Mexico approves phased reduction of standard workweek to 40 hours

Employers must adjust work schedules and overtime structures progressively

Change
Mexico approved a bill to reduce the standard workweek from 48 to 40 hours through phased implementation to 2030.
Why it matters
The reform reduces standard hours while permitting expanded overtime, requiring employers to update contracts, payroll systems and workforce scheduling.
Implications
  • Employers must restructure working hours — non-compliance risks labour law violations
  • Payroll systems must separate regular and overtime hours — errors risk penalties

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