Navigating Labor Inspections in Mexico: Key Information to Consider

Quick Hits

• Inspections conducted by Mexico’s local and federal labor authorities serve as a mechanism to verify companies’ adherence to the Federal Labor Law regulations. These inspections can result in sanctions and fines if noncompliance is found.
• Employers are required to permit inspections and provide the inspector with the necessary information and documents to demonstrate compliance with labor and employment obligations.

General Overview of Inspections and the Inspection Process

The General Regulations for Labor Inspections and Application of Sanctions outline the rules and procedures that must be followed during inspections. Inspectors must visit the company’s workplace to conduct the inspection, which involves asking questions and requesting documentation to verify compliance.

There are two types of inspections established by the law:

1. Ordinary. Ordinary inspections are routine checks conducted by the STPS to ensure ongoing compliance with labor laws. These inspections are scheduled, and employers know when they are going to take place, as the STPS gives prior notice.
2. Extraordinary. Extraordinary inspections are unscheduled and typically arise due to specific circumstances or complaints. The STPS is not mandated to give prior notice to employers, so they can take place whenever the authority determines.

Inspections can be conducted to review various aspects such as general working conditions, health and safety, training and development, profit-sharing payments, or compliance with Mexican Official Standards (Norma Oficial Mexicana (NOMs)). The specific documents, information, and obligations to be reviewed during the inspection will be detailed in an inspection writ.

At the conclusion of the inspection, the inspector will determine whether each obligation has been met in the response writ. If the inspector identifies any noncompliance, the subsequent steps in the inspection process may lead to the imposition of sanctions and fines on the company.

Tips for Inspection Processes

Given that inspections can be conducted on any employer to verify compliance with labor and employment obligations, it is crucial to be prepared and knowledgeable about the process. Here are some general tips to effectively manage an inspection:

1. Permitting the Inspection: Inspectors must be allowed to proceed with their inspections after they have identified themselves and presented the inspection writ.
2. Training Staff: Consider ensuring that staff are well-trained to handle the inspection process correctly.
3. Presenting Evidence: After the inspection, the employer has five business days to submit evidence and arguments demonstrating compliance with labor and employment obligations.

Following these tips can be useful to avoid any fines or sanctions for noncompliance.

Ogletree Deakins’ Mexico City office will continue to monitor developments and will provide updates on the Cross-Border blog as additional information becomes available.

Pietro Straulino-Rodríguez is the managing partner of the Mexico City office of Ogletree Deakins.

Natalia Merino Moreno is an associate in the Mexico City office of Ogletree Deakins.

María José Bladinieres is a law clerk in the Mexico City office of Ogletree Deakins.

Follow and Subscribe
LinkedIn | Instagram | Webinars | Podcasts