Mexico's expected labor reforms: A vote is expected on newly revised proposals in April, and we are waiting for an analysis of the new provisions as compared to the earlier drafts. A summary of the new regulations will be included in a future newsletter and one or more meetings will take place to review details and implementation options for employers. A second session dealt with the ongoing efforts by employers to move from hidden (though legal) protective agreements to activating the relationship by introducing the union relationship to employees and providing a more transparent structure.
Brazil was a focus for one new requirement as well as the continuing impact of the labor reforms from 2017. There are new Brazilian data privacy requirements coming which are modeled on the EU’s GDPR standards, and they may require a similar level of attention to achieve compliance. The 2017 labor changes continue to have major implications, and the statutory obligation for employees to authorize employers to make union dues deductions has resulted in a reduction of union revenues by almost 90%. It appears that foreign (non-Brazilian) employers have been slower to take this action, although several LAMERG members in attendance reported no negative impacts from ending deductions.
Venezuela’s ongoing issues (see the nearby article on actions which companies are taking to support employees) are well known, although less understood is a potentially critical brand issue to pay the governmental fees for trademarks in the new Venezuelan crypto-currency, the Petro. The U.S. has imposed significant restrictions on the use of the currency.
If you have specific questions or need additional information, please contact LAMERG Executive Director Steve Gilbert at [email protected].
