New Requirements for Digital Platform Worker Protection in Mexico

Effective on July 1^st, the Mexican Social Security Institute provides guidelines to ensure social security and other protections for platform workers. 

HR Policy Global’s Take: While companies like Uber, Didi, and Rappi, need to ensure compliance with the new law, it is crucial for global companies to keep an eye on the new developments as the changes could impact the regulations on other categories of workers, such as contractors or seasonal workers. 

Key requirements include:

• Universal initial affiliation: Digital platforms must register all workers who make minimum salary with the Mexican Social Security Institute (IMSS) from their first month of work.
• Monthly insurance coverage determination: Every month, platforms are required to report which workers meet the minimum net income requirement to maintain their insurance coverage, ensuring transparency and accountability.
• Occupational hazard coverage: Regardless of income threshold, workers will be covered for any accidents or illnesses that occur while working on the platform.
• Transparency in contributions: Employer-employee contributions need to be calculated, withheld, and paid by the 17th of each month. Membership transactions should be submitted within the first five days of the month to ensure timely compliance.
• Integration with existing benefits: Workers who already receive pensions or are enrolled in voluntary schemes will continue to enjoy these benefits without interruption.

Pilot program insights: The 180-day pilot program, mandatory for platforms like Uber, Didi, and Rappi, aims to test the new changes and provide insights for final legislation. Approximately 700,000 workers are expected to be impacted by this initiative.