The Guidelines for the implementation of the Program “Youths building the Future” were issued recently in the Mexican Federal Official Gazette.

Andrés Manuel López Obrador, the current President of Mexico,   included in his campaign proposals the program called  « Youths building the Future», in order to allow Mexican youths the chance to go to university, avoid being unemployed and avoid antisocial acts. Moreover, the program aims to increase the development of productive activities and ensure further economic growth.

The Program includes the following grants: educational grant of
$2,400 pesos per month for higher education to youths between 18 and 29 years, who have completed high school and  wish to earn a university degree; or a monthly grand of $3,600 pesos for one year. This grant shall be awarded through the implementation of a job-training program. The aim is to enable an estimate of 2.3 millions of youth to «work» and be qualified for a company or work center in the public, private or social sectors.

Overall, the Mexican Ministry of Labor and Social Welfare will be in charge of directly awarding the grants to the interns. Also, the Ministry shall ensure the coverage against accidents and illnesses of the Interns participating in Program during the training period.

Please click on the following link to display the full text of the Guidelines:
Lineamientos para la operación del Programa Jóvenes Construyendo el Futuro. 

The information on this document is not a substitute for specific legal advice. The contents of this publications are for information purposes only. Hogan Lovells is not legally liable for any decision taken on the basis of information contained on this document.

On January 7, 2019, Mexico City’s Local Labor Board published in its Labor Bulletin the new procedure for the ratification of Employee´s Termination Agreements before such authority. Such procedure came into effect on January 10, 2019. In this new procedure it is necessary to schedule an appointment on the following website applicant must fill a form with information of the employer, its legal representative, as well as of the employee, and the amounts that the employee will receive. The applicant must select a date for the ratification and fulfillment of the agreement. The Board will not receive any agreement without an appointment.

The personnel of the Labor Board extra officially suggested to schedule the appointment with at least fifteen days in advance of the intended ratification date, since the appointments given per day are limited. To execute private termination of employment agreements with the employees will result in a practical option, this in accordance with the court precedent and criteria of the Supreme Court.

Should you have any doubts or comments, do not hesitate to contact us.

Internal Labor Regulations

  • Do you have an Employee Handbook?
  • Do you want to reinforce your policies?
  • Are you going to apply disciplinary actions?

The Internal Labor Regulations (ILR) is a set of mandatory rules for employees and employers for the development of work. Any policy applicable to employees should be included in the ILR to strengthen its enforceability. Disciplinary sanctions must be expressly referred to in this instrument in order to be valid and enforceable.

To file an ILR, the following documents must be prepared and delivered before the competent Local Labor Court:

  1. Incorporation Minutes of the Joint Committee responsible for the ILR.  These minutes must be signed by representatives of the Company (administrative or managerial positions, or a legal representative) and by the employees (e.g. employee within the HR department).
  2. Appointment of Employees’ Representative.  With the purpose of designating their representative in the Joint Committee.
  3. Internal Labor Regulations. It must be signed only by the aforementioned Representatives (employer and employees).
  4. Submission writ.  This document must be signed by the legal representative of the Company evidencing his/her authority through the relevant Power of Attorney (“PoA”).

All of these documents must be presented in 5 execution copies enclosing information in terms of PoA, company’s address, etc.

The Labor Board usually requires that the ILR and its annexes be filed within 8 business days following its signature date.  Therefore, it is advisable to confirm a date of signature that allows sufficient time to have all of the documents in place for its filing.

Should you require further information on the ILR and its implementation, please feel free to contact us.

On June 22, 2018, the Federal Official Gazette published the executive order issuing the Federal Law regarding Special Declaration of Absence for Missing Persons in which several legal provisions of the Federal Labor Law; Federal Law of Employees rendering services to the State, Social Security Law, Government Employees´ Security and Social Services Institute Law; General Law for Negotiable Instruments and Credit Operations; Financial Institutions Law, and Agrarian Law were amended. This amendment is effective as of June 23, 2018.

The creation of the Federal Law regarding Special Declaration of Absence for Missing Persons was enacted to set the guidelines, implications, procedures and rights as a result of missing persons, as well as the labor and social security implications of the declaration of absence.

It also establishes the procedure for the Special Declaration of Absence, which shall not delay more than 6 months. The Special Declaration of Absence may be requested after 3 months as of the report to authorities of the missing person or of the filing of the complaint before the National Commission of Human Rights. The request of the Special Declaration of Absence should include, among others, the activity performed by the missing person, as well as the name and address of the employer and information of his/her social security regime.

In terms of social security, the main effect of the Special Declaration of Absence is that the beneficiaries of the missing person continues to enjoy the rights and benefits applicable to the social security regime derived from the employment of the missing person.

On the other hand, the Special Declaration of Absence will protect the rights of the missing person in the following terms:

  • The missing person will be considered in an unpaid leave of absence during a specific term.
  • In the event that the victim is located alive, the employer shall reinstate the employee in his/her prior position and rights before disappearing.
  • Regarding social security, beneficiaries will be recognized and will maintain the applicable rights and benefits until the missing person is located death or alive.
  • Payments to the credit for the acquisition of homes will be suspended. This protection will be maintained until the missing person is located alive or not.

Likewise, the Federal Labor Law as well as the Social Security Law were amended, the most relevant modifications are:

  • The disappearance derived from a criminal act, produced suddenly while working or related to work activities, will be considered as a work-related accident.
  • The employer has the obligation to grant an unpaid leave of absence to the missing employee with a Special Declaration of Absence.
  • The employer is prohibited to terminate an employment relationship, if the employee has the status of missing person and has a Special Declaration of Absence.
  • In the case of disappearance derived from a criminal act, the employee´s beneficiaries will be entitled to receive compensation.
  • In the case of a missing person who has Special Declaration of Absence, the employee´s beneficiaries will maintain the right to receive medical and maternity assistance, surgical, pharmaceutical and hospital care.
  • When the employee is a missing person and a Special Declaration of Absence was issued, the resources of his/her individual social security account will be available to the beneficiaries.

Derived from the aforementioned amendments, there is no certainty about the labor and social security implications that could exist in different circumstances therefore we suggest that each situation is analyzed in a case-to-case basis.

Our Hogan Lovells team will be glad to assist with any doubts or comments regarding this matter.