Mexico Amends the Regulation of the Registry of Providers of Specialized Services or Specialized Works (REPSE)

On February 3, 2023, Mexico’s Ministry of Labor and Social Welfare (Secretaría del Trabajo y Previsión Social) (STPS) published in the Official Gazette of the Federation an amendment to the guidelines regarding the Registry of Specialized Services Providers or Specialized Works (“REPSE,” for its acronym in Spanish), related to the provision of outsourcing services.

The amendment mainly contemplates the following:

1. Additional Required Information in order to Obtain the REPSE

• Submission of the latest proof of payment of social security’s contributions to the digital platform of the STPS

2. Surveillance/Inspection by the STPS

• The STPS through its inspectors is authorized to:
  • request additional information from (i) the company registered with the REPSE; (ii) the beneficiary’s companies of the specialized services; and (iii) other authorities, to corroborate and validate the information and documents provided by the company providing the specialized service;
  • verify that the registered specialized services correspond to the conditions of work actually performed and rendered;
  • verify that the specialized services provided are not part of the core business of the beneficiary of said services;
  • verify that the service contracts for the specialized services are in compliance with the REPSE’s regulations;
  • verify that the work center (where specialized services are rendered) complies with the applicable working conditions, including that all employees are duly registered with the Mexican Social Security Institute (IMSS); and
  • verify that the employees providing the specialized services are duly identified when rendering their services at the work centers of the beneficiary companies of the services.
• The STPS may initiate proceedings for the imposition of sanctions if it identifies noncompliance with labor regulations.

3. Other Causes for Denying the REPSE

The following are added as causes for denying the REPSE:

• The STPS identifies that the applicant has failed to comply with subcontracting obligations
• The STPS notices that the applicant’s employees are not registered with the IMSS, or that there are irregularities in their salaries
• The STPS notices that there are irregularities with the specialized services contracts

4. Modification of the REPSE

Specialized service providers may request the update or modification of the activities registered in the REPSE through the digital platform of the STPS, as long as such update is part of their corporate purpose and/or preponderant economic activity.

5. Cancellation of the REPSE

The following are added as causes for cancellation of the REPSE:

• It is detected that the information or documents provided during STPS verification visits are different or inaccurate with respect to those entered into the STPS digital platform
• False information or documents are provided during STPS verification visits
• The STPS identifies noncompliance with subcontracting obligations
• The STPS notices that the employees of the specialized service provider are not registered with the IMSS or that there are irregularities in their salaries
• The STPS notices that there are irregularities with the specialized services contracts

Additionally, the specialized service providers may request at any time the cancellation of the REPSE, indicating to the STPS the reasons for such request.

Specialized service providers registered in the REPSE and the beneficiaries of such services may want to note that the verification of compliance with these regulations is currently taking place, and they may want to prepare for any visit by the STPS in order to avoid liability.