New Mexico Administration Plans to Strengthen Labor and Employment Audits

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Leer en Español: Fortalecimiento en las Inspecciones Laborales con la Nueva Administración

As part of his government plan, new Mexico President-Elect Andrés Manuel López Obrador is going to strengthen the audits for employers to verify their compliance with employment laws. The new administration specifically will focus these audits on the compliance with the outsourcing regime, payment of mandatory profit-sharing and the accurate enrollment of employees with social security institutions.

To accomplish this, the new administration will start by increasing the number of federal inspectors. López Obrador expects to hire 500 new inspectors during the first year of the administration with a goal of having 2,200 inspectors at the end of his term.

According to the public information available, the new administration will use this strategy based on the success that these audits have had in other countries for improving work conditions for employees.

Holland & Knight recommends that employers perform internal due diligence processes to correct any potential noncompliance with employment laws. In addition, employers should implement any missing documentation, preventing future fines or other sanctions.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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