In honor of Mexico’s Labor Day on May 1, the Mexican government announced an important amendment to progressively reduce the workweek from 48 hours to 40 hours. The change is set to start this year and aims for completion by 2030.
The initiative is designed to align Mexico’s labor standards with international norms and improve living conditions for the workforce.
To ensure the successful implementation of this reduction in hours, the federal government has announced the creation of a national dialogue table, which will include representatives from various productive sectors, business chambers, labor unions, and labor law specialists.
The objective is to generate consensus and define an operational transition model that can be applied nationwide. Dialogues are scheduled to take place from June 2 to July 7 before the regular legislative process begins.
Employers should start evaluating the potential risks and impacts of this initiative. A few key points to consider include the following:
- Progressive Reduction of the Workweek: This change will require structural adjustments in shift organization and operational coverage, especially in industries with continuous schedules or extended shifts.
- Increase in Overtime Costs: Without proper adjustments, companies might encounter a significant rise in overtime payments, putting added pressure on HR departments.
- Redesigned Hiring Schemes: It will be important to explore mechanisms such as hourly hiring, mixed shifts, or staggered schedules to maintain productivity while adhering to the new regulations.
Humberto Morales Barrón, Francisco García, and Jose Manuel Marquez are attorneys with Holland & Knight LLP in Monterrey, Mexico. Juan Carlos Torra, Sean Muzquiz, and Damián Gómez are attorneys with Holland & Knight in Mexico City. © 2025 Holland & Knight LLP. All rights reserved. Reposted with permission of Lexology.
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