Employment 2025

MEXICO Law and Practice Contributed by: Mauricio Moreno Rey, Anahí Serrano, Erick Sastré and Karla Fajardo, Cannizzo, Ortiz y Asociados, S.C.

• disclose how algorithms determine assignments and working conditions and issue an algorithmic management policy. Non-compliance carries fines of up to MXN2.7 million. The reform took effect on 23 June 2025, with further rules and a pilot programme to follow. Reduction of Working Hours One of the central issues on Mexico’s 2025 labour agenda is the reduction of the working hours from 48 to 40 hours per week. Although this initiative has not been approved, the federal government officially announced that the 40-hour working week would be implemented gradually with a view to being complet - ed by January 2030. This initiative represents a crucial shift in the country’s labour dynamics. The transition to a 40-hour working week, however, requires a clear implementation plan. Companies, especially small and medium-sized ones, will need to adapt to new organisational structures, and it is crucial that the government and labour authorities provide support in terms of training and flexibility. In addi - tion, rigorous monitoring will be necessary to prevent the reduction in hours from translating into increased labour intensity or overloaded workdays. Reducing the working day in Mexico is a strategic proposal that could result in significant change for workers and companies. Labour unions in Mexico are understood as asso - ciations of employees that are formed for the study, improvement and defence of their interests. Both employers and employees have the right, without any distinction and without prior authorisation, to form the organisations they deem convenient, as well as to join them, with the only condition of observing their cor - responding by-laws. Both types of unions enjoy protection under the law against any act of interference between them relat - ing to their formation, operation or administration. 6. Collective Relations 6.1 Unions

Any action or measure to promote the formation of employees’ organisations with the purpose of placing them under the employer’s control is considered an act of interference. In 2018, Mexico ratified Convention C098 of the Inter - national Labour Organization, concerning the Right to Organise and Collective Bargaining, which establishes fundamental rights related to trade union freedom and collective bargaining. Following this ratification, a sig - nificant constitutional reform in labour matters came into effect, which not only established new founda - tions for labour justice but also amended various pro - visions related to trade unions. Notably, the reform addressed freedom of association and effective rep - resentation, including the prohibition of employee unions created or controlled by employers for their own benefit – a practice that had been prevalent. This constitutional reform paved the way for subsequent secondary labour reforms enacted in 2019. The 2019 labour reform aimed to align national legisla - tion with the principles set forth in Convention C098. Key changes introduced by this reform included the promotion of union autonomy through the establish - ment of democratic trade unions, thereby enhancing workers’ control and participation in decision-mak - ing processes. Additionally, the reform strengthened collective bargaining by instituting labour courts responsible for ensuring the enforcement of collec - tive agreements and promoting transparency in their negotiation. While these reforms mark significant progress towards compliance with Convention C098, the principal chal - lenge remains the effective implementation across the country, particularly within informal sectors and regions where traditional unions maintain consider - able influence. Consequently, these reforms neces - sitated the modification or revision of conventional union structures in Mexico to safeguard employees’ freedom of association. Ultimately, the reforms seek to foster a more active and meaningful role for employ - ees in union affairs. 6.2 Employee Representative Bodies The role of employees’ unions is to study, defend and improve the interests of their members. Their incor -

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