MEXICO Law and Practice Contributed by: Luis Álvarez Cervantes, Adolfo Athié Cervantes, Alejandro Barrera, Jesús Colunga, Eduardo Kleinberg, Juan José López de Silanes, Carlos Martínez-Betanzos and Amílcar Peredo, Basham, Ringe y Correa S.C.
The foundation of Mexican labour law lies in Article 123 of the Mexican Constitution, which enshrines fun - damental labour rights such as fair wages, maximum working hours, rest periods and the right to unionise. Additionally, international treaties signed by Mexico serve as another source of law and play a significant role in shaping domestic labour standards, particularly the conventions of the International Labour Organi - zation (ILO) and the labour provisions of the United States–Mexico–Canada Agreement (USMCA). The Federal Labour Law (FLL) is the principal statute that regulates employment in Mexico. It governs both individual and collective employment relationships, establishing minimum benefits, termination standards, and mechanisms for dispute resolution. As a matter of public order, most of its provisions are mandatory and protective of employees. Specific regulations, known as Mexican Official Standards, are issued by the federal government to complement the FLL, covering areas such as occu - pational health and safety, telework, psychosocial risk prevention and workplace inclusion of people with disabilities, among others. All terms and conditions of employment must be set out in writing, as the burden of proof for demonstrat - ing them rests with the employer. 4.2 Characteristics of Employment Contracts Individual employment contracts are governed by the FLL, which establishes the minimum requirements for these documents. The terms and conditions of employment must be set in writing and must include the following. • Name, nationality, age, gender, marital status, Unique Population Registry Code (CURP), Federal Taxpayer Registry (RFC) and address, of both the employee and the employer. • The type of employment relationship and whether it is subject to a probationary period or initial training. • The service(s) to be provided. • The place or places where the work will be per - formed.
• The duration of the workday. • The method and amount of salary payment. • The day and place of salary payment. • An employee training clause. • Other working conditions, such as rest days, vaca - tion entitlements and any other terms agreed upon by the employer and the employee. • The designation of beneficiaries for payment of accrued benefits upon the employee’s death or disappearance resulting from a criminal act. Since offer letters are not expressly regulated under the FLL, if a written employment contract is not exe - cuted, the offer letter will be considered as such. The FLL regulates the permissible duration of employ - ment contracts and recognises the following types: • indefinite period; • fixed term; and • specific work or seasonal. As a general rule, indefinite period contracts prevail in Mexico. Fixed-term, specific work and seasonal agreements are exceptions and must be duly justified to avoid reclassification as indefinite period contracts. Employment contracts may include probationary peri - od or initial training clauses under certain conditions. 4.3 Working Time There is no distinction between types of employees regarding working hours and overtime eligibility. All employees are subject to the same maximum weekly working hours and are entitled to overtime pay when these limits are exceeded. The FLL sets out three types of shifts. • Day shift – 6:00 am to 8:00 pm – maximum 8 hours per day. • Night shift – 8:00 pm to 6:00 am – maximum 7 hours per day. • Mixed shift – combination of day and night periods; if the night portion exceeds 3.5 hours, it is deemed a night shift – maximum 7.5 hours per day.
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