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 News Around the Republic of Mexico | January 2007 
Mexican President Calderon Launches Jobs Program
 Ioan Grillo - Associated Press
| | Six years after his astonishing victory ended 71 years of one-party rule, many people see Vicente Fox as the president who squandered a golden opportunity to turn Mexico around. |
President Felipe Calderon launched a program Monday to create jobs for young Mexicans and curb the flow of millions of migrants to the United States.
The program will give cash incentives to companies for hiring first-time job holders. Calderon, who took office in December, campaigned on promises to boost employment opportunities in Mexico, vowing to be the "Jobs President."
A conservative who narrowly won the July election, Calderon is under pressure from a strong leftist opposition to alleviate poverty affecting half the country's citizens.
While he has criticized U.S. immigration policies, such as a proposed border fence, he says Mexico must stem the tide of immigration by increasing opportunities at home.
"Employment is the biggest door to get out of poverty. It is the only path to substantially raise a family's quality of life," Calderon said as he signed a decree for the "National First Job Program" in the presidential palace. "To move Mexico forward, we have to create more and better jobs."
The government will also pay into social security for first-time job holders for one year. Calderon said some $300 million has been set aside for the initiative and that it will help millions of women who have never worked and struggle to support their families.
"Work is the only thing that guarantees women true liberty," he said.
About 1 million young Mexicans enter the work force every year, and the economy struggles to produce enough jobs for them. The government estimates that 400,000 Mexicans leave their homeland each year in search of work, the vast majority crossing illegally into the United States.
Many other young people work as street vendors or at other jobs in the nation's huge informal economy, neither paying taxes nor receiving health or pension benefits.
Former President Vicente Fox, who stepped down in December, had promised to generate 700,000 jobs annually. But the economy grew sluggishly during his administration and he hit the target only once in his six-year term.
Edgar Camargo, head of economic research for the Bank of America in Mexico, said he is optimistic Calderon will have more success.
"Calderon's first month and a half in office have sent a positive signal that he is focusing on concrete policies and not getting into fights with the opposition," Camargo said.
Fox had most of his major reform proposals blocked or thrown out by an opposition-dominated Congress. Calderon has so far been successful at dealing with legislators from the party of bitter political rival Andres Manuel Lopez Obrador, who lost the July presidential elections. |
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