Mexico reduces weekly working hours and introduces overtime caps and tracking obligations

At a glance

• A reform to the Federal Labor Law published on May 1, 2026, introduces a gradual reduction in weekly working hours between 2027 and 2030.
• Daily maximum working hours remain unchanged, with limits of eight hours (day), seven hours (night), and seven and a half hours (mixed shifts).
• New overtime caps are introduced, limiting overtime to 12 hours per week (with an additional four hours permitted at a higher rate), alongside progressive increases from 2026 to 2030.
• Employers must implement an electronic system to record working time, with non-compliance subject to financial penalties.
• The reform entered into force on May 1, 2026, with the electronic time tracking requirement applying from January 1, 2027.

On 1 May 2026, a reform to the Federal Labor Law was published in the Official Gazette of the Federation, giving effect to prior constitutional amendments aimed at reducing weekly working hours.

In addition to the gradual reduction in weekly hours decreasing by two hours each year from 2027 to 2030, the reform includes the following key amendments: 

• The number of hours worked on each daily shift remains the same, so employees can work up to eight hours on day shifts, up to seven hours on night shifts, and up to seven and a half hours on mixed shifts.
• A cap of 12 overtime hours per week is established, which may be allocated across up to four days, with no more than four hours on any given day. Overtime must be paid at twice the regular hourly rate.
• A supplementary overtime allowance of up to four hours per week is permitted, payable at triple the regular hourly rate.
• Permitted overtime will increase gradually in accordance with the following timetable:
  • 2026: Nine hours.
  • 2027: Nine hours.
  • 2028: Ten hours.
  • 2029: 11 hours.
  • 2030: 12 hours.
• There are no circumstances in which a daily work shift of over 12 hours is permitted.
• Employers will be obliged to register employees’ work shifts with an electronic registry, and the Labor Ministry must issue general provisions regarding the scope of application and exceptions to this requirement. Failure to comply with the obligations will result in sanctions and fines.

The reform entered into force on 1 May 2026. However, the obligation to implement electronic working time records will take effect from 1 January 2027.