NAHRMA UPDATE
The NAHRMA Board met in Los Angeles, California, on March 20, 2007 during the SHRM Global Forum Conference and Exposition.
Upcoming Projects
1. NAHRMA members will participate in an upcoming immigration survey which results will be completed by September 2007.
2. NAHRMA Brochure will be updated. This leaflet contains basic information about the Association is used to promote awareness of the organization.
Country Reports
I. CANADA
Economic Outlook
The Canadian economy recovers
After a slight slump in early fall 2006, the Canadian economy recovered towards the end of the year. Real GDP rose 1.7% in the third quarter of 2006. This growth is largely due to a rebound in the automobile sector. The mining, agriculture, forestry, construction and financial services industries also contributed to Canada’s economic growth.

The labour market remains healthy
In January 2007, employment rose 0.5% in its third straight solid advance. Canadian employment was unquestionably driven by the booming economies of Alberta and British Columbia, which contributed to two out of three of the jobs added in January. However, an
influx into the Canadian labour force offset this increase and the unemployment rate edged up to 6.2% in the first month of 2007 (compared to 6.1% in December 2006).
Employment growth is equally split between part-time and full-time jobs. In addition, jobs in the private sector account for almost all of this employment growth, rising 393,000 since January 2006, while the ranks of the public sector and the self-employed workers remained relatively unchanged.

Lastly, the average weekly earnings increased by 3.0% last year, amounting to $757.27 in December 2006, while the average hourly earnings rose to $18.58.
Canadian Council of Human Resource Associations (CCHRA) Update
In October 2006, the CCHRA Board approved the following new vision and mission:
Vision
The Canadian Council of Human Resources Associations is a world class organization leading the advancement of the profession built on credible and essential designations.
Mission
The Canadian Council of Human Resources Associations is a national voice on the enhancement and promotion of the profession across Canada, through established and
credible designations, collaborating on national issues related to the profession, leading federal government relations, and proactively positioning the national human resources agenda at the international level.
In line with the new mission and vision, the Board approved moving the CCHRA office from Toronto to Ottawa, the national capital. CCHRA wants to strengthen its government relations strategy and develop a closer alignment to the federal government on HR issues of national importance. In addition, as part of the move to the nation’s capital, CCHRA will hire its first CEO.
CHRP Designation Update
The strategic priorities for 2007-2008 focus on building and strengthening the CHRP
designation. As part of this process, CCHRA will work with the business community to ensure the competencies required by a certified CHRP are relevant and continue to be relevant in the future. Research will also be conducted to determine the value and viability of offering a designation specifically for senior HR professionals.
On a more operational note, the CCHRA launched a revamped, more user friendly website which integrates information and study tools for the national exams with information on CCHRA activities in general. Following is the link to the English site: www.cchra.ca, and French site : www.ccarh.ca.
New features were also added:
- A national registry of certified CHRPs allowing employers from across Canada to verify credentials of job applicants.
- Links to articles on international HR trends, produced by the World Federation of Personnel Management Associations (WFPMA).
- A media centre featuring news items and press releases related to the Council and the HR profession.
These improvements have been well received by users.
2. U.S.A
US Macroeconomic Data
SHRM/Rutgers Leading Indicator of National Employment Report
The LINE index is an economic indicator that identifies early economic trends and changes in the national job market by surveying human resource executives at manufacturing and service-
sector firms. The indicator reports on four employment measures: job expectations, job vacancies, new-hire compensation and recruitment difficulty. The LINE “net increasing index” is calculated by taking the percentage increasing minus the percentage decreasing.
The March LINE employment expectations report references the same March period as the report the Bureau of Labor Statistics (BLS) will release on April 6. The responses in the survey are weighted using the proportion of total employment represented by the respondent’s industry. Beginning this month, these weights have been recalculated to incorporate the annual benchmark revisions that the BLS released on Feb. 2.
