Updated on: October 1, 2025
Currency
Mexican Peso (MXN)
Employer Taxes
Employers typically contribute around 30% of gross salaries for social security and other benefits.
Payroll Frequency
Biweekly or Monthly
Employee Taxes
N/A
Language
Spanish
Date Format
DD/MM/YYYY
Mexico by the Numbers
126 million
Population
MXN 25 trillion
GDP
7
National Holidays
N/A
Hiring Difficulty Score
Weekly Working Hours
National Holidays
Leave
Employees are entitled to various types of leave, including holiday leave, sick leave, maternity leave, paternity leave, and special leave for events such as the death of a close family member or marriage. The duration and conditions for these leaves may vary based on local laws, company policies, or employment agreements.
Employment Contracts
Employers are required to provide written employment contracts and policies that outline the terms and conditions of employment, including job responsibilities, compensation, benefits, and workplace expectations, in compliance with applicable labor laws.
Types of Employment
Employees, temporary agency workers, and independent contractors are all recognized types of employment.
Employment Costs
There are no specific requirements regarding employment costs.
IC Class Factors
The classification of an independent contractor (IC) is determined by several factors, including the degree of control exercised over the individual, the level of subordination, exclusivity of the relationship, the economic risk assumed by the individual, the extent of their integration into the organization, and whether the work is subcontracted. These factors collectively help assess whether the individual operates as a self-employed business or as a dependent worker under the employer’s direction.
Labor Leasing
Labor leasing is required to be conducted in accordance with applicable labor laws if the end client has presence in Mexico.
Minimum Wage Requirements
The government sets the general minimum wage requirements normally once per year. Those are also set by Collective Bargaining Agreements.
Medical Benefits
Sick pay due to non-work-related illness or injury shall be paid by the Employer for the first 3 days and invoiced to the Client. From the 4th day up to 52 weeks, extendable for 26 weeks more, Social Security covers sick pay.
Sick pay due to work-related illness or injury shall be paid by Social Security from day one for the total number of days granted by the doctor from the Social Security Institute. Social Security covers sick pay if illness or injury is work related, under specific rules.
Probationary Periods
Probation for fixed-term contracts exceeding 6 months cannot be higher than 30 days.
Probation for all Personnel under an indefinite-term contract is for up to 30 days, except for managerial positions or specialized technical positions, in which case it cannot exceed 180 days.
Termination Notice
There is no notice to terminate a personnel under an indefinite-term contract required by law.
Severance
Severance is due in case of termination of an indefinite-term contract without just cause or early termination of fixed-term contracts by the Employer and is equivalent to 3 months of salary plus 20 days of salary for each year of service, plus a seniority premium equivalent to 12 day of salary per year of employment capped to twice the minimum daily wage per day.
Pre-hire Checks
Immigration checks are generally required for expatriates.
Personal information of Personnel, according to Data Protection Law, requires applicant’s consent.
Criminal records, possible prior an offer of employment, according to the law.
Pregnancy tests prohibited by law, in any case.
Medical exams or health-related tests are not mandatory.
Drug tests are possible only for specific job positions, according to the law.
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