Costa Rica's workers are among the most qualified and well-prepared in the developing world, but rigid, out-of-date labor laws make the cost of operating a high-tech firm in the country expensive compared to Malaysia and other South East Asian countries, head of personnel and human resources for Intel-Costa Rica Marco López says.

López discussed the role of Costa Rican workers in the global economy during the first International Human Resources Forum last Thursday. The event, organized by the Franco-Costa Rican Chamber of Commerce and human resources firm Manpower, brought together human resources experts from throughout Central America and Mexico to reflect on the latest trends affecting international labor.

"Competition has changed over the last decade, it's no longer just between different companies," López argued. "Competition now exists within companies. Take Intel, for example. We have plants located throughout the world. The cost of labor and the productive capacity of each plant vary greatly depending on the laws and infrastructure of the host country."

López mentioned good basic educational skills, a strong desire and curiosity to learn and creative problem-solving skills as the greatest advantages Tico workers possess compared to foreign workers.

Ticos are also more willing to challenge the status quo and question their superiors than their South East Asian counterparts. While this mild form of insubordination at times may seem like a problem, it's actually a great strength -- if Ticos realize they are doing unnecessary work or find errors in the procedures they are required to perform, they'll let you know about it and will help fix the problem, he said.

However, Costa Rican workers also have many weaknesses and rough edges that need to be corrected. Even though an important part of the population speaks English, only a small faction master it. There is a huge demand for people with a working knowledge of English financial terms, he argued.

Unfortunately, Tico culture doesn't stress the importance of punctuality enough, he added. There are also problems in the amount of additional effort Costa Rican workers put in. They aren't as willing to put in extra hours as workers at some of Intel's other plants are.

A nationwide effort to improve basic math and science skills must also be carried out, he said.

The government needs to take steps to make the country more attractive to investors.

"Costa Rica's workers are qualified but costly," he argued. "Since Intel's plants operate 24/7, we use a flexible work schedule, which consists of 12-hour shifts alternating between three and four days a week. However, as a result of Costa Rica's outdated labor laws, this schedule turns out to be very costly.

"People working the day shift get paid regular salaries during the first eight hours. We then have to pay them overtime (1.5 times the hourly wage) during the remaining four hours," he explained. "During the night shift we have to pay the first six hours at regular wage, the remaining six as overtime and then pay the additional nighttime bonus.

"If you add up the hours, Intel employees don't really work that much more than at regular jobs. Overall, the Intel-Costa Rica's labor costs are 86% higher than any of the company's other plants."

López and other Intel representatives have repeatedly asked the government to enact new labor laws to better accommodate the needs of companies using flexible work schedules.

"Efforts must also be made to improve the country's telecommunications infrastructure," he said. "Costa Rica is the only country where my boss' cell-phone doesn't work. My cell-phone works only on one side of the plant.

"ICE has done a great job with electricity, providing us with the most stable service of any of our plants. Unfortunately, its Internet service leaves much to be desired.

"Costa Rica is still a leader in Latin America, but the real growth is in South East Asia and China," he concluded. "If the necessary steps aren't taken to overcome existing weaknesses -- improvements to education and telecommunications and updated labor laws -- the country will continue to lose competitiveness."

For more on the state of Costa Rica's telecommunications read Friday's Tico Times Print Edition.