STATUTORY EMPLOYMENT BENEFITS

Starting a new job is always thrilling. It makes us nervous, but at the same time, it drives us to do our best to meet the expectations created by such job, for us to grow within the company that became our employer. In every job, employees are not only obliged to comply with certain tasks, but they also have rights that must be observed at all time, same that are set forth in the Mexican Federal Labor Law.

The mínimum rights and benefits we are entitled to according to mexican legislation are the following:

1. Christmas bonus. – An amount equivalent to fifteen days’ salary, which must be paid before December 20th every year. If you didn’t work the full year, you are entitled to the proportional part of such 15 days, according to the time you effectively worked.

2. Vacation days. – Upon completing the first year of seniority in your job, you are entitled to, at least, six vacation days. This number increases based on your seniority. For the first four years, vacation days are increased by two every year, and from the fifth year on, you are entitled to two additional vacation days every five years of work.

3. Vacation premium. – You are entitled to an amount equivalent to 25% of the salary corresponding to the vacation days you are entitled to.

4. Weekly day of rest. – You are entitled to a weekly day off for every six days of work. Additionally, you are entitled to rest on the statutory days of rest, according to the Federal Labor Law. If, for some reason, you are instructed to work on a statutory day off, you are entitled to extra pay for such day of work.

5. Sunday premium. – If, for any reason whatsoever, you have to work on Sunday, you are entitled to an extra 25% of your daily base salary for such sunday worked.

6. Maternity leave. – Working moms are entitled, during pregnancy, not to carry out any activities that require considerable efforts that may put their health -or the baby’s health- at risk. Additionally, they are entitled to six weeks of rest before and six weeks of rest after childbirth, being able to transfer up to four weeks prior to childbirth to after, in order to get additional rest after giving birth, as long as the working mom’s health is not exposed during the weeks prior to childbirth.

7. Paternity leave. – Working fathers (or soon to be) are entitled to a five-days leave of absence with pay after their child’s birth, or after adoption.

8. Adoption leave. – In cases of adoption, working moms are entitled to a six-weeks leave of absence with pay after adopting.

9. Breastfeeding breaks. – Nursing women are entitled to two daily breaks of 30 minutes each, for them to breastfeed their children.

10. Seniority pay. – Upon voluntarily terminating his employment relationship, employees are entitled to twelve days’ pay for each year of services, provided they worked a mínimum of fifteen years. Nonetheless, this seniority pay is capped two times the mínimum daily wage valid at the time of their exit.

11. Statutory profit sharing. – Employees are entitled to a share of the profits earned by the employer during the previous fiscal year. For example, a share of the profits earned during 2020 must be paid between april and may of 2021. Profit sharing is calculated based on a formula involving the employees’ seniority at work and their salary level.

12. Severance pay in case of wrongful termination. – When employment is terminated by the employer without cause as set forth in the Federal Labor Law, employees are entitled to severance comprised of three months’ integrated salary, plus the proportional parts of Christmas bonus, vacation days and vacation premium, as well as of any other extra legal benefits accrued by the employees.

13. Termination pay upon resignation. – On the contrary, if the employment relationship was terminated voluntarily by the employee, he will be entitled to the proportional parts of christmas bonus, vacation days and vacation premium accrued up until his last day of work.

It is important to take into consideration that the Federal Labor Law sets forth mínimum rights to which all employees are entitled. Employer must never pay less than what the Federal Labor Law provides. However, they are able to pay any amount above the mínimum, and even pay extra-legal benefits, such as medical insurance, food allowances, etc.