Mandatory Leave Policies in Mexico
The Federal Labor Law in Mexico outlines various types of leave that employers must provide. Below is a summary:
Public Holidays in Mexico
The employees in Mexico obtain 7 public holidays per year. Mexico has the following national holidays:
Types of Leave in Mexico
Sick Leave
Employees in Mexico are entitled to sick leave if they are registered with the Mexican Social Security Institute (IMSS). A medical certificate from an IMSS-affiliated doctor is required. Employees receive 60% of their salary from the fourth day of illness, funded by the IMSS, for up to 52 weeks, extendable for another 52 weeks.
Paid Time Off
The allocation of annual leave is determined by the duration of employment. The minimum leave days vary depending on the length of an employee's service, as outlined below:
- One year of service: 12 days
- Two years of service: 14 days
- Three years of service: 16 days
- Four years of service: 18 days
- Five years of service: 20 days
- After completing the sixth year of service, the annual leave entitlement will be augmented by 2 days for every subsequent 5 years of service.
Employers must also pay a vacation premium of at least 25% of the employee’s regular salary during the vacation period.
Maternity Leave
Maternity leave lasts for 12 weeks, including six weeks before childbirth and six weeks after, fully paid by the IMSS. During pregnancy and after childbirth, individuals receive a cash subsidy equal to 100% of their last daily salary contribution for 42 days before delivery and 42 days after. For adoption, female employees receive six weeks of leave.
Paternity Leave
Employees in Mexico get five days of paid paternity leave, receiving their full average salary, covered by the employer.
Parental Leave
Mexico does not have a separate shared parental leave policy.
Family and Emergency Leave
There is no statutory bereavement leave in Mexico, but many employers provide unpaid leave for emergencies. Policies vary by employer.
Special Leave Types
Mexico does not mandate sabbaticals, career breaks, or study leave, but employers may negotiate such arrangements with employees.
Best Practices for Implementing Leave Policies in Mexico
- Stay Informed: Regularly update company policies to align with labor laws.
- Clear Communication: Clearly explain leave entitlements and procedures to employees.
- Documentation: Maintain accurate leave records for compliance and audits.
- Flexibility and Support: Foster a positive work environment by accommodating employees' personal and family needs.
Providing Leave Benefits in Mexico With an EOR
A competitive compensation package is critical to attract and retain the best talent, but every country different regulations, customs and expectations. That’s the advantage of using a trusted Employer of Record like Playroll to manage benefits for your global team. They can:
- Handle the benefits admin: Playroll ensures compliant contracts with built-in statutory checks. Add region-specific premium benefits, while we handle administration and employee claims. Manage leave, expenses, and more – all in one easy dashboard.
- Run global payroll: An EOR will act as your payroll provider, paying your employees on your behalf in the local currency. The company will also have in-depth knowledge of local tax codes, regulatory practices, and everything else that goes into managing global payroll.
- Alleviate compliance concerns: Different countries each have their own federal and local laws governing employee payments. An EOR helps ensure that you are compliant with the unique set of laws for any country in which your company operates. This is extremely important since a compliance slip-up can result in heavy fines or even a lawsuit.
Disclaimer
THIS CONTENT IS FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSTITUTE LEGAL OR TAX ADVICE. You should always consult with and rely on your own legal and/or tax advisor(s). Playroll does not provide legal or tax advice. The information is general and not tailored to a specific company or workforce and does not reflect Playroll’s product delivery in any given jurisdiction. Playroll makes no representations or warranties concerning the accuracy, completeness, or timeliness of this information and shall have no liability arising out of or in connection with it, including any loss caused by use of, or reliance on, the information.


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