Introduction
The Mexican Congress has seen over 290 labor reform proposals in the current legislative period. In October, topics such as reducing work hours, eliminating taxes on Christmas bonuses, and salary transparency during vacations dominated the labor agenda.
Key Labor Proposals in October
Reduced Work Hours
Two proposals were presented in October to reduce the workweek to 40 hours. The PT’s initiative aims to amend the Federal Labor Law (LFT) to establish a legal limit of 40 hours per week with two days of rest. However, this proposal does not suggest changing the Constitution, which still mandates one day of rest for every six days worked.
The other proposal, by Diputado Juan Ignacio Zavala (MC), seeks to amend the Constitution to recognize two days of rest for every five workdays. The project includes a pilot program and tax incentives.
With these initiatives, the Chamber of Deputies has accumulated 16 proposals for reducing work hours, mostly focusing on a 40-hour workweek with salary and gradual protection.
Transparent Salaries During Vacancies
Transparency in salaries during vacancies gained momentum in the legislative agenda. In the past month, two proposals were presented in the Senate to make it mandatory to disclose the salary range in job offers.
One proposal is promoted by Senators Martha Lucía Micher Camarena (Morena), Geovanna Bañuelos de la Torre (PT), and Senator Luis Donaldo Colosio Riojas (MC). The proposal suggests making it an employer obligation to publish the salary range in job vacancies.
The other initiative, promoted by Senator Paloma Sánchez Ramos (PRI), proposes a fine between 28,285 and 565,700 pesos for employers who omit the salary range in job offers.
Tax on Christmas Bonuses
Since the current legislative period began, improving Christmas bonuses has caught lawmakers’ interest. In October, proposals were linked to the Impuesto Sobre la Renta (ISR) of the bonus.
The first proposal was presented by the PAN bloc in the Chamber of Deputies, aiming to eliminate the payment of ISR on Christmas bonuses, which are currently taxed when they exceed 30 times the Unidad de Medida y Actualización (UMA).
The other effort is led by Diputado Rubén Moreira, coordinator of the PRI bloc in San Lázaro. The legislator proposes returning to a salary-based calculation and exempting Christmas bonuses equivalent to one minimum wage (8,475 pesos) from ISR payment.
Increase in Minimum Wage
In October, senators from Movimiento Ciudadano presented a proposal to amend the Constitution and establish a minimum wage of at least two basic baskets. This would imply a 17% adjustment for 2026 if the reform advances this year.
Lawmakers describe the 17% increase as “real and achievable” and in line with eradicating poverty in Mexico.
Leave for Pet Care
The proposal, promoted by Senator Sasil de León Villard (Morena), is to recognize in the Federal Labor Law a paid leave of two days per year for pet care, including dogs, cats, rabbits, and other species.
The senator argues that this modification aligns labor legislation with modern family compositions and the importance of companion animals in people’s lives.
Menstrual Leave
The topic regained momentum in October with three proposals (one in the Chamber of Deputies and two in the Senate). The projects propose menstrual leave ranging from one to three days per month.
A common feature of the projects is requiring the presentation of medical certificates from menstruating individuals to access the leave.
In the case of the PAN proposal, it is promoted to incorporate in the LFT a fine between 5,657 and 169,710 pesos for employers who do not grant menstrual leave of at least two days per month.
What to Expect for the End of 2025
Looking ahead to year-end, reducing work hours to 40 hours seems most likely to materialize. President Claudia Sheinbaum stated that the reduction reform proposal will be presented in November by the Secretariat of Labor and Social Prevision (STPS).
Meanwhile, the STPS maintains working tables with business representatives, unions, activists, and experts to design a gradual reduction scheme and complementary measures.
Sources close to STPS working tables have told El Economista that one aspect under analysis is expanding the time limit for overtime; however, as of last week, the topic of deducting 100% of benefits and allowances was lagging.
From the Labor, Prevision, and Social Security Commission in the Chamber of Deputies, the stance is not to delay analyzing the presidential proposal once it arrives in San Lázaro. Consequently, a swift discussion of the work hour reform is expected.
Another change that might not be implemented before year-end are bereavement leaves, as the Senate’s draft has already received its first reading and is ready for a plenary vote.
The labor agenda appears to be active heading into the year’s end.
Key Questions and Answers
- What are the main labor reform proposals in October? Key proposals include reducing work hours to 40, ensuring salary transparency during vacancies, eliminating taxes on Christmas bonuses, increasing the minimum wage, granting leave for pet care, and implementing menstrual leave.
- How do these proposals aim to impact workers? These reforms seek to improve work-life balance, increase wages, promote transparency, and recognize the importance of personal needs in employees’ lives.
- What is the likelihood of these proposals being implemented before year-end? The reduction of work hours to 40 hours seems most probable, while other proposals like bereavement leaves are closer to implementation.
