Background on Mexico’s Workweek Transition
Mexico is on the cusp of transforming its labor law with a proposal to reduce the workweek to 40 hours. However, legal experts in labor matters are urging for a legislative technique that prevents simulations and encourages informality, emphasizing a gradual change and clearer rules regarding overtime.
The Proposed Reforms
The proposed constitutional and Federal Labor Law (LFT) reforms aim to establish a constitutional limit of 40 hours per week, initiating a gradual transition starting in January 2027. The reduction would be two hours per year until reaching the target by 2030.
The Need for a New Work Concept
Mexico’s proposed new work concept aims to redefine this period not just as the time a worker is available to their employer, but specifically as the time spent effectively performing subordinate tasks.
This change involves defining the period during which tasks are carried out under subordination, directly impacting how rest periods and commuting times are counted. Previously, the workday was understood as the time a worker provided services; now, the focus is on the period during which subordinate tasks are executed.
Expert Perspectives
Luis Monsalvo Valderrama, a UNAM law professor and partner at Monsalvo Duclaud, explained that the initiative modifies Article 58 of the LFT to introduce the concept of “effective time,” which could lead to confusion with rest periods.
Rosa Elda Martínez Rodríguez, a magistrate at the Tenth Collegiate Circuit Labor Work Court in the First Circuit, noted that this would necessitate reviewing special cases where availability isn’t always active work.
Special Workdays and Overtime
The proposal introduces significant changes in managing overtime and special workdays, setting strict limits to prevent labor exploitation.
Lorenzo de Jesús Roel Hernández, representing the employer sector in COPARMEX and a partner at Roel Asociados, mentioned that the redefinition of work hours aims to fill a legal gap. He pointed out that the law still doesn’t define work hours, only mentioning diurnal, mixed, and night shifts with maximum hour limits.
International Examples: Spain, Colombia, and Chile
Spain: In Spain, overtime is capped at 80 hours annually, with flexibility to compensate through money or rest. Jorge García de Presno Graham, a senior associate at Cuatrecasas, explained that Spain has hour banks agreed upon in contracts and collective agreements, allowing for adaptable work hours according to market needs.
Colombia: Colombia opted for a phased implementation to minimize business impact. The reduction began formally in 2021 and will reach 42 hours by 2026. However, Juan Fernando Escandón García, governor of the Colombian Labor Lawyers’ Colegio, mentioned that the norm was approved without a thorough analysis of various industries, disregarding realities and requiring additional personnel hiring in some sectors.
Chile: Chile’s 40-hour law is gradual, but Cristina Astudillo Soto, a master in Labor and Social Security Law and secretary of the Punta Arenas Lawyers’ Colegio, noted that it faced problems due to ambiguous interpretation on reducing work time.
Key Questions and Answers
- What are the concerns of labor experts regarding Mexico’s proposed 40-hour workweek? Experts warn of potential simulations, informality, and legal conflicts due to unclear legislative techniques. They emphasize the need for a gradual change and clear rules regarding overtime.
- How does Mexico’s new work concept differ from the previous understanding? The new concept focuses on “effective time” spent performing subordinate tasks, impacting how rest periods and commuting times are counted.
- What international examples have Mexico considered in formulating its workweek reform? Mexico has looked at Spain’s flexible hour banks, Colombia’s phased implementation, and Chile’s gradual approach, learning from their challenges and successes.
- What are the proposed limits on overtime in Mexico’s new workweek? The maximum allowed workday is 40 regular hours plus 12 overtime hours paid at double the rate, with a weekly cap of 56 hours. Exceeding this threshold would constitute labor exploitation.
