Traffic congestion impacts productivity and drives telework interest in Lima and Guatemala

Urban traffic congestion in Lima and Guatemala City is increasingly impacting labor productivity and driving legislative interest in remote work.

In Lima, the TomTom Traffic Index 2025 indicates that drivers lose approximately 195 hours annually to congestion, equivalent to more than eight full days. The Central Reserve Bank of Peru (BCRP) warns that prolonged travel times lead to increased fatigue and stress, which can negatively affect physical and mental health, reduce concentration, and increase absenteeism. To mitigate these effects, organizations are exploring flexible schedules and hybrid work models to support employee well-being.

In Guatemala, the Congress has advanced Initiative 6556, the Telework Law, through its first debate. The proposal aims to establish a legal framework for remote work to alleviate urban mobility issues, reduce fuel consumption, and decrease the time workers spend commuting. Proponents argue that facilitating distance work could serve as a tool to mitigate the rising costs of transportation and the daily congestion faced by the metropolitan workforce.