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Author:Mr Jorge De Presno and Alvaro Gonzalez Schiaffino
Profession:Basham, Ringe y Correa, S.C.

On April 28, 2016, President Enrique Peña Nieto sent to the Senate two bills for amendments to Articles 107 and 123 of the Mexico's Federal Constitution and for additions to the Federal Labor Law covering: (i) union contract registration and filing requirements, (ii) rules to exercise the right to strike in order to execute a union contract, and (iii) rules on evidence of headcount representation in case of a labor dispute.

The statement of purpose for the bill on amendments to the Mexico's Federal Constitution acknowledges the imminent need to modernize certain institutions and the labor justice system. The intention is to transform the current Conciliation and Arbitration Boards, both federal and state, into regular courts. If the bill is passed, this will eliminate the concept of special board president, who will become a judge, and the decisions issued by the current labor boards will no longer be called "awards" but rather "rulings and judgments."

To strengthen the conciliation function contemplated by the 2012 Labor Law Reform, one or more Conciliation Centers will be created, both at federal and state levels, for the purpose of holding mandatory individual conciliation hearings. The federal Conciliation Centers will have jurisdiction on: (i) registration of union contracts and labor organizations, and (ii) other administrative-law actions related to such registrations.

On the other hand, the proposed amendment to the Federal Labor Law seeks to improve the statutory procedure for filing and registering union contracts. It proposes that for the first-time registration of a union...

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