Chihuahua, Chih., July 27th, 2020.
Dear Clients and Friends,
Regarding the labor amendment of May 1, 2019, particularly Article 25 of the Federal Labor Law (FLL), which foresees the requirements of an “Individual Labor Agreement”, it is worth noting the following.
It is important to specify the conditions that must be established in every Individual Labor Agreement, such as:
Name, nationality, age, sex (gender), marital status, Unique Code of Population Registry (UCPR), Federal Taxpayers Registry (FTR) of the employee, as well as the current address of the employee and the employer.
In addition, the term of the agreement must be established, in other words, if the labor relationship in question is to be stipulated by project, fixed term, season, initial training or indefinite term and, if applicable, whether the contractual relationship is to be subject to a trial period as foreseen by law (Article 35 FLL).
It must contain the services to be rendered as precisely as possible and specify the location or locations where the service is to be performed, the duration of the working day, the form and amount of the salary, as well as the day and place of payment.
It must also provide a precise description indicating the training that the employee will receive, pursuant to the terms of the plans and programs established or to be established in the company, in addition to providing other conditions, such as rest days, vacation days, bonus payments and other benefits that may be agreed upon between the employee and the employer.
Nevertheless, the aforementioned amendment introduced the obligation to appoint beneficiaries in the Individual Labor Agreements, specified by the employee, in order to ensure the payment of salaries and benefits that were not received during his or her lifetime, in the event of his or her death or disappearance resulting from a criminal act that may occur during the term of the labor relationship.
Therefore, and in order to comply with the new provision, the recommendations formulated by this Law Firm are aimed at ensuring that individual labor agreements for newly hired personnel include a specific clause regarding the appointment of the employee’s beneficiaries, in order to comply with the legal requirements and avoid unnecessary observations due to non-compliance with the aforementioned provision.
Regarding hired personnel, it is recommended to draft an “Addendum” to the employee’s individual labor agreement, we suggest enclosing such Addendum in the employee’s individual labor agreement.
Therefore, this law