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Compensation usually comes in the form of fixed salary.Only multinational companies and large Latin American firms provide variable compensation based on corporate performance.So managers feel obliged to provide formal basic education and technical training whenever they modernize work procedures.“The shortage of technical knowledge, formal education, and skills for analysis and communication represent serious obstacles for Mexican workers,” says the study.
When it comes to compensation and recognition, family also plays a central role.
However, Dávila and Elvira warn about linking compensation to formal evaluation of workers’ performance.
Given the low level of confrontation between managers and their subordinates, the results of that sort of evaluation are rarely used.
First, there is the importance of personal relationships.
Latin Americans expect to be treated with courtesy and kindness while at work.