Reduction of Working Hours in Mexico

As a result of the constitutional reform to Article 123 (published on March 3, 2026), on May 1, 2026, amendments to the Federal Labor Law (LFT) were published in the Official Gazette of the Federation to reduce the working day.

The reform has a direct impact on the working hours, overtime, attendance records and operational schemes of companies in Mexico, establishing a gradual reduction of the maximum weekly working day from 48 to 40 hours, which must be implemented progressively until 2030.

Entry into force and transitional regime

The decree came into force on May 1, 2026. The reduction in working hours and the new limits for overtime will be applied gradually, according to the following table:

Impact on companies

The gradual reduction will require reviewing operating schemes, shifts, staffing, budgets, collective agreements, internal policies, and attendance control, especially in sectors with continuous or multishift operations such as manufacturing, logistics, retail, hospitality, health, private security, and shared service centers.

Overtime

Overtime will be paid twice as much as up to the legal limit; those that exceed will be paid three times. Gradualness seeks to prevent the reduction in working hours from being compensated with regular overtime work, which should be reserved for exceptional situations. The sum of ordinary and overtime working hours may not exceed 12 hours per day.

Ordinary working hours

The maximum daily duration remains the same:

• Daytime shift: 8 hours
• Night shift: 7 hours
• Mixed day: 7.5 hours

Likewise, the prohibition of inhumane working days, the obligation to grant at least 30 minutes of rest in continuous shifts and the provisions related to safety and health conditions at work are maintained.

Electronic registration required

As of January 1, 2027, employers must electronically record the start and end of each worker's working day and provide this information to the authority when required. The Ministry of Labor and Social Welfare will issue the general provisions and exceptions before that date.

Likewise, this reform strengthens the inspection and inspection powers of the labor authority with respect to the control of working hours and overtime, particularly through the mandatory use of electronic attendance records.

The electronic registry may be full evidence in labor lawsuits if it was agreed between the worker and the employer. Failure to register can imply fines of 250 to 5,000 UMAs, in accordance with article 994, section IV Bis of the LFT.

Weekly rest and holidays

The right to one day of rest for every six days worked with full pay is maintained, in accordance with article 69 of the LFT. Working on a day of rest or public holiday generates additional double pay, and working on a Sunday includes a Sunday premium of 25%.

Implications for companies

The reform seeks to grant more time for rest and family life, but it also implies a structural change for organizations, which must adapt their operating models and productivity strategies.

It is advisable to keep in mind:

• Evaluate operational and financial impact.
• Review shifts and coverage.
• Analyze risks of frequent overtime use.
• Implement or strengthen electronic attendance control.
• Review contracts, regulations and internal policies.
• Identify critical areas that require more staff.
• Evaluate implications in collective agreements and unions.
• Explore automation and operational redesign.

This reform represents an opportunity to modernize and make work models more efficient, anticipating an orderly transition to the 40-hour day.

In case of any particular questions, please contact the following professionals:

Legal – Labor