While the latest LINE employment expectations index indicates strong expansion for manufacturers and service-sector employers through March, there still are clear indications that organizations continue to find it increasingly difficult to recruit the skilled talent they need. This also was the case in February, when both industry sectors revealed new-hire compensation appears to be rising more slowly than in 2006.
The recruiting difficulty index measures how hard it is for firms to recruit highly qualified candidates to fill their most strategically important positions. To date, recruiting difficulty continues to be a major concern for both industry sectors. Within manufacturing, the February index (18.5) is slightly below the level of February 2006 (23.3); however, the February recruiting difficulty index for the service sector (10.4) is above the level of February 2006 (8.5). For the full article visit:
http://www.shrm.org/hrnews_published/articles/CMS_020641.asp#P-8_0
For the LINE: http://www.shrm.org/line/
US Employment Situation for January 2007 from Bureau of Labor Statistics
Non-farm payroll employment rose by 111,000 in January, and the unemployment rate was essentially unchanged at 4.6 percent, the Bureau of Labor Statistics of the U.S. Department of Labor reported recently. Job growth continued in several service-providing industries over the month, and construction employment also rose. The number of manufacturing jobs continued to decline.
In January in the service-providing sector, health care employment was up by 18,000, professional and business services employment continued to trend up (+25,000), and food services employment was up by 21,000. Elsewhere in the service-providing sector, employment was essentially unchanged over the month.
The number of unemployed persons (7.0 million) and the unemployment rate (4.6 percent) were about unchanged in January. Over the month, the unemployment rate for Hispanics (5.7 percent) increased, while the rates for the other major worker groups--adult men (4.1 percent),
adult women (4.0 percent), teenagers (15.0 percent), whites (4.1 percent), and blacks (8.0
percent) —were little changed. The unemployment rate for Asians was 3.2 percent, not seasonally adjusted.
About 1.6 million persons (not seasonally adjusted) were marginally attached to the labor force in January--essentially unchanged from a year ago. These individuals wanted and were available for work and had looked for a job sometime in the prior 12 months. They were not counted as unemployed, because they had not searched for work in the 4 weeks preceding the survey. Among the marginally attached, there were 442,000 discouraged workers in January, about the same as a year earlier. Discouraged workers were not currently looking for work specifically because they believed no jobs were available for them. The other 1.1 million persons marginally attached to the labor force in January had not searched for work in the 4 weeks preceding the survey for reasons such as school attendance or family responsibilities. For the full BLS report, visit: http://www.bls.gov/news.release/empsit.nr0.htm
Trends
Corporate Social Responsibility Survey
The Society for Human Resource Management (SHRM) conducted a survey on corporate social responsibility in Australia, Brazil, Canada, China, India, Japan, Mexico and the United States over several months. The pilot study asked HR professionals about practices and policies that their companies used to demonstrate corporate social responsibility—defined as “the commitment by organizations to balance financial performance with contributions to the quality of life of their employees, the local community and society at large.” The survey compared the different corporate social responsibility practices in each economy.
The SHRM Ethics and Global Special Expertise panels contributed to the development of the survey, while staff from the following organizations helped with data collection among their members: Australia Human Resource Institute, National HRD Network, HRinIndia, HR Association for Chinese and Foreign Enterprises, China International Intellectech, Brazilian HR Association, Canadian Council of HR Associations, Japan HR Association, and Mexico’s HR associations AMEDIRH and COMARI.
The results of the CSR pilot study are scheduled to be released at the SHRM Global Forum Conference in Los Angeles, CA in March 2007. An electronic copy will be posted on the SHRM website. Participating organizations will also obtain a copy of the report for sharing with their members. For more information on the survey, including breakdowns of methods of involving employees in corporate social responsibility programs and more information by country and organization sector, contact Amanda Benedict, SHRM survey research specialist at
abenedict@shrm.org
Immigration
Human Resource Initiative for a Legal Workforce
With more than 30 immigration-related bills circulating in Congress, a new coalition of HR groups—including the Society for Human Resource Management (SHRM)—is urging lawmakers to create an employment verification system that does not require employers to become enforcement arms of the government.
