BRIEF DESCRIPTION OF THE COUNTRY'S RELATIONSHIP WITH SDG 8

As Latin America’s second-largest economy and one of the world’s leading manufacturing and trading nations, Mexico plays a significant role in advancing SDG 8, particularly through its integration into the North American value chains and its growing importance as a destination for foreign investment (Embassy of Mexico in the Philippines, n.d.). Mexico recently reaffirmed its commitment to the UN’s 2030 Agenda by publishing its fourth Voluntary National Review, which highlights inclusive economic growth, decent work, and productivity as central priorities of its national development strategy (Mexican Secretariat of the Economy, 2024). Although the country has managed to maintain resilient economic growth amidst uncertain geopolitical conditions over the past few years by strengthening its export base and gradually reforming its labour market, persistent structural challenges, including widespread informal employment, low productivity, and large gaps in regional development, continue to hinder the full achievement of SDG 8 (Organisation for Economic Co-operation and Development [OECD], 2024, pp. 17-21).

CURRENT CHALLENGES AND RECENT DEVELOPMENTS

An important obstacle to achieving SDG 8 in Mexico is the persistent nature of labour informality. Despite major labour market reforms and improvements in employment levels in recent years, approximately 55% of the Mexican workforce continued to work in the informal economy as of 2024, limiting workers’ access to social protection, legal rights, stable incomes, and productivity-enhancing opportunities (OECD, 2024, pp. 75-76). The extent of the informal economy also reduces tax revenues for the Mexican government, weakening its capacity to sustain productive investments and public spending that could accelerate the implementation of SDG 8 (OECD, 2024, pp. 40-45). The Mexican government is currently attempting to address widespread informality by intervening on multiple fronts. Most notably, Mexico is committing substantial resources to promote the inclusion of Mexican youth in the economy. Historically, young people have faced the greatest barriers to entering the labour market and are often absorbed into the informal economy as a result (Mexican Secretariat of the Economy, 2024, pp. 48). Therefore, Mexico is focusing on providing job training programmes like the Jóvenes Construyendo el Futuro and financial assistance to young Mexicans, with the goal of facilitating their integration into the formal economy (Mexican Secretariat of the Economy, 2024, pp. 49-50). 

Another pressing challenge is the lack of human capital across the Mexican workforce, which prevents the economy from achieving its full growth potential. Too many students continue to leave the education system before completing upper secondary education, contributing to skill shortages that increasingly affect employers seeking qualified workers and directly fuel the informal economy (OECD, 2024, pp. 68-71). Therefore, action is needed to develop productive skills among Mexican youth, so as to promote economic growth and a smooth transition of the workforce into the formal economy.

LIST OF REFERENCES AND USEFUL LINKS

Embassy of Mexico in the Philippines. (n.d.). Overview of the Mexican Economy. Mexico’ Secretariat of Foreign Affairs. Retrieved September 7, 2026, from https://embamex.sre.gob.mx/filipinas/index.php/negocios-y-comercio/overviewmexicaneconomy

Mexican Secretariat of the Economy. (2024). 4° Voluntary National Review, Mexico 2024: 2030 Agenda for Sustainable Development. United Nations High-Level Forum on Sustainable Development. https://hlpf.un.org/sites/default/files/vnrs/2024/VNR%202024%20Mexico%20Report.pdf

Organisation for Economic Co-operation and Development. (2024). OECD Economic Surveys: Mexico 2024. https://doi.org/10.1787/b8d974db-en

United Nations Department of Economic and Social Affairs. (n.d.). Country Profile: Mexico. Retrieved September 7, 2026, from https://unstats.un.org/sdgs/dataportal/countryprofiles/MEX