OUTSOURCE IN COSTA RICA
Costa Rica is
striving to create a successful outsourcing industry. It is building on some
existing successful outsourcing contracts, while struggling with the challenges
of moving rapidly out of Third World-country status. With a population of about
4 million, the Central American country boasts nearly 25,000 software
professionals.
* FRIENDLY
POLITICAL ENVIRONMENT
Costa Rica is
the country with the most stable political environment from all of the Central
American counties with a history
of political stability for over 40 years. It has no army and is protected by
the US. Many ex-patriots, retirees and other foreign investors currently live
on Costa Rica.
* HIGHLY
EDUCATED ENGLISH SPEAKING LABOR FORCE
Historically,
education has always been a national priority. School is compulsory and free up
to the highschool level. That is the reason why Costa Rica has the highest
literacy rate in the Third World, 94%. Costa Ricans are highly disciplined
people, they learn fast and they have excellent working and administrative
capacities. Costaricans have a good level of English and It is an important
learning from highschool.
English teaching
in 50% of public schools and 100% of private schools
92% of high
school students will present graduate English test
* PROXIMITY TO
UNITED STATES BOTH GEOGRAPHICALLY AND TEMPORALLY
In 2001, Costa
Rica imported $2.5 billion worth of U.S. goods and services, constituting
nearly half of the country’s total imports. U.S.
technology,
products, and services are welcomed due to the proximity of the United States
to Costa Rica, as well as the high quality and wide selection of competitively
priced products
* COST EFFECTIVE LABOR RATES
- Costa Ricans are healthy and motivated learners
- High observed productivity and learning speed by
Free Zone Companies
- Favorable labor environment: non-union worker
organization (Solidarismo)
- Low Turnover
Minimum wages
Category C o s t T o t a l
per hour per year (thousands)
Non
qualified 1.81 4.52
Semi
qualified 1.96 4.89
Qualified 2.11 5.26
Specialized 2.43 6.06
NOTES:
All costs
include all labor charges paid by the company, Christmas bonus and reserves for
vacations, holidays and severance (47.98% in total). Minimum salaries effective
from July 1st to December 31st of 2005. Exchange rate used: 495 colons per US$
(expected and the year end). Normal week of 48 hours and 8 hours per day