The coalition is committed to ensuring that whichever employment verification system is put in place serves the public and accomplishes the mission of immigration control but does not disrupt the business community’s recruitment and retention of employees. The initiative is not advocating scrapping the current system, but that the free market should be allowed to work so that different or enhanced systems can be considered.
In addition to SHRM, initiative members include the American Council on International Personnel (ACIP), the College and University Professional Association for Human Resources, the HR Policy Association, and the International Public Management Association for Human Resources.
Society for Human Resource Management (SHRM) Update
SHRM Opens Representative Office in Beijing, China
The Society for Human Resource Management (SHRM) has opened a representative office in Beijing, China through its for-profit subsidiary in the United States, SHRM Corp. The Chinese representative office facilitates relationship building in mainland China, encourages cooperation with SHRM headquarters on joint research, and information exchange. Dr. Patrick Ran, GPHR, heads the office; e-mail:
pran@shrm.org and Tel. +86.10.8520.0066.
SHRM Leads People to People Delegation of US HR Professionals to India: April 3-13, 2007
A delegation of HR professionals will participate in bilateral exchanges with their counterparts in India, under the auspices of People to People Ambassador Programs. The educational program will be focusing on exploring the role of HR in India’s economic development and how the profession is viewed by business and society, how HR is practiced in India, discussing the body of knowledge for the HR profession, ways in which HR is taught in the educational system, and the role of government and legislation in influencing the workplace in India. Delegates will be meeting with their counterparts in Delhi and Mumbai.
SHRM Annual Conference
The SHRM Annual Conference planned for Las Vegas, Nevada, June 24-27, 2007 features keynote speakers Daniel Pink and Lance Armstrong among others. We hope you will consider joining us, for details visit
http://ww.shrm.org/conferences/annual/
3. Mexico
Macroeconomic Trends
• For 2007, the exchange rate for the Mexican peso is expected to be between $10.60 and $11.20 per USD$.
• The National economy grew 4.8% during 2006 and for 2007 it is expected to be around the same rate. Transportation and communication sectors represented last year the areas with the highest growth due to new low fare airlines, more highways and more mobile telephone lines. However, the steel sector decreased from 2.2% to 2.1% followed by the tourism sector hit by social problems in Oaxaca State, Wilma hurricane consequences, Lopez Obrador’s party followers’ concentration in Reforma Avenue, in the middle of the social and commercial area of Mexico City.
• The expected annual inflation rate for 2007 is between 3.75% and 4.25%.
Political Trends
President Felipe Calderón said that his first objective is to achieve a hard hand by fighting crime and corruption. The second is to make the economy more competitive by improving energy prices and standards and creating a more flexible job market. The President declared that, he firmly believes in a country with Mexico's potential for growth. The infrastructure can be financed; it is financially viable because of private investment, and we are going to back it strongly. His third objective involves guaranteeing equal opportunities to be achieved through a number of health programs implemented since the start of this administration. The fourth objective is sustainable development and the fifth is the reversal of deforestation. In fact, Felipe Calderón began his period with a fierce battle against lack of security, organized crime and drug traffic that in the last years developed an exponential and dangerous growth. He extended the Medical Insurance of the New Generation health services to Mexicans born during his term. He started making decisions in all senses, being one of the most important ones, the wages increase for those in the militia in charge of fighting lack of security and drug dealers of great scale. He sent to the United States more than 40 criminals that were extradited and held in Mexicans prisons. Additionally, special security measures have been conducted in Cities such
as Acapulco, Tijuana, Monterrey and Michoacán to respond to the wave of violence as result of different actions such as those mentioned above.
