More than 70 senior HR and business leaders gathered in Mexico City for a Global Luncheon hosted by the CHRO Association and Fisher Phillips. The event spotlighted Mexico’s rapidly evolving labor landscape—from wage and hour reform to union processes and cross-border compliance under the USMCA.
The future of Mexican labor relations: Mr. Alejandro Salafranca Vázquez opened with a detailed outlook for 2025, noting the government’s determination to make formal employment more attractive through multiple reforms.
He cautioned employers to anticipate ongoing regulatory adjustments and rising employment costs, emphasizing that proactive adaptation will be key to sustaining competitiveness.
“Formal employment must not only be mandatory—it must be desirable,” Mr. Vázquez stressed.
Navigating shorter work weeks: The second discussion explored the potential impact of reduced working hours on productivity, cost, and workforce engagement.
Panelists agreed that 46 hours per week is a realistic benchmark for 2026 budget planning, while encouraging early hiring and talent strategy reviews.
Despite cost pressures, Mexico remains one of the most attractive markets globally, especially amid U.S.–China geopolitical tensions and near-shoring trends.
“Labor costs may rise, but so does opportunity,” one panelist noted.
USMCA and union activity under the spotlight: Led by Marco Antonio Medellin Torres from Carrier, the third session offered a high-level overview of the USMCA’s Rapid Response Mechanism and Mexico’s labor reforms.
Panelists underscored the importance of active, structured engagement with unions and maintaining clear documentation to mitigate compliance risks.
The session also clarified how Rapid Response cases are triggered and handled, reinforcing the need for employer readiness and strong internal controls.
Final takeaways: The program concluded with shared optimism and tangible next steps for HR leaders operating in Mexico. The consensus: 2025 will demand vigilance and agility as employers navigate reform-driven changes—while seizing the opportunities that make Mexico a growth hub in the region.

Wenchao Dong
Senior Director and Leader, HR Policy Global, HR Policy Association
Contact Wenchao Dong LinkedIn