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FEWS NET Guatemala Casual Labor Market Fundamentals in the Dry Corridor Livelihood Zones Report February 2019

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FEWS NET Guatemala Casual Labor Market Fundamentals in the Dry Corridor Livelihood Zones Report February 2019 GUATEMALA CASUAL LABOR MARKET FUNDAMENTALS IN THE DRY CORRIDOR LIVELIHOOD ZONES FEBRUARY 2019 This publication was produced for review by the United States Agency for International Development. It was prepared by Chemonics International Inc. for the Famine Early Warning Systems Network (FEWS NET), contract number AID-OAA-I-12-00006. The authors’ views expressed in this publication do not necessarily reflect the views of the United States Agency for International Development or the United States government. CASUAL LABOR MARKET FUNDAMENTALS IN THE DRY CORRIDOR LIVELIHOOD ZONES 2019 About FEWS NET Created in response to the 1984 famines in East and West Africa, the Famine Early Warning Systems Network (FEWS NET) provides early warning and integrated, forward-looking analysis of the many factors that contribute to food insecurity. FEWS NET aims to inform decision makers and contribute to their emergency response planning; support partners in conducting early warning analysis and forecasting; and provide technical assistance to partner-led initiatives. To learn more about the FEWS NET project, please visit http://www.fews.net. Disclaimer This publication was prepared under the United States Agency for International Development Famine Early Warning Systems Network (FEWS NET) Indefinite Quantity Contract, AID-OAA-I-12-00006. The authors’ views expressed in this publication do not necessarily reflect the views of the United States Agency for International Development or the United States government. Acknowledgments FEWS NET gratefully acknowledges the network of partners in Guatemala who contributed their time, analysis, and data to make this report possible. Cover photos @ FEWS NET. Famine Early Warning Systems Network ii CASUAL LABOR MARKET FUNDAMENTALS IN THE DRY CORRIDOR LIVELIHOOD ZONES 2019 Table of Contents Preface ......................................................................................................................................................................................... 1 Key Concepts ............................................................................................................................................................................... 3 Executive Summary ..................................................................................................................................................................... 5 1. Guatemala Casual Labor Market Fundamentals .................................................................................................................. 8 1.1. Introduction ............................................................................................................................................................... 8 1.2. Labor Context in Guatemala ...................................................................................................................................... 9 2. Cross-cutting Issues ........................................................................................................................................................... 11 2.1. Population Characteristics and Movement .............................................................................................................. 11 2.2. Social Issues .............................................................................................................................................................. 11 2.3. Macroeconomic Context .......................................................................................................................................... 13 2.4. Institutional Context ................................................................................................................................................. 13 2.5. Weather and Climatic Factors .................................................................................................................................. 13 3. Coffee ................................................................................................................................................................................. 15 3.1. Characteristics of the Subsector ............................................................................................................................... 15 3.2. Labor Demand .......................................................................................................................................................... 17 3.3. Labor Supply ............................................................................................................................................................. 17 3.4. Shocks and Constraints to the Subsector ................................................................................................................. 19 3.5. Key Aspects for Monitoring ...................................................................................................................................... 20 4. Vegetables ......................................................................................................................................................................... 22 4.1. Characteristics of the Subsector ............................................................................................................................... 22 4.2. Labor Demand .......................................................................................................................................................... 24 4.3. Labor Supply ............................................................................................................................................................. 25 4.4. Shocks and Constraints to the Subsector ................................................................................................................. 26 4.5. Key Aspects for Monitoring ...................................................................................................................................... 26 5. Sugarcane .......................................................................................................................................................................... 28 5.1. Characteristics of the Subsector ............................................................................................................................... 28 5.2. Labor Demand .......................................................................................................................................................... 30 5.3. Labor Supply ............................................................................................................................................................. 30 5.4. Shocks and Constraints to the Subsector ................................................................................................................. 31 5.5. Key Aspects for Monitoring ...................................................................................................................................... 32 6. Fruits .................................................................................................................................................................................. 34 6.1. Characteristics of the Subsector ............................................................................................................................... 34 6.2. Labor Demand .......................................................................................................................................................... 37 6.3. Labor Supply ............................................................................................................................................................. 38 6.4. Shocks and Constraints to the Subsector ................................................................................................................. 39 6.5. Key Aspects for Monitoring ...................................................................................................................................... 39 7. Maize ................................................................................................................................................................................. 40 Famine Early Warning Systems Network iii CASUAL LABOR MARKET FUNDAMENTALS IN THE DRY CORRIDOR LIVELIHOOD ZONES 2019 7.1. Characteristics of the Subsector ............................................................................................................................... 40 7.2. Labor Demand .......................................................................................................................................................... 43 7.3. Labor Supply ............................................................................................................................................................. 43 7.4. Shocks and Constraints to the Subsector ................................................................................................................. 44 7.5. Key Aspects for Monitoring ...................................................................................................................................... 44 8. Beans ................................................................................................................................................................................. 46 8.1. Characteristics of the Subsector ..............................................................................................................................
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