HR Trends
Employment
A Presidential decree was established to create jobs and to establish solid bases for the creation of employment over the next years to meet the key demand for Mexicans. Through this program, unprecedented incentives have been given to those organizations that create jobs toencourage them to hire young people entering a productive life and the labor market for the first time. As a result, the Federal government will promote the creation of new jobs through the subsidy, for a limited time, of up to 100% of the contributions paid by employers to the Mexican Social Security Institute, derived from the hiring of new workers. This will benefit those that have never had a new job, those occupying newly created jobs and those working in the informal sector and obviously reinforce the national productive apparatus by reducing the cost of creating new jobs for employers. The subject of the importance of the program is to ratify Federal Government’s commitment to establishing both, the basis for a Mexico with equal opportunities and the route towards a competitive Mexico that will be successful in the economic sphere. President Calderon encouraged businesses to use this program, take advantage of the opportunity to make it grow and develop their own projects, and believe in Mexico’s young people and women. A survey conducted by Manpower among 4,800 executives shows an expectation of creating 700,000 new jobs which are not sufficient to cover the demand for new job.
Social Trends
President Calderón stressed the fact that the Federal government’s efforts are conducted for the workers’ welfare and the creation of more investment and jobs for the country. The president underlined the importance of dialog in dealing with the legitimate concerns of the working class, which focus on preserving sources of employment, training, social security and welfare and sustaining workers’ purchasing power. Nevertheless, last January 31ST a large meeting organized by non official unions took place demanding the Government to stop price increases of basic products such as tortillas and also demand an emergency salary increase.
AMEDIRH Update
Board of Directors
According to statutes of the Board of Director, board elections for the 2007-2008 term took place on December 8th 2006. New criteria were developed for the president’s position, and Mr. Luis Garcia Orozco was elected as the new Board of Directors President. Board President
Garcia occupies the position of Human Resources Vice President a Nextel Corp., one of the companies with highest growth in Mexico. He holds an Industrial Relations degree from the IberoAmerican University.
At the December meeting outgoing president Miguel Angel Sánchez presented a full report of his achievements during his presidency.
Membership
All through 2006, membership recruitment steadily increased in number of private companies, government institutions, unions and retired members of the HR community. For the first time in the last 5 years the number of new members was higher than the number of those who decided not to renew their membership.
Traditionally, January used to be a not very good month for attracting new members, however,
January 2007 surprised us with an uncommon number of new members that decided to join AMEDIRH because of their need to receive information and services generated by the Association.
AMEDIRH Annual Conference
This year AMEDIRH commemorates its 60° Anniversary with a Human Resources Congress that will take place on September 11 & 12 at the World Trade Center in Mexico City. More than 1,500 executives from private and public companies throughout Mexico are expected to attend the event which is being regarded as the top HR event in Mexico. Competitors in the area are organizing similar events during the year without same results as AMEDIHR’s. This year’s exhibition area will offer 20 spaces for sponsors and 64 booths, many of which have already been sold. We are working on different collateral social activities to be sponsored by different companies including lunch – conferences and dinner - conferences with some of the key note speakers. The educational program will include concurrent and plenary sessions and we have six international re-known keynote speakers.
Other Activities
• The new Board of Directors was increased to 22 members, including 7 vice- presidents representing different production sectors, 12 counselors representing important companies and universities and a Secretary and a Treasurer.
• AMEDIRH’s staff and its five Work Committees created programs last year addressing Health, Benefits, Security, Compensation and Social Security Trends in which monthly reunions
take place to analyze and propose different modifications and regulations to benefit the Human Resources areas, specially the work force. Participants are delighted and truly motivated to collaborate and participate in the sessions.
• AMEDIRH created a new program for corporations to hire senior citizens (people 60 or more years of age) and offer them part times jobs that permit them to earn additional income while maintaining a daily activity to keep them motivated.
• January saw main events: 84 attendees to analyze Challenges in Collective Bargaining.
• February: 167 attendees and breakfast with the new Labor Secretary and 2 Undersecretaries.
• March: Sunday March 4th has been declared Families Day by a Presidential decree. AMEDIRH organized a Mexico rodeo , expected number of attendees about 5000 people.
• AMEDIRH has published a complete calendar of events for 2007.