Decree Amending and Supplementing Article 90 of the Mexican Federal Labor Law
A Decree published in the Official Journal of the Federation on March 30, 2021, amends and supplements Article 90 to the Mexican Federal Labor Law. The main purpose of this amendment is to guarantee that the yearly review of the minimum wage, is set at a level above the inflation rate. With such change, the […]
Seniority Bonus Must Be Paid Even If Not Expressly Requested
On March 12, 2021, the Second Chamber of Mexico’s National Supreme Court of Justice published a ruling in contradiction to opinion number 2a./J. 66/2020 (10a.), titled “Seniority Bonus. Even if not expressly requested, its payment is required when the employee’s seniority is confirmed and such employee has been terminated or the employment relationship has otherwise […]
Consensus Emerges on Amendments to Mexico Outsourcing Rules
Representatives from the Mexican Federal Government, Business Sector and Union Groups conferred on April 5, 2021 in an attempt to agree on the terms of new pending federal legislation governing outsourcing in Mexico. The parties reached the following agreements in their discussions: 1. In general, outsourcing of personnel will be prohibited, including: (i) the hiring […]
Proposed Changes to the Mexican Hydrocarbons Law
On March 26, 2021, the President of Mexico sent a bill to the Chamber of Deputies aimed at amending several provisions of the Hydrocarbons Law (the “Bill”). In contrast to the recent amendment to the Electricity Industry Law, which was submitted as a preferential bill, this Bill does not have such status, so it will […]
Mexico Makes Changes to Its Federal Judiciary
A Decree published in the Official Journal of the Federation on March 11, 2021 amends and adds several provisions to the Mexican Constitution regarding the structure, functions and organization of the Mexican Federal Judiciary, as well as to the rules for handling certain constitutional cases. Such amendments were proposed by the Chief Justice of the […]
Mexico Amends its Electricity Industry Law
On March 9, 2021, a Decree amending and adding various provisions to the Electricity Industry Law (the “Amendments”) was published in the evening edition of the Official Journal of the Federation (“DOF”). The Amendments became effective the day after publication. The government agencies responsible for implementing the Amendments have 180 calendar days to do so. […]
Factors to Consider in Mexico Labor Inspections
Mexico’s recent reforms with respect to tax and labor matters, which began in 2019, have led to an increase in labor inspections and resulted in the imposition of hefty fines. The fines imposed for alleged non-compliance in labor and social security matters are calculated based on the Unit of Measurement and Update (“UMA”). The fines […]
Mexico Issues New Requirements for Reporting Increases in Capital
For Mexican entities approving capital stock increases or decreases occurring December 31, 2020 or before, Article 30 of the Mexican Federal Tax Code provided that taxpayers were required to maintain records of all minutes and certificates relating to such transactions. However, beginning January 1, 2021, Mexican tax authorities now may require additional information from Mexican […]
COVID-19 as an Occupational Illness under Mexican Law
In a December 15, 2020 session of the Technical Council of the Mexican Social Security Institute (“IMSS”), the Council issued decree number ACDO.AS2.HCT.151220/340.P.DPES authorizing the Mexican Department of Economic and Social Benefits “…to implement a proactive assessment strategy as to the work-related risks of employees of related companies who died or were left with lingering […]
Mexico Publishes Actions for the Gradual Reduction of Glyphosate and Transgenic Corn
On December 31, 2020 the Mexican government published a decree in the Official Journal of the Federation detailing the actions to be carried out by Federal Public Administration agencies and entities to gradually replace the use, acquisition, distribution, promotion and importation of glyphosate and the agrochemicals used as an active ingredient in Mexico, with sustainable […]
