Costa Rican companies expect to increase production, not jobs
A study released Monday by the Costa Rican Chamber of Industries of 200 local firms found that 65.7 percent expect to increase production in 2013, while only 6.3 percent expect to produce less.
Despite the optimistic outlooks, the study shows a decrease in job creation compared to the previous year. The results indicate that 60.7 percent expect to maintain their payroll as is, while 28.3 percent plan to increase it and 6.3 percent are considering layoffs.
Regarding investment plans for this year, 56 percent of companies responded that they planned to invest, but most will spend on machinery and equipment for less than $100,000.
The country’s largest firms are less positive, and factors they say will affect competitiveness include electricity costs, exchange rate instability, high employee benefits costs and competition from informal companies. They also cited excessive bureaucracy, poor access to bank credit and high raw material costs.
Regarding 2012, 75 percent of companies surveyed thought it was a “relatively good” year, while the remaining 25 percent considered it a modest year.
You may be interested
Our Southern Zone Deep Dive is underway!Katherine Stanley - March 26, 2019
Our editorial team is making its first trip of the year – what we hope will be the first of many –…
Safe travels in Costa Rica: aiming for the sweet spotKatherine Stanley - March 26, 2019
Traveling in Costa Rica is one of life’s great privileges, and The Tico Times has been proud to inspire, guide…
2019 Gold Cup field finalized; Costa Rica will host two matchesAlejandro Zúñiga - March 26, 2019
The field for the 2019 CONCACAF Gold Cup is set. Costa Rica, the United States, Mexico, Honduras, Panama, and Trinidad…