Starting on this coming June 2, discussion forums focused on the reduction of the number of working hours in Mexico will be conducted, proposing a change from 48 to 40 weekly hours. This debate, driven by global trends, includes fundamental elements, such as payment by the hour and specific contracts. Even though these contracts are permitted by the Federal Labor Law [LFT], specialists warn about their rigidity.
Óscar de la Vega, partner at D&M Abogados, points out that while the reduction of hours is an attractive trend, it is essential to consider its possible repercussions in the Mexican business sector. The industries that would be affected the most, such as the automotive and maquila industries and the mining sectors, could be forced to extend working hours through overtime, which carries significant costs: the first nine hours are paid at double the rate and the following ones are paid at triple the rate. An alternative could be to increase the staff, which also represents a considerable investment.
De la Vega emphasizes the need for addressing flexibility in hourly contracting. Even though it is covered in Article 183 of the LFT, the current terms dictate that the paid salary must cover the full workday, which makes it difficult to adapt to the new labor dynamics.
For his part, Jorge Sales Boyoli, partner at Sales Boyoli, argues that the employer sector has an opportunity to innovate. The reduction of working hours, although necessary, carries an economic impact that cannot be ignored. Some companies are considering investments in technology in order to reduce their dependency on human capital, not only in manufacturing, but also in the service sector.
However, it is also acknowledged that the cost of this reduction could be transferred to the final consumer, raising prices for products and services. Some organizations will opt for reducing their profit margins in order to avoid layoffs, while others consider a combination of strategies.
The business sector, in this scenario, could argue that, upon the increase in workdays, a reduction in the cost of overtime should be considered. This exchange of ideas and proposals will be crucial in navigating the transition to a more flexible and humane labor model.
The conversation on the labor reform is not new and has been bogged down for more than two years. The proper discussion on flexibility and adaptability in the context of working hours is essential for ensuring a sustainable and productive labor future.
As the dates for the forums draw near, the arena is prepared for discussing these complexities, seeking a balance between the needs of workers and the economic realities of companies. The information that is shown corresponds to May 2, 2025 and, even though further developments on this topic are expected, it is essential to prepare the ground for an effective dialogue that leads to specific solutions.