Long-awaited labor reforms, but complex due to their impact on companies’ payrolls

Like never before they have been presenting themselves in the Congress of the Union different reforms to the Federal Labor Law (LFT) with the aim of benefiting workers in the Mexican formal sector.

However, it is worth emphasizing this point, different specialists in the matter have pointed out that, in the event that some of these reforms to the Federal Labor Law (LFT) Companies could experience certain impacts.

Under this context, According to the considerations of Melissa Mejía, legal expert and partner in the Labor Area at Sabag Becker and Gerrit Cohen, some of the labor reforms, although they benefit workers, could compromise the finances of companies that have operations in Mexicoare as follows:

Reduction of the working day from 48 hours to 40 hours

According to the specialists, if the Mexican Legislative Branch approves the two weekly days of rest for workers, the Companies should strengthen internal control and maintain strict control over the payment of overtime, in order to avoid labor exploitation..

“The implementation of a second mandatory day of rest will require careful management by Human Resources to ensure compliance with the regulations and avoid sanctions for labor exploitation,” he stressed.

In this regard, it is worth mentioning that reducing the work week would mean that companies would have to resort more to paying overtime to cover work activities that Mexican employees carried out in longer hours.

30 days of Christmas bonus

Likewise, Mejía pointed out, another of the amendments to the LFT that would benefit Mexican workers, but would have to be closely monitored by companies, It is the one that contemplates giving 30 days of salary as a bonus instead of only 15 days of salary..

If approved, companies will have to consider the increase in operating expenses that would be required by increasing the bonus to 100% for workers in the Mexican formal sector.

In this sense, this reform in labor law, Added to the increase in vacation days, it could impact the cost of products or services in proportion to the increase in labor costs..

“This increase in spending must be carefully considered by employers, since the payment of the bonus is an inherent benefit of the service provided, and its fulfillment is mandatory. Companies must plan appropriately to ensure that they can meet these new obligations without affecting their operations and financial sustainability,” he said.

Paternity leave

Finally, if you areIf the company is considering increasing paternity leave from 5 to 20 days for Mexican workers, companies will have to have greater control over employees who are close to this event in their lives, while they will have to have a system that allows for greater planning of the organization of shifts and minimize the impact of absence on productivity.the expert noted.

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