Contracts in Mexico
The Active Population in Figures
|Main Indicators||2006||2007||2008 (third trimester)|
|Labor Force (Annual Growth, %)||-||-||-|
|Rate of Activity (%)||96.4||96.5||95.8|
|Unemployment Rate (%)||3.6||3.5||4.2|
|Employed Persons, by Occupation (% of Total Labor Force)||2007|
|Agriculture, cattle and fishing||2.6%|
|Transportation and Communication||5.5%|
|Enterprises, Personal and Home Services||24.2%|
|Social and Community Services||6.8%|
- For Further Statistics
Statistics Information from the Mexican Government
Management of Human Resources
- Method of Recruitment
- Enterprises use specialized methods of recruitment, but personal recommendations by word of mouth are also frequently used. However, applying for a job by Internet is becoming more and more popular.
- Recruitment Agencies
- Occ, Trovit, Bumeran.
- Recruitment Websites
Mexican Job Offers
- Type of Contract
- Employment contracts can be for a specific job assignment or for a fixed period of time. If there is no stipulation, it is for an indefinite period of time.
- Breach of Contracts
Reasons to break a job contract:
- False information given by the employee or the syndicate, fake certificates or references.
- Get involved in violent acts, lack of honesty or maltreatment against supervisors.
- Produce material damages intentionally during working hours.
- Reveal confidential information of the enterprise.
- Working under the influence of alcohol or drugs.
An employee can break his job contract anytime, with a justified reason and without incurring responsibility. Justified reasons are:
- Deception on the part of the supervisor or the management group.
- Violence, lack of honesty, threatenings against the employee or his family.
- Reduction of the employee's salary.
- Evidence of an existing danger to the employee's safety or health.
- Labor Laws
Federal Work Legislation
- Cases of Dispute
- Working conditions, unfair dismissal, sexual and moral harassment, verbal violence, physical violence.
- Legal Framework
- Labor conflicts are regulated by the Federal Labor Law and the article 123 of the Mexican Constitution.
Once the three representatives of the sectors (a government representative, an employee and one of the managers) are reunited at the Board of Conciliation, the situation is negotiated in order to reach a settlement convenient for all parties. The board can try to conciliate, but if they do not want or if they do not reach an agreement, they will initiate a process of arbitration.
For more information, consult Art. 123 of the Mexican Constitution
- Legal Framework
- The Federal Labor Law gives the power to the Federal Board of Conciliation and the Board of Conciliation and Arbitration, to act as conciliatory instances for the workers and their managers.
- Competent Legal Body
- The Board of Conciliation and Arbitrage and The Federal Board of Conciliation depend of the Ministry of Labor and Social Security.
- Social Dialogue and Involvement of Social Partners
- Mexican syndicates (or unions) are divided and organized by activity sectors and they have a relative power. Most of them are affiliated to The Confederation of Mexican Workers (CTM). It must be considered that the syndicates have been developed as institutions of 'social resistance' which prevent, in many cases, structural reforms as well as the economic development of the country.
- Unionization Rate
- 30 %.
Confederation of Mexican Workers
- Regulation Bodies
Ministry of Labor and Social Security
Confederación Patronal de la República Mexicana (COPARMEX)
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Debt collection and litigation, Mexico