Mexico’s Digital Work Platform Regulation Faces Criticism Over Income Exclusion Percentages

Web Editor

July 13, 2025

a group of people sitting on a bench with luggage and cell phones in their hands and a man on his ce

Background and Relevance of Sergio Guerrero

Sergio Guerrero, the General Secretary of the National Application Workers Union (UNTA), has raised concerns about Mexico’s recently implemented pilot program aimed at regulating digital work platforms. This initiative, enacted under the Ley Federal del Trabajo, seeks to recognize and grant labor rights and social security to gig workers such as drivers and delivery personnel.

The Pilot Program’s Challenges

Guerrero highlighted that the pilot program, which started 13 days ago, has sparked discussions about its challenges and effectiveness in ensuring labor rights for gig workers. He expressed his concerns during a session at the Observatorio Ciudadano para la Reforma Laboral (OCRL).

Income Exclusion Percentages

One of the critical aspects of the pilot program is the established exclusion percentages for calculating monthly net income, which determines eligibility for IMSS (Instituto Mexicano del Seguro Social) contributions. Guerrero explained that workers must generate a monthly net income equivalent to at least one minimum wage in Mexico City to be considered for IMSS coverage and labor rights.

  • Exclusion Percentages: The pilot program sets different exclusion percentages for various transportation modes:
    • 60% exclusion for cars
    • 50% exclusion for motorcycles
    • 15% exclusion for bicycles

    These percentages imply that a car driver, for example, must earn over 20,910 pesos monthly to access social security. Given that few full-time workers achieve this, many may be left without labor benefits due to insufficient income.

  • Pilot Program Duration: The pilot program lasts six months, divided into two three-month phases. After this period, data will be analyzed to establish the final exclusion percentages in the IMSS law.

Extensive Working Hours and Tariff Control

Guerrero pointed out that studies show Mexico City’s delivery workers often work up to 60 hours weekly. However, the current model does not set clear limits for platforms setting tariffs, potentially leading to increased working hours to meet the minimum wage threshold and access social security, promoting overexploitation.

  • Time Recognition: The existing income model only acknowledges effective working time (when there’s an active order), disregarding total platform connection time. This issue arises because workers spend substantial periods waiting for orders outdoors without work-related risk coverage during this time.
  • Intermittent Labor Relationship: As an income-based model, the labor relationship can become intermittent. A worker might be considered subordinate one month and not the next, complicating individual job stability and union organization.

Key Questions and Answers

  1. What is the purpose of Mexico’s pilot program? The program aims to regulate digital work platforms and grant labor rights and social security to gig workers like drivers and delivery personnel under the Ley Federal del Trabajo.
  2. What are the concerns raised by Sergio Guerrero? Guerrero expressed worries about the pilot program’s effectiveness in ensuring labor rights, the income exclusion percentages, extensive working hours, and the lack of clear tariff limits for platforms.
  3. How do the exclusion percentages affect workers? The established exclusion percentages imply that workers must earn substantial monthly incomes to access social security and labor rights. Many may not meet these requirements, limiting their access to benefits.
  4. What are the potential consequences of not setting clear tariff limits? Without established limits, platforms might adjust tariffs to force workers into longer hours to meet the minimum wage threshold and access social security, fostering overexploitation.
  5. How does the current income model impact workers? The existing model only recognizes effective working time, disregarding total platform connection time. This issue leaves workers without risk coverage during waiting periods.
  6. What challenges does the intermittent labor relationship pose? An income-based, intermittent labor relationship complicates individual job stability and union organization for gig workers.