Employer of Record Mexico
Mexico Statutory Leave
Employer of Record Mexico
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Mexico Maternity Leave
Pregnant employees are entitled to 12 weeks of paid maternity leave, which must begin 2 to 6 weeks before the expected due date. The leave is mandatory, and must be taken in one unbroken period, no breaks are allowed.
Maternity leave may be extended if the employee is unable to return to work due to the pregnancy/birth, or if the child is born with a disability.
Maternity leave is paid by social security at 100% of the employee’s usual salary, capped at 25 times the minimum wage. In cases where the employee’s salary exceeds this limit, the company may pay the extra needed to meet the employee’s full salary.
Paternity Leave in Mexico
The partner of a person who has just given birth is entitled to 5 days of paid paternity leave. This may be extended in cases where the child is born with a serious illness, or on the death of the mother.
Paternity leave is paid for by the employer at a rate of 100% of the employee’s salary. Extended paternity leave is unpaid.
Adoption Leave in Mexico
On the adoption of a child, female employees are entitled to take 6 weeks of paid adoption leave, and male employees are entitled to 5 days of paid adoption leave. This leave begins on the day the child is placed into their care.
Mexico Annual Leave
Paid annual leave entitlements in Mexico begin at a base level of 12 days per year, increasing in line with the length of time the employee works for the same company.
For the first 5 years of employment, an employee gains an additional 2 days of paid leave per year of employment, and thereafter gain an additional 2 days of paid leave for every 5 years of continuous service, as in the table. It is common in Mexico for employers to offer extra days of paid leave for the first few years of employment, bringing a new hire’s entitlement in line with slightly more senior members of staff.
Leave must be taken, and cannot be cashed out. Untaken leave carries over for 18 months, with employers being expected to ensure their employee’s use all their holiday entitlements.
Length of Service
6 – 10 years
11 – 15 years
16 – 20 years
21 – 25 years
Public Holidays in Mexico
There are 8 public holidays in Mexico, including the following:
- New Year’s Day – January 1st
- Constitution Day – First Monday in February
- Benito Juarez’s Birthday – Third Monday in March
- Holy Thursday and Good Friday – Moveable dates in March or April
- Labor Day – May 1st
- Independence Day – September 16th
- Revolution Day – Third Monday in November
- Christmas Day – December 25th
Some of these holidays, such as Holy Thursday and Good Friday, may not be observed as public holidays in all parts of Mexico. Additionally, some regions may have additional local holidays that are not observed nationally.
Mexico Sick Leave
Employee’s who are unable to work due to illness or injury may be entitled to 52 weeks of paid sick leave, with the potential for this to be increased under certain circumstances. To be eligible for paid sick leave the Mexican Social Security Institute, (IMSS), must certify the illness or injury.
Sick leave is paid for by the IMSS at a rate of 60% of the employee’s regular salary, or 100% of the employee’s regular salary if the injury or illness is work related.
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We are Mexico Employer of Record experts
We have extensive experience helping businesses expand their workforce in Mexico. Take a look at our areas of expertise to find out more:
Unsure what’s required when employing staff in Mexico? Find out about Mexico Work Permits and Visas here
Wondering what it’s like to work in Mexico? We’ve got you covered in our extensive guide
Learn more about how you can attract and retain staff in Mexico with both statutory and enhanced employee benefits
Without Agility EOR, our ability to move quickly and scale would be extremely limited. Superb work from A to Z.
Frequently Asked Questions
Payrolling the employees is a key part of the service offered by an employer of record company. The EOR will calculate and remit all taxes, social securities and similar payments, on behalf of both employer and employee. The client will be invoiced in advance by the EOR company, for the total cost of the payroll.
Yes. Our clients are free to dictate the structure of the employees’ remuneration including any bonuses or commissions they wish to offer. In some countries, there is a statutory requirement to provide “bonuses”, for example in the form of Christmas or holiday allowances.
Yes. Agility EOR will calculate what pay is due upon termination of an employee, factoring in such things as any untaken leave entitlements.
We find that most of our clients are in the Tech, IT, Finance and Professional Services industries. However, we have acquired the skills, knowledge and experience to help all industries across the globe.
As a private company, we’re not beholden to shareholders or asset-shredding Private Equity targets. We aim to build long-term relationships with our clients. At Agility EOR, our approach is that we never forget that our business is all about people. Our Employer of Record solutions are tailored to each requirement, not a one-size-fits-all tech platform. We do the right thing by our clients and by the laws of each country we operate in. And we believe in openness; if we don’t feel we can offer you the best solution for a specific territory, we’ll say so.
We pride ourselves on our personable-approach so once you enter your new employees details into our dedicated platform, we’ll arrange a call with you to go through the details of the employment contract where together we can review and amend to your requirements. We liaise directly with your employee to build a rapport and obtain the necessary information to hire them compliantly, and set them up ready for their first payroll.
We never stop delivering! Even if you’re employee has been onboarded and is happily working for you and being paid each month, we’re here to partner with you whenever you or your employees need us. Even your ex-employees may need our assistance for tax documents, proof of employment requests etc… Our service never stops!