Mexico is not a place for legal improvisation—especially when it comes to labor compliance. Its legal framework is one of the most comprehensive and worker-protective in Latin America. Yet, many companies —local and international alike— launch operations without meeting even the most basic obligations regarding employment contracts, social security registration, or working conditions.
This silent mistake can lead to multi-million-dollar fines, union blockades, lawsuits, contract termination, and even forced shutdowns. In high-turnover or union-sensitive sectors, operating without full compliance isn’t just risky—it’s reckless.
Employment Contracts: The First Step… and Most Commonly Overlooked
Every employee in Mexico must have a written individual employment contract that clearly outlines:
- Working hours, salary, responsibilities, and contract duration
- Provisions aligned with the Federal Labor Law (LFT)
- Mandatory benefits: year-end bonus, paid vacation, holiday premiums, etc.
Using foreign templates or verbal agreements is legally invalid—and leaves your company exposed in the event of a labor dispute.
Mandatory Social Security Registration: IMSS, INFONAVIT, AFORE
Employers are legally required to enroll their workforce in three key institutions:
- IMSS: medical coverage, work-related injury insurance, sick leave
- INFONAVIT: employer housing fund contributions
- AFORE: mandatory retirement savings
Failing to comply can lead to:
- Retroactive fines and interest
- Disqualification from deducting payroll for income tax
- Exclusion from public tenders
- Joint liability for contractor or supplier noncompliance
Psychological Safety and NOM-035 Compliance
Since 2019, companies in Mexico must comply with NOM-035-STPS-2018, which regulates the identification and management of psychosocial risks in the workplace.
This includes:
- Administering official stress and workplace climate assessments
- Training for managers and supervisors
- Clear internal policies on workplace violence and harassment
- Documented protocols for psychological incidents
Neglecting this standard can result in inspections, fines, and legal claims for emotional distress.
Internal Work Rules (RIT)
The Internal Work Regulations (RIT) establish your company’s internal legal framework. They define:
- Code of conduct
- Schedules, breaks, and disciplinary measures
- Procedures for handling misconduct
This document must be registered with labor authorities. Without it, you’ll have limited legal defense in internal disputes.
✅ Labor & Social Security Compliance Checklist for Companies in Mexico
Use this checklist as your baseline for compliance. If even one box is unchecked, it’s time to act.
📄 Employment Contracts
□ Written and signed individual contracts (LFT-compliant)
□ Clear clauses on salary, hours, duties, and benefits
□ Signed on or before the first day of work
□ Copies filed and shared with employees
□ Official translations for expatriates (if applicable)
🏥 Social Security Registration
□ Company registered with IMSS, INFONAVIT, and AFORE
□ Employees enrolled with accurate, real wages
□ Timely monthly payments of employer-employee contributions
□ Proper handling of medical leaves and work injuries
□ Required filings with INFONAVIT and CONSAR
🧠 NOM-035 Compliance
□ Official psychosocial assessments administered
□ Results documented and stored
□ Internal violence and harassment prevention policies
□ Managerial training on stress-related risks
□ Incident management protocol in place
📘 Internal Work Regulations (RIT)
□ Drafted in compliance with the LFT
□ Reviewed and validated by legal experts
□ Officially registered with labor authorities
□ Communicated to all employees
□ Supervisors trained in enforcement
📊 Internal Audits & Documentation
□ Complete employee files: contract, CURP, RFC, IMSS, etc.
□ Incident and sanctions logs based on RIT
□ Payroll aligned with legal CFDI standards
□ Proof of legal and fiscal compliance
□ Annual legal review of HR and payroll systems
How GL&Z Abogados Can Help
GL&Z Abogados, a legal partner of Arriving Mexico, specializes in labor law and social security compliance. Their team supports companies across industries in:
- Labor compliance diagnostics
- Drafting legally enforceable employment contracts
- Registering employees with IMSS, INFONAVIT, and AFORE
- Implementing NOM-035 compliance measures
- Drafting and registering your Internal Work Rules (RIT)
- Representing companies during labor inspections or disputes
📩 If even one checkbox is left blank—your operation is at risk. Book a preventive labor audit today.