Law – Degrees in law, international relations, communication, and related areas supply talent for legal services, compliance, public administration, and advisory roles—fields essential for both domestic governance and international business operations.
  • Engineering, Manufacturing, and Construction – This group encompasses mechanical, electrical, civil, and industrial engineering, among others, and aligns directly with Mexico’s role as a manufacturing powerhouse in the automotive, electronics, aerospace, and industrial equipment sectors.
  • Health Sciences – Medicine, nursing, dentistry, and other healthcare-related programs address the needs of Mexico’s healthcare system while also preparing professionals for global opportunities in medical services, research, and healthcare administration.
Distribution of fields of study in Mexico

This concentration in technical, industrial, and professional disciplines positions the country as an attractive destination for foreign investment, especially in the context of nearshoring (companies relocating production or services to a nearby country). 

Regional Engines of Talent Creation

Mexico’s competitive advantage lies not only in its demographics and education but also in its network of regional knowledge hubs—cities where top universities consistently feed the labor market with professionals in strategic fields. These hubs serve as meeting points for academia, industry, and innovation, ensuring a steady supply of highly trained talent to meet both national and international demand.

UNAM & IPN

Mexico City is home to two of the country’s most influential academic institutions. On one hand, the National Autonomous University of Mexico (UNAM) leads the nation in graduate output across a broad spectrum of occupations, and it also carries the top national position in research productivity, with notable strengths in:

  • Biological Sciences
  • Chemistry
  • Earth & Environmental Sciences
  • Physical Sciences

Its research leadership is further evidenced by global recognition in specialized areas such as Astronomical Sciences (48 publications) and Particle & High Energy Physics (15 publications), along with contributions in Macromolecular and Materials Chemistry and Biochemistry & Cell Biology.

Complementing this, the Instituto Politécnico Nacional (IPN) stands as a cornerstone of technical education in Mexico, offering more than 290 programs concentrated in engineering, applied sciences, and technology. IPN’s industry-oriented training model equips graduates to address the needs of sectors such as manufacturing, infrastructure, and applied research.

Tecnológico de Monterrey

The Monterrey metropolitan area is home to Tecnológico de Monterrey (ITESM), a leading academic and entrepreneurial hub whose influence extends far beyond its region. According to the 2022 QS World University Rankings, it ranks in the 161st place globally. Its academic prestige is reinforced by the 2021 Times Higher Education Latin America University Rankings, where it ranks 1st in Mexico and 4th in Latin America. ITESM is also the only Latin American university featured in the Princeton Review’s 2022 Top Schools for Entrepreneurship, achieving 5th place globally in undergraduate entrepreneurship programs.

Additional Notable Institutions

Nationwide, institutions like the Universidad Tecnológica de México (UNITEC) also contribute significantly to the professional landscape. With campuses across the Mexico City metropolitan area, Jalisco, and Querétaro, UNITEC provides graduates in business, engineering, health sciences, and architecture, and is recognized for the speed at which its students enter the labour market.

Together, these hubs ensure a steady flow of qualified professionals in areas critical to the country’s growth: engineering, technology, health sciences, and business. By connecting regional strengths with global industry demands, they reinforce Mexico’s position as a reliable source of specialized talent—a foundation that supports both domestic development and its expanding role in the international economy.

Nearshoring in Mexico: A Transformative Opportunity for Talent Development and Economic Growth

Nearshoring represents an unprecedented opportunity for Mexico, with projections estimating the creation of 2 to 4 million new jobs by 2030. This surge is driven by global companies relocating production closer to key markets, aiming to reduce costs, increase supply chain resilience, and capitalize on Mexico’s strategic geographic position. According to Kenneth Smith (former Mexican Chief Negotiator for USMCA), investments linked to this trend are expected to reach between $30 and $50 billion annually, generating significant momentum in advanced manufacturing, technology, logistics, and health sciences.

This outlook is reinforced by Mexico’s recent foreign direct investment (FDI) performance. Between January and December 2024, FDI reached US $36.9 billion, distributed as follows: Inter-company debts (US $4.99 billion), Equity capital (US $3.17 billion), and Reinvestment of earnings (US $28.7 billion).

Education in Mexico: Preparing for the Future

In response to this demand, Mexico’s educational institutions are rapidly adapting their offerings to close skill gaps in high-tech sectors. The National Technological Institute of Mexico (TecNM), for example, has launched seven new degree programs focused on emerging fields including semiconductors, data science, and artificial intelligence. These academic initiatives prepare students to meet industry needs in cutting-edge technology areas, directly addressing workforce shortages in critical skills.

Complementing these efforts, innovative public-private partnerships are fostering practical workforce development. Notably, the collaboration between Cisco and Mexican government entities has enabled the “Relocation in Mexico: Opportunities for Talent Development in Digital Skills” program. This initiative delivers free online training in digital competencies such as cybersecurity, Internet of Things, data analytics, and technical English, targeting students, job seekers, and SMEs to ensure readiness for modern industry challenges.

Further enriching Mexico’s talent ecosystem is a landmark binational partnership between Arizona State University (ASU) and the Embassy of Mexico in the United States, focused on preparing the workforce for North America’s burgeoning semiconductor industry—a cornerstone of the nearshoring strategy. This partnership has launched specialized free courses such as “English for the Semiconductor Industry” along with training in microelectronics and nanoelectronics. To date, over 21,000 Mexican learners have engaged with these programs, underscoring tangible progress in skill development. The initiative aligns with the broader North American industrial policy under the CHIPS Act, highlighting Mexico’s vital role in a resilient, integrated semiconductor supply chain.

Mexico’s combination of a youthful population, evolving higher education programs, public-private collaboration, and strategic geographic location means the country is not only preparing for but already delivering the skilled professionals demanded by global nearshoring investments. This holistic, multi-stakeholder ecosystem is critical to maximizing the economic benefits of nearshoring and positioning Mexico as a premier hub for supply chain relocation and advanced technology industries.

Want to learn more about Nearshoring?

Join Arturo Rodríguez, VP of Business Development at Intugo, as he explores how nearshoring bridges the gap between global companies and local opportunities in Mexico.

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