Quick Hits
- Employers may want to ensure they obtain formal employee acknowledgment of every internal policy; without proof that employees knew about a policy, enforcing it becomes extremely difficult.
- Policies must align with Mexican law—including the Federal Labor Law (Ley Federal del Trabajo), the Mexican Constitution, and applicable Official Mexican Standards (Normas Oficiales Mexicanas or NOMs)—rather than relying solely on global standards.
- To lawfully impose disciplinary sanctions, employers must have internal work regulations (reglamento interior de trabajo) in place that comply with the Federal Labor Law.
Mexico is a heavily regulated country, from the Political Constitution of the United Mexican States to the Federal Labor Law to Normas Oficiales Mexicanas (NOMs) governing health and safety, as well as other secondary provisions. These local requirements could limit or impact global policies, as mandatory local compliance is required.
Below are key tips to ensure that policies have a better chance of being enforceable:
- Formal Employee Acknowledgment
If an employer cannot demonstrate that an employee was made aware of a particular policy, enforcing that policy whether through disciplinary measures or in proceedings before labor authorities becomes significantly more difficult.
2. Alignment With Mexican Law
Internal policies built on the foundation of Mexican labor law, not merely imported from a global template, are better positioned for enforceability. The Federal Labor Law, the Mexican Constitution, Official Mexican Standards, and local regulations all impose specific requirements. A policy that is perfectly lawful in another jurisdiction may conflict with Mexican rules and become unenforceable or even expose the employer to liabilities.
3. Language Considerations
Even when an organization operates globally in English, Mexican employees and authorities expect documentation in Spanish. A policy that exists only in English can face serious enforceability challenges.
4. Periodic Review and Updates
Mexican labor law evolves frequently. Recent years alone have brought reforms related to outsourcing, telework, vacation entitlements, workplace violence prevention, and workweek reduction. Employers may want to review their internal policies periodically to ensure they reflect both current legislation and the way the company actually operates.
5. Preservation of Unwaivable Rights
Global policies sometimes include provisions such as broad liability waivers, noncompete clauses with no temporal or geographic limits, or benefit structures that fall below statutory minimums that may conflict with protections Mexican employees are entitled to by law. Under Mexican labor law, employee rights are generally considered unwaivable. Employers may want to verify that their policies preserve local entitlements before rolling them out in Mexico.
6. Local Culture and Operational Realities
What feels proportionate and reasonable in one country may not translate effectively in Mexico. Policies should be practical, written in clear language, and proportional to the conduct they address.
7. Internal Work Regulations: A Prerequisite for Disciplinary Sanctions
As an additional and critical consideration, employers may want to be aware that to lawfully impose a disciplinary sanction on an employee, they must have internal work regulations (reglamento interior de trabajo) in place. Without properly established internal work regulations, an employer’s ability to impose workplace sanctions lacks the legal foundation required under Mexican law.
In light of these considerations, employers may want to prioritize audit-ready documentation, ensure internal policies reflect current Mexican law, and conduct periodic compliance reviews. Companies with operations in Mexico that have not yet localized their global policies or formalized their internal work regulations may want to take action now to reduce enforceability risks and ensure they are prepared for future regulatory developments.
Ogletree Deakins’ Mexico City office will continue to monitor developments and will post updates on the Cross-Border, Leaves of Absence, Mexico, Unfair Competition and Trade Secrets, Wage and Hour, and Workplace Safety and Health blogs as additional information becomes available.
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