1. Copyright(c)2013 Juan B. Morales Ph.D. CCP 1 WMTA July 2013 Juan B. Morales de la Garza Ph.D. CCP RUIZ-MORALES & ASSOCIATES July 17 th 2013 Tel :(01152664) 686-4116 Fax: (01152664) 686-1998 Email: ruizmorales@prodigy.net.mx www.ruiz-morales.com.mx Labor and Economic Indicators Update for 2013

2. Copyright(c)2013 Juan B. Morales Ph.D. CCP 2 PRESENTATION OBJECTIVES 1.0 Employment Indicators – Tijuana Turnover _ IMMEX Employment Data 2.0 Economic Indicators - Inflation - Revised Projections 2013-2014

3. Copyright(c)2013 Juan B. Morales Ph.D. CCP 3 1.0 EMPLOYMENT INDICATORS Voluntary Turnover for 2013 lower than 2012

4. Copyright(c)2013 Juan B. Morales Ph.D. CCP 4 1.0 EMPLOYMENT INDICATORS Total IMMEX Employment 2’314,648 : Manufacturing: 2,027,202 (87.6%) Non-Manufacturing: 287,446 (12.4%) Validation with our Longitudinal Sample.

5. Copyright(c)2013 Juan B. Morales Ph.D. CCP 5 1.0 EMPLOYMENT INDICATORS Total IMMEX Establishments 6,290 : Manufacturing: 5,110 (81.2%) Non-Manufacturing: 1,180 (18.8%)

6. Copyright(c)2013 Juan B. Morales Ph.D. CCP 6 1.0 EMPLOYMENT INDICATORS Total IMMEX Establishments 6,290 : Manufacturing: 5,110 (81.2%) Non-Manufacturing: 1,180 (18.8%)

7. Copyright(c)2013 Juan B. Morales Ph.D. CCP 7 1.0 EMPLOYMENT INDICATORS Total IMMEX Employment 2’348,928 : Manufacturing: 2,057,367 (87.6%) Non-Manufacturing: 291,561 (12.4%)

8. Copyright(c)2013 Juan B. Morales Ph.D. CCP 8 1.0 EMPLOYMENT INDICATORS Total IMMEX Employment 2’348,928 : Manufacturing: 2,057,367 (87.6%) Non-Manufacturing: 291,561 (12.4%)

9. Copyright(c)2013 Juan B. Morales Ph.D. CCP 9 1.0 EMPLOYMENT INDICATORS Total IMMEX Employment 2’348,928 : Manufacturing: 2,057,367 (87.6%) Non-Manufacturing: 291,561 (12.4%)

10. Copyright(c)2013 Juan B. Morales Ph.D. CCP 10 1.0 EMPLOYMENT INDICATORS & Outsourcing Total IMMEX Employment 2’348,928 : Manufacturing: 2,057,367 (87.6%) Non-Manufacturing: 291,561 (12.4%)

11. Copyright(c)2013 Juan B. Morales Ph.D. CCP 11 1.0 EMPLOYMENT INDICATORS – OutsourcingTrends

12. Copyright(c)2013 Juan B. Morales Ph.D. CCP 12 2.0 2013 National Inflation Higher than 2012 Projected Inflation 2013 3.8%.

13. Copyright(c)2013 Juan B. Morales Ph.D. CCP 13 2.0 2013-2014 Projections: Uncertainty due to Structural Changes in the Mexican Economy

14. Copyright(c)2013 Juan B. Morales Ph.D. CCP 14 Thank You ! Questions ?

15. Copyright(c)2013 Juan B. Morales Ph.D. CCP 15 New Minimum Wage for 2013 3.9% Increase ($2.43 Pesos per Day)

16. Copyright(c)2013 Juan B. Morales Ph.D. CCP 16

17. Copyright(c)2013 Juan B. Morales Ph.D. CCP 17 1.0 EMPLOYMENT INDICATORS Unemployment Rates - Baja California Lower than 2012 Tasa de Desocupación Q1 2012 Q1 2012 BC (5.7%) Higher =>National Rate (4.9%) Q2 2012 Q2 2012 BC (6.1%) Higher =>National Rate (4.8%) Q3 2012 Q3 2012 BC (7.1%) Higher =>National Rate (5.2%) Q4 2012 BC (5.8%) Higher =>National Rate (4.9%) ----------------------------------------------------------------------- Q1 2013 BC (4.4%) Less than National Rate (4.9%) States with High Migration BC – One of the Targets for Migration