Here is a series of articles that appear in CentralAmericaData.com. It is a problem we are facing in light of an explosive economy and unbridled growth in Panama.
A lack of qualified personnel, an aging population and legal obstacles preventing the hiring of foreigners are impacting on the competitiveness of businesses.
The problem, faced by all economic sectors alike, is causing an overall increase in wage levels.
“Just a few years ago, the list of professionals who were difficult to recruit in the labor market focused on bilingual accountants, civil engineers, logistics specialists and high-profile managers, eventually others have been added to that list such as domestic workers, sales executives, beauty technicians and foremen”, reported Prensa.com.
According to the National Institute of Statistics and Census (INEC) the unemployment rate rose from 6.5% in August 2010 to 5.2% in the same month this year.
Panama Short on Skilled Labor
March 2011
The Panamanian economy continues to grow, demanding more and more professional and technical staff, which the local job market fails to satisfy.
Companies are failing to fill their vacancies, as they lack candidates with the required skills and experience. This situation, far from being resolved, is getting worse, as more transnational companies open office in the country, increasing the demand for skilled workers.
The Crisis in Human Resources in Panama
July 2011
Training of qualified personnel at all levels is absolutely insufficient to meet the demand of an economy with such high growth rates.
In Panama, the gap between demand and supply of employment, both in quantity and quality, is expanding at the same pace as the growing list of infrastructure projects in execution, which is increasing the arrival of multinational companies, saturating hotels with the number of business travelers and tourists.
More Foreign Workers in Panama
March 2010
Work permits to foreigners have increased 24.4% in the first two months of 2010.
1.220 permits were issued between January and February 2010, 24,4% more than in the same period of 2009, when 980 permits were granted.
“Jaime Bocanegra, consulting director at PricewaterhouseCoopers, said that companies will pile on the pressure, especially multinational corporations, as there are not enough skilled workers in Panama”.
Surviving Skills Shortages
July 2011
The shortage of skilled labor has led Panamanian companies to get creative when recruiting staff.
Companies with a need for skilled labor have reached agreements with other companies to share staff, provided incentives to employees to recommend others for vacant positions and have even retain staffed who have officially retired.