The newly elected, current session of Mexico’s legislative branch, the Congress of the Union, convened on September 1, 2024. Mexican President Claudia Sheinbaum’s administration commenced with her inauguration on October 1, 2024.
President Sheinbaum’s agenda contains one hundred objectives—including the passage of bills that were initiated during the Congress before her term of office began. Congress has declared that it is its priority to pass them as soon as possible.
Significant labor and employment–related legislation under consideration include bills addressing the following issues: (i) workweek reduction; (ii) an increase in the Christmas bonus; (iii) classification of app-based couriers as employees; (iv) an increase in the minimum wage; and (v) the Chair Law, Ley Silla (legislation that would amend Section V of Article 132 of the Federal Labor Law to prescribe certain rest periods and working conditions for employees). The latter are considered relevant, and their approval is expected before the end of the year.
Quick Hits
President Sheinbaum’s agenda of one hundred objectives, including labor and employment proposals, was presented to Congress.
The ruling party, the National Regeneration Movement—Movimiento de Regeneración Nacional (Morena), which enjoys a supermajority in Congress—has stated that it will work toward passing labor and employment legislation as requested by President Sheinbaum.
Perspectives of the President and Congress Regarding Labor and Employment Bills
On October 1, 2024, the first day of President Sheinbaum’s administration, a list of one hundred objectives/proposals was presented as the platform for her six-year administration. Specifically, the sixtieth item on the list proposes that an agreement be pursued between Congress and the employer community to reduce the workweek to forty hours, among other proposals to protect workers.
Additionally, on October 3, 2024, acknowledging President Sheinbaum’s declarations, members of Congress stated that it would be their priority to promote initiatives such as (i) a reduction of the workday; (ii) the Chair Law; and (iii) an increase in the statutory Christmas bonus.
Status of Key Labor and Employment Bills
Since the aforementioned bills are on the agenda of the president and the Congress, it is appropriate to summarize the status of a few important bills.
Workweek reduction. This bill would reduce the standard workweek from forty-eight hours to forty hours.
Chair Law (Ley Silla). This bill would allow employees—specifically, retail and service providers—to have enough time to rest during their work shifts in chairs with backrests. This bill has been approved by the Chamber of Deputies and was sent to the Senate to be discussed and approved.
Increase in the statutory Christmas bonus. This bill would increase the annual Christmas bonus from the equivalent of fifteen days’ wages to thirty days’ wages.
Classification of app-based couriers as employees. The bill would add a new chapter to the Federal Labor Law (FLL) that would regulate and classify app-based contractors as employees and recognize them with social security obligations and tip distribution. This bill is in an early stage and has not been discussed by the legislature.
Increase in the minimum wage. This bill proposes that the annual minimum wage increase always exceed the inflation rate. The bill has been approved by the Chamber of Deputies and will be sent to the Senate to be discussed and approved.
Ogletree Deakins’ Mexico City office will continue to monitor developments and will provide updates on the Cross-Border blog as additional information becomes available.
Pietro Straulino-Rodríguez is the managing partner of the Mexico City office of Ogletree Deakins.
Natalia Merino Moreno is an associate in the Mexico City office of Ogletree Deakins.
María José Bladinieres is a law clerk in the Mexico City office of Ogletree Deakins.
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