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  • Writer's pictureCraig Wake

Ethical and Responsible Nearshoring

As partners who grew up in Latin America, we have seen firsthand the struggles that many individuals and families face in the region due to income inequality and limited job opportunities. However, the rise of nearshoring has created a new avenue for economic growth and financial freedom in the region.

Our mission will continue to be a provider of careers and income to people who might not have had access to these opportunities without the advent of nearshoring. By providing services to organizations in more financially stable economies we are able to give more financially rewarding careers to our communities in Latin America than traditional positions in the region could otherwise. We are also able to provide access to additional benefits such as health insurance, training and devleopment, retirement plans. For many families in Latin America, this financial stability and security are crucial for their well-being.

Moreover, we have seen nearshoring provide opportunities for entrepreneurship and innovation. We have seen firsthand how Latin American companies working with clients from other countries have gained exposure to new markets and technologies, which has inspired new ideas and approaches. This exposure can be a catalyst for local innovation, leading to the development of new products, services, and businesses for governments, social, and corporate enterprises.


Nearshoring with Intent

Yet, we continue to see so many nearshoring organizations demonstrate they do not understand nor value the importance of ethical and responsible intent. While nearshoring has the potential to provide much-needed economic opportunities and financial freedom in the region, it is crucial that businesses prioritize giving back and creating equality instead of exploiting poorer economies.

We firmly believe that ethical nearshoring involves more than just creating jobs in the region. It is about creating partnerships that benefit all parties involved, while also respecting the local culture, values, and economy. This means that businesses must be committed to fair labor practices, environmental sustainability, and social responsibility. It also means that they should work to build long-term relationships with their partners in the region, rather than simply outsourcing for short-term cost savings. Furthermore, we believe that nearshoring should be about giving back to create equality, rather than perpetuating the cycle of poverty and inequality that has plagued many Latin American countries. This can involve investing in local education and training programs, providing employees with fair wages and benefits, and supporting community initiatives that improve access to healthcare, housing, and other basic needs. It can also involve working with local suppliers and businesses to create a more sustainable and equitable economy.

By prioritizing ethical nearshoring practices and giving back to create equity, businesses can help to address the root causes of inequality and poverty in the region they can also create more sustainable and resilient communities that are better equipped to withstand economic shocks and challenges.

As a leadership team we purposefully measure our ethical and responsible practices of changing lives through nearshoring by getting feedback on how our business positively impacts their lives. We value the and responsible business practices are crucial to realizing the full potential of this. By giving back and creating equality, businesses that utilize nearshore skills can help to create a more sustainable and equitable future for the region, while also benefiting their own business.

It is our hope that more businesses will prioritize ethical nearshoring practices and commit to making a positive impact on the communities and economies they work with, not just in their own economy.


Building Sustainable Futures

Since moving back to the region in the past few years, I’ve been shocked as to how little the higher education has addressed inequality, particular in the areas of technology and language.

Enhancement of education and training programs in the education systems will be a key success measure that ensures there is equality of opportunity, and a sustainable pipeline of careers in the technology sector.

We have seen how our clients and businesses outsource to Latin America and work with us to invest in local training programs that ensure that their partners’ employees have the necessary skills to deliver high-quality services. These training programs can help to bridge the education gap in the region, providing individuals with the skills and knowledge they need to succeed in the modern economy.

“Latin America is a region of contrasts: a region with a rich cultural heritage and natural resources, but also with great inequality, poverty and vulnerability. Education is a key factor in addressing these challenges, and in unlocking the region’s potential. However, despite progress made in recent years, the quality and equity of education in the region remains a major concern. To ensure that every child in Latin America has the opportunity to reach their full potential, we must invest in quality education that is inclusive, equitable and relevant to the needs of the region.” — Gabriela Ramos, Assistant Director-General for the Social and Human Sciences Sector at UNESCO

However, to fully realize the potential of nearshoring to create financial freedom and opportunity in Latin America, we believe that it is crucial to invest in the higher education system in the region. This investment can provide more people with access to the skills and knowledge they need to compete in the global economy, and it can help to create a more skilled and diverse workforce. By working with higher-education systems in the public sector, we continue our goal to hire more from underprivileged families that cannot provide private education for their children.

Moreover, investing in higher education can help to address the underlying issues of income inequality and limited job opportunities in the region. By providing more people with access to quality education and training, we can create a more level playing field for individuals and families in Latin America. This, in turn, can lead to a more equitable distribution of wealth and opportunities, allowing more people to achieve financial freedom and security.


Ask the hard questions

When considering nearshore outsourcing, we encourage you to take time to understand the mission and advocacy that your nearshore partner provides for its communities, employees and their families.

Ask the hard questions — are they paying their talent fairly? Are they providing long-term prospects and stability, or just contracts? Do they value family, and provide benefits that extend beyond the employee? Do they ask their employees to contribute to their mission to support their communities through paid time to teach at schools and higher education establishments?

When we started Proactiviti, as partners we all committed to Careers not contracts — Community before commerce — Equity over imbalance — Compassion before indifference.

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