Santamarina Steta

Collective Bargaining Agreements in Mexico: term of legal standing expired

Executive Summary

  • May 1, 2023, was the deadline granted by the 2019 Labor Reform for the collective bargaining agreements in Mexico legitimization.
  • All contracts that have not been legitimized or have submitted a request for the legitimization procedure before this date have been legally terminated. 
  • The processes of the collective bargaining agreements, which currently have a legal standing procedure request in the electronic platform, must be until July 31 of the current year.

After 4 years of planning, strategy, and execution on the part of the unions, on May 1, 2023, the deadline granted by the 2019 Labor Reform for the legitimization of collective bargaining agreements in Mexico was reached, so all the contracts that have not been legitimized or filed a request for the legitimization procedure before May 1, 2023, have been legally terminated. 

The processes of the collective bargaining agreements, which currently have a legal standing procedure request in the electronic platform, must be until July 31 of the current year.

Collective bargaining agreements that have not been legitimized will be terminated, and the unions will lose the administration of such contracts and the right to collect union dues from workers. However, the termination of the contracts will not mean that the workers will lose the rights, benefits, and/or obligations agreed therein; therefore, the employers will have to respect such conditions. 

Although the term legitimizes has concluded, this does not extinguish the workers' right to enter collective bargaining agreements. However, all contracts entered into after this time must follow the process for the execution of new collective bargaining agreements established in the Federal Labor Law.

In addition, collective bargaining agreements that have been legitimized by the majority support of the workers expressed by secret ballot and under the consultation procedure established in the Federal Labor Law will remain in effect and will continue to have all their legal purposes as long as they comply with the respective formalities for their periodic review and have the support of the majority of the workers.  

The Centro Federal de Conciliación y Registro Laboral, through its web page, has established a list of labor contracts in Mexico, so it is possible to review them in the such portal: https://centrolaboral.gob.mx/listado-cct-legitimados/.

Authors

Juan Carlos de la Vega
Partner
jdelavega@s-s.mx

Andrés Rodríguez
Partner
arodriguez@s-s.mx

Francisco Udave
Partner
fudave@s-s.mx

Denisse Ávila
Associate
davila@s-s.mx