HR Policy Global
News

Sheinbaum’s First Year Highlighted by Minimum Wage and Worker Protections

In her first year as president, Claudia Sheinbaum has made wage increase and social justice the hallmarks of her labor agenda, according to the government’s inaugural report released last week.

HR Policy Global’s Take: The president and government will continue their strong worker-protection policies. For more information, we invite you to register for our upcoming CDMX meeting and join our discussion.

Minimum Wage Increases

On January 1, 2025, a 12% increase in the minimum wage came into effect, raising the rate to 278.80 pesos per day for general and 419.88 pesos per day in the Northern Border Free Zone. The measure directly impacted more than 8.4 million workers registered with Mexico’s Social Security Institute (IMSS).

In Mexico, minimum wages have grown dramatically since 2018:

  • 131.5% increase in the General Minimum Wage Zone.
  • 248.7% increase in the Northern Border Free Zone.
  • Real wages for IMSS-affiliated workers have risen 26.6% overall.

Low-income earners have gained the most, with the bottom 10% seeing increases of 203% (border zone) and 113% (general zone).

The Ministry of Labor and Social Welfare (STPS) also restated the ambitious goal of ensuring that by 2030 the minimum wage will be 2.5 times higher than the Urban Income Poverty Line. “These advances reaffirm that it is possible to strengthen purchasing power without destabilizing the economy,” Sheinbaum said, calling the wage hike an “act of justice.”

Beyond Wages: Expanding Worker Protections

The administration also launched platform labor reforms, extending comprehensive social security to app-based workers. Over one million workers now benefit from accident insurance or full coverage, depending on their income level.

Looking Ahead: AI, Climate, and Workweek Reduction

While celebrating wage gains, the STPS also flagged emerging challenges for Mexico’s workforce. Priorities include:

  • Regulating Artificial Intelligence (AI) in the workplace to safeguard worker well-being.
  • Addressing climate-related health risks for aviation and other sectors.
  • Gradually reducing the workweek to 40 hours, aligning with global labor standards.

A Year of Consolidation

As the administration moves into its second year, wage policy will remain the centerpiece of Sheinbaum’s labor agenda—anchored by the promise that by 2030, no worker in Mexico should earn less than what is needed to support a family with dignity.

Published on:

Authors: Wenchao Dong

Topics:

MORE NEWS STORIES

Continue reading this content with the HR Policy Global Membership package