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AMLO criticizes outsourcing; your government subrogates

Although President Andrés Manuel López Obrador questions outsourcing companies and considers them “coyotes” and influence peddlers, his government has assigned contracts for at least 5 billion pesos to a dozen companies dedicated to this outsourcing scheme.

The Government has hired almost 29 thousand people, mainly to operate the president’s priority programs, such as the Guaranteed Price Program controlled by Seguridad Alimentaria Mexicana (Segalmex) -before Diconsa and Liconsa-.

The organization Mexicans against Corruption and Impunity (MCCI) detected more than 50 contracts that between 2019 and 2020 have been assigned by the federal government to outsourcing companies, for an amount close to 5 billion pesos.

In only 8 of the largest assignments to outsourcing companies, the Government subcontracted for this year 28,800 employees who offer their services for social programs of the Ministry of Education, Segalmex, Banco del Bienestar, rural financing, housing and culture.

The largest subcontracting was through the company MZT Corporativo Executive SA de CV, which in September 2020 obtained an allocation of up to 310 million pesos to employ a maximum of 21,107 learning agents from the Prepa en Línea program.

In 2019 the Banco del Bienestar paid 408 million pesos to four companies of this type and so far in 2020 the amount has risen to 463 million.

“The need to carry out the contracting of technical and administrative services by outsourcing is considered fully justified, since, by not having said services, the negative impact on social, economic and financial matters would be very high,” the contract states assigned by the Banco de Bienestar to the company KOM Business SA de CV

Segalmex, a dependency that groups Liconsa and Diconsa, has 3,600 employees by subcontracting, while the Ministry of Culture assigned to outsourcing companies the payroll of 1,600 of its workers, most of the Creative Seedlings and Misiones por la cultural diversity, focused on serving rural communities throughout the country.

Government employees, recruited under the outsourcing regime, are not guaranteed employment beyond the duration of the agreement with the outsourcing company. They are, in a way, temporary employees. For example, Culture workers were hired for only eight months.