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Amendment Of Mexican Labor Law Is Finally Effective

Author:Mr Pietro Straulino-Rodriguez and Ana Paula Delsol Espada
Profession:Ogletree, Deakins, Nash, Smoak & Stewart
 
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After only five months in office, President López Obrador—who won by a landslide during the last presidential election and whose political party holds the majority of Congress—amended the Mexican Federal Labor Law and other applicable laws on May 1, 2019. The Mexican labor law amendment was pending per the latest constitutional reform in February 2017 and, strictly speaking, this amendment was delayed but is finally on track.

International treaties such as International Labour Organization Convention 98 (The Right to Organize and Collective Bargaining Convention, 1949) and the United States-Mexico-Canada Agreement (USMCA) gave a little push to the Mexican government to get the Mexican labor law amendment back on track. The amendment's main pillars are the following:

Incorporation of a National Federal Registry of Unions and CBAs and Conciliation Center.

Within the next 180 days, Congress needs to draft the law that will regulate this registry and conciliation center. This registry and conciliation center shall be operating approximately two years from now and their main activities will be the following:

Conciliation: Prior to any labor claim being filed, every employee will need to attempt to solve his or her (and even union) issues amicably by trying to conciliate by negotiating. If a solution to the dispute through conciliation is not possible, then a certificate will be issued by the center. The certificate will be a requirement for filing a labor suit before the courts.

National Registry: All unions and collective bargaining agreements (CBAs) will be registered before this institute. The new law will stipulate requirements where transparency and liberty will be the basis for unions to register and to operate, union directives will need to be voted on via a transparent procedure, and CBAs around Mexico will be filed and deposited in the registry.

Certificates. Finally, the conciliation center will issue certificates to unions demonstrating that the union has a sufficient percentage of representation prior the union files for a CBA or strike.

Labor Courts

Labor courts will now depend on the judicial branch, which will need to be incorporated. It is expected that local courts will be ready within three years and the federal courts will be ready in four years. Local courts will have jurisdiction...

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