Call for Integral Approach to Labor Hours Reform
Monterrey, NL. As the discussion on reducing work hours from 48 to 40 per week looms, Canacope Monterrey, led by President Catalina Domínguez, urges for a comprehensive, realistic, and responsible approach that fosters productivity and formality.
Who is Catalina Domínguez?
Catalina Domínguez Estrada is the president of Canacope Monterrey, a prominent chamber representing small and medium-sized enterprises (SMEs) in Monterrey, Nuevo León. Her role makes her a significant voice in discussions impacting local businesses and the economy.
Why are SMEs Relevant?
SMEs form the backbone of Nuevo León’s and Mexico’s productive fabric. They contribute significantly to employment, local economies, and national GDP. Therefore, any policy changes must consider their unique challenges and circumstances.
Potential Impact of Reducing Work Hours
Domínguez warns that a poorly implemented reduction in work hours could discourage formality, squeeze SMEs’ profit margins, and jeopardize many businesses’ survival.
Contextualizing Informal Employment in Mexico
According to Domínguez, Mexico has over 32.7 million people in the informal economy, accounting for more than 55% of the employed population and contributing 24.8% to the national GDP, as per Inegi data.
Nuevo León’s Informal Employment Challenge
Although Nuevo León has lower informality rates than the national average, nearly 38% of workers still lack access to social security, funding, or legal stability.
The Path to Dignified Work
Domínguez emphasizes that “dignified work is not decreed; it’s built through productivity, real conditions, and policies that support each sector’s growth.”
Support from Concanaco Servytur
Octavio de la Torre Stéffano, president of Confederation of Chambers of Commerce, Services, and Tourism (Concanaco Servytur), echoes the need for measures that strengthen SMEs alongside labor hour reduction. These measures include easier access to credit, tax reductions, employment subsidies, and administrative simplification.
Commitment for a Comprehensive Reform
Domínguez, also the national organization’s vice president coordinator in Nuevo León, reaffirms her commitment with the government, business leaders, and workers to ensure a reform that bolsters competitiveness, formality, and social well-being.
Key Questions and Answers
- What is the main concern of Canacope Monterrey regarding the proposed labor hour reduction? Canacope Monterrey fears that a poorly implemented reduction could discourage formality, strain SME profit margins, and endanger many businesses.
- Why are SMEs crucial in this discussion? SMEs constitute the backbone of Nuevo León’s and Mexico’s productive fabric, significantly contributing to employment, local economies, and national GDP.
- What is the current state of informal employment in Mexico? Over 32.7 million people are part of the informal economy, making up more than 55% of the employed population and contributing 24.8% to the national GDP.
- What challenges does Nuevo León face regarding informal employment? Despite lower informality rates than the national average, nearly 38% of Nuevo León’s workers still lack access to social security, funding, or legal stability.
- What is Domínguez’s stance on achieving dignified work? Domínguez believes that dignified work is constructed through productivity, real conditions, and policies supporting each sector’s growth.
- What additional measures does Concanaco Servytur propose alongside labor hour reduction? Concanaco Servytur suggests easier access to credit, tax reductions, employment subsidies, and administrative simplification to strengthen SMEs.
