Mexico will gradually reduce legal maximum working hours from 48 to 40 hours per week starting in January 2027. The change aims to improve employee wellbeing and align the country with international labor standards.

Update: A constitutional amendment was published in the Official Gazette on 3 March 2026 to implement the legal maximum working hours reduction from 48 to 40 hours per week. The reduction will be implemented at a rate of two hours per year from January 2027 to January 2030. Operational details, such as the adjustment of overtime rules, are expected to be set out in amendments to the Federal Labor Law by 1 June 2026.

Background

The gradual reduction in maximum working hours was announced by the Ministry of Labor and Social Welfare on 1 May 2025. The government subsequently convened public consultations in June and July 2025 to discuss the proposed change with representatives from labor unions, employers, academics, and civil organizations.

A constitutional amendment to effect the change was published in the Official Gazette on 3 March 2026, with the first reduction in maximum working hours to take effect in January 2027. Operational details, such as the adjustment of overtime rules, are expected to be set out in amendments to the Federal Labor Law by 1 June 2026.

Key details

Reduction in maximum working hours

The maximum working hours per week will be reduced at a rate of two hours every 1 January, starting in 2027, without any reduction in employees’ wages and benefits, as follows:

Operational details on the implementation of gradual reduction in maximum working hours are expected to be set out in the upcoming amendments to the Federal Labor Law.

Changes in overtime rules

Currently, employees are permitted to work up to nine overtime hours per week (up to three hours per day and up to three times per week), which is paid at double wages. Any overtime exceeding nine hours per week is currently paid at triple wages.

Given the gradual reduction in weekly maximum working hours, the following changes are expected to be made to the current overtime rules:

Employees will be permitted to work up to 12 double-paid overtime hours per week (up to four hours per day and up to four days per week).

A new limit of four hours per week shall apply to any triple-paid overtime exceeding the above-mentioned double-paid overtime hours.

Employees may only work up to a combined total of regular and overtime (whether double-paid or triple-paid) hours of 12 hours per day.

The increase in maximum double-paid overtime hours from nine to 12 hours is expected to be gradually phased in as follows:

Operational details on the changes in overtime rules are expected to be set out in the upcoming amendments to the Federal Labor Law.

Prohibition on overtime work for minors

The constitutional amendment also prohibits overtime work for employees under 18 years of age. This change took effect on 3 March 2026.

Employer action: PREPARE TO ACT

The reduction in maximum working hours will have an impact on employers’ operational and manpower arrangements. However, for some sectors with collective agreements that already provide for maximum working hours of 40 hours, the impact of the reduction will be limited.

It is essential that employers identify potential effects of the reform on productivity and staffing, as well as solutions to mitigate such effects. In cases where it is necessary for workers to work beyond the maximum working hours, the additional costs associated with overtime pay, the maximum overtime allowed, and prohibitions on labor exploitation, such as forced labor, must be considered.

In addition, employers should review and prepare to update their internal policies and processes, employee handbooks, and payroll systems on an annual basis to reflect the changes.

Employers should monitor the release of the expected amendments to the Federal Labor Law as these will provide further clarity on how the changes will be affected. Once the amendments have been published, the Lockton Global People Solutions Compliance Practice will update this article accordingly.

In collaboration with Jorge De Presno, David Puente Tostado and Luis Alvarez of Basham, Ringe y Correa S.C.

Further Information

On Labor Day, President Claudia Sheinbaum announces dialogue tables to implement, by consensus, the 40-hour workweek | Presidency of the Republic | Government | gob.mx (opens a new window)

President Claudia Sheinbaum Announces Reform Bill for the Gradual Implementation of the 40-Hour Workday | Presidency of the Republic | Government | gob.mx (opens a new window)

Decree amending sections IV and XI of Section A of Article 123 of the Political Constitution of the United Mexican States, regarding the reduction of the working day | Official Gazette of the Federation (opens a new window)