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#HIRE Mexican

We take a hands-on approach to employee administration in Mexico.

Mindfacturing® by Prodensa aims to build a more integrated region by increasing access to a local labor force of cost-beneficial talent in Mexico via a binational employment solution.

20% OPERATIONS
20% Services
15% Engineering
15% Software
10% Management
10% Support
5% Design
5% ADMINISTRATION

MINDFACTURING MODELS

Mindfacturing allows you to hire employees in Mexico through different modalities.

KICK-START

Employer of Record
Expense Management
HR Department
Payroll Administration
Hire Remote Employees in Mexico

TALENT

All of Kick-Start
Market Benchmark Analysis
Training Program Manager
Build Agile Teams throughout Mexico

SUITE

All of Talent
Customized Policies
Office Space Administration
Dedicated Legal Entity
Develop and Run a Talent Center in Mexico

Hiring Employees in Mexico

  • Minimum Benefits
  • Working Schedules
  • Employment Contracts
  • Employment Termination
  • Teleworking

A SET OF BENEFITS ARE REQUIRED BY LAW IN MEXICO

In Mexico, employers have to pay minimum benefits requirements by law, including 15 days of Christmas bonus, 12 days of paid time off plus 25% of paid vacation bonus for time used.

Among many sectors such as manufacturing and technology, market competitiveness drives higher benefits. Mindfacturing provides a solution aimed at attracting and retaining top talent in these sectors, among others.

MEXICANS WORK SIMILAR SCHEDULES, WITH MANY OVERLAPPING HOLIDAYS.

The legal work week in Mexico consists of 48 hours of work. These hours are usually divided over 6 labor days, 8 hours each. In office jobs, these hours are often divided between 5 labor days, Monday to Friday. Regardless of the schedule, each day of the week is paid, whether the employee works or not. At least 1 rest day is given per week. Negotiated salaries are expressed in pesos per month.

The Mexican Federal Labor Law establishes 9 mandatory holidays for employees. If employees are required to work on a mandatory holiday, they are entitled to 200% premium in addition to their regular payment.

THERE IS NO EMPLOYMENT AT WILL IN MEXICO.

There are two main types of employment contracts for employees in Mexico: indefinite contracts or definite contracts.

  • Indefinite Contracts - these employment contracts are characterized by stability without an end-date for employment. The contract continues as long as both parties uphold their bargains.
  • Definite Contracts - also called temporary employment contracts, are characterized by a defined or specific period of time. They are agreed upon when required by the nature of the work provided. This may also encompass trial periods for employment.

 

IN MOST CASES, SEVERANCE IS REQUIRED TO BE PAID TO THE EMPLOYEE.

The termination of an indefinite employment contract requires an employer-paid severance, including:

  • 3 months of base salary, plus
  • Seniority Premium of 12 days of base salary for each year of service (capped at two times the minimum daily salary) for employees with more than 15 years of seniority, plus
  • Seniority severance, if applicable, of 20 days of base salary for each year of service
  • Due benefits and other payment reimbursement

The Mexican Federal Labor Law outlines a number of justified causes for the dismissal of an employees, including falsification, harassment, sabotage, disclosure of trade secrets, insubordination, incarceration, violence in the workplace, etc. The burden of proof lies on the employer, and requires sufficient documentation prepared for the labor conciliation. In these cases, legal severance may not be required.

NEW IN 2021, ACCOMMODATIONS ARE REQUIRED.

In January 2021, the Mexican federal government defined a new labor concept in response to the global pandemic and its subsequent trend in home office work schemes. Telework is the performance of paid activities in a place other than the employers workplace on a regular basis, at least 40% of the time. There are some small obligations of the employer to support the infrastructure for the home office of the employee.

ARE YOU CONSIDERING SETTING UP YOUR OWN LEGAL ENTITY IN MEXICO?

We do that too.
FEATURE DOWNLOAD

HOW TO HIRE EMPLOYEES IN MEXICO

An overview of the Mexican labor law and best practices for hiring employees in Mexico.
Screenshot 2024-03-26 at 10.02.25 p.m.

BENEFITS OF MINDFACTURING® IN MEXICO

  • Competitive Labor Costs
  • Regional Time Zones
  • Cultural Similarities
  • Choose Candidates
  • Travel Proximity
  • English / Spanish
  • Globally-Engaged Firms
  • Best Practices

Contact Us

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