Key Developments in Mexico: Updates to the Workweek and Overtime

On March 3, 2026, Mexico published a decree reforming its constitution to gradually reduce the workweek from 48 hours to 40 hours. The reform seeks to reduce employee fatigue and occupational accidents by increasing rest time.

As of January 1, 2027, the work schedule will be gradually reduced by two hours, eventually reaching a maximum of 40 hours per week in 2030. The reduction in workweek hours will be implemented as follows:

Year Applicable workweek hours
2026 48 hours
2027 46 hours
2028 44 hours
2029 42 hours
2030 40 hours

Like Mexico’s Federal Labor Law, employees must be granted at least one day of rest with full pay for every six days of work. Employers may not reduce the weekly work schedule if it results in a decrease in an employees’ wage, salary, or benefits.

Overtime Changes:

The constitutional amendment also established a new overtime scheme. Overtime may not exceed four hours per day or 12 hours per week. Overtime may be distributed up to four hours per day over a maximum of four days within the same period (currently, the Federal Labor Law allows up to nine overtime hours distributed over three days per week). The first 12 overtime hours will be compensated at a 100% premium above the regular hourly rate  (i.e., double overtime pay). Any overtime hours in excess of this limit will be compensated at a 200% premium (i.e., triple overtime pay). The reform expressly prohibits individuals under the age of 18 from performing overtime work.

The Congress of the Union will have a period of 90 days to make the necessary changes and adjustments to the Federal Labor Law.

Recommendations for Employers

There are several next steps for employers to consider:

  • Review and update workweek schedules to ensure compliance with reduced work time and to identify any schedules exceeding the new limits.
  • Update timekeeping and payroll systems to align with the new requirements.
  • Assess the economic and operational cost of the new workweek schedule and overtime policies.
  • Review and update all employment documents — including employment agreements, collective bargaining agreements, handbooks, human resource policies, and overtime policies — to align with the new rules.
  • Train human resources and management on the updated workweek and overtime policies.
  • Designate a team to conduct regular audits of time records and work schedules to ensure ongoing compliance.

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