Introduction
As the new ordinary session of Congress begins on September 1, there is a chance that pending projects will be resumed. Among these are labor reforms such as reducing working hours, securing minimum wage and tips in the service sector, luto (mourning) leave, medical exams, first-time employment programs, salary gap inspections, and workers’ rights in the arts.
Background on Labor Reforms
The Mexican Congress has accumulated over 190 labor-related initiatives in the LXVI legislature. Despite this, certain projects have been dictated in committees and stand out as the most advanced topics, except for the 40-hour workweek. The government and legislators have shown interest in debating this topic.
The current legislature follows a period of significant changes to the Federal Labor Law (LFT), with 35% of all labor law reforms occurring in the past two cycles (2018-2024). This is the highest number of modifications in the last five decades.
Key Labor Reforms on the Agenda
1. Reduction of Working Hours
The 40-hour workweek is likely the most prioritized topic among the list. Since her first day in office, President Claudia Sheinbaum has committed to reducing working time. After forums organized by the Secretariat of Labor and Social Prevision (STPS) to gather proposals, there seems to be a consensus (with some nuances) to lower the limit on working hours.
2. Minimum Wage and Tips in Service Establishments
The reform to the LFT has already passed its first legislative round. The Chamber of Deputies unanimously approved that service establishments, such as hotels, restaurants, and bars, guarantee the minimum wage to their workers. Additionally, it aims to protect tips and grant employees the right to decide how tips are distributed. This modification awaits discussion in the Senate to take effect.
3. Luto (Mourning) Leave
The Labor and Social Prevision Commission in the Senate approved a dictamen in March to recognize luto (mourning) leave. The labor reform aims to ensure this right for both private and public sector workers, establishing a five-day leave with full pay upon the death of a close relative. This is the third attempt in almost a decade to incorporate this provision into the Federal Labor Law.
4. Medical Exam Leave
Another advanced discussion that could be revisited in the coming months is remunerated leave for medical exams. In the Chamber of Deputies, there is already an approved dictamen in committees for employers (public and private) to grant up to two leaves per year, with pay, for employees to undergo medical and preventive exams.
5. Salary Gap Inspections
This reform to the LFT aims to make it obligatory for the STPS and local authorities to conduct inspections to verify equal pay principles. Although it may seem like an isolated modification, the proposal aligns with the package of reforms approved by Congress to acknowledge gender wage gap existence in the Constitution and commit the state to its elimination. The matter is currently under the Senate’s consideration.
6. Youth Employability
In the Chamber of Deputies, there is an pending discussion in plenary for a project to foster first-time employment. The project aims for the National Service Employment (SNE) to design, conduct, and evaluate specific programs to generate job opportunities for young people and vulnerable groups.
7. Artists’ Workers’ Rights
The LFT already has a chapter for actors and musicians, but the intention in the Senate is to expand protection to all artists’ workers, including scriptwriters, dance interpreters, painters, among others. Among the changes, the proposal suggests that salary can also be set for performances or executions and ensures that employers provide adequate workplaces and necessary materials for activity performance.
Implementation of Ley Silla and Regulation of Digital Platform Work
Besides potential legislative discussions, the labor agenda for the last quarter of the year will also focus on implementing recent changes: Ley Silla and digital platform work regulation.
Regarding Ley Silla, although it has already taken effect and the STPS published implementation guidelines, the reform granted companies 180 days (by December 14) to adjust their internal regulations. This involves adapting work regulations to consider aspects such as break time and frequency, as well as rules for chair usage.
In addition, the IMSS pilot program for digital platform workers’ affiliation will continue operating until December. This exercise will allow proposing necessary adjustments to social security legislation to design a regime fitting the reality of this work model.
Key Questions and Answers
- What are the labor reforms likely to advance in Congress before 2025? Seven labor reforms are expected to advance, including reducing working hours, securing minimum wage and tips in service establishments, luto (mourning) leave, medical exam leave, youth employability programs, artists’ workers’ rights expansion, and salary gap inspections.
- What is Ley Silla, and when did it take effect? Ley Silla is a recent labor law reform that mandates specific work regulations, such as break time and chair usage. It took effect recently, with companies given 180 days to adjust their internal regulations.
- What is the IMSS pilot program for digital platform workers, and what is its purpose? The IMSS pilot program aims to affiliate workers from digital platforms and propose necessary adjustments to social security legislation for a suitable regime reflecting the reality of this work model.
