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Employment & Labour
Mexico
A decree to amend various provisions of the Social Security Law further regulates outsourcing and establishes various mechanisms which strengthen the regulatory powers of the Social Security Institute. However, the new obligations imposed on personnel services providers and companies that use them may be unconstitutional
The Technical Board of the Social Security Institute has published a resolution that introduces provisions to help employers wishing to regularize their status with the institute. Employers may apply for a reduction in, or even complete immunity from, fines in respect of non-payment of social security contributions.
The government's counter-crisis programme includes provisions that make it easier for unemployed workers to draw on their benefit entitlement. A bill to amend the Social Security Law sets out the revised terms for access to such benefits, as well as proposing a change to federal social security contributions that would benefit nearly 95% of the 15 million workers registered with the Social Security Institute.
The Supreme Court has issued a resolution to resolve a case concerning the process whereby employees may vote for a union to represent them. The court definitively established that the Labour Authority must guarantee that the voting process in an inter-union conflict allows workers to express their union preference in a personal, free, direct and secret ballot.
The government has responded to the international financial crisis by announcing its National Programme to Foster Family Finances and Employment for Improved Living Standards, a five-point package of measures designed to boost employment and sustain levels of family income.
The Social Security Institute has issued new regulations on the addition of overtime pay to basic salary for the purpose of social security contributions. However, as its communiqué appears to contradict the terms of the Social Security Law on overtime pay, employers may have reasonable grounds for a legal challenge if the institute attempts to enforce the regulations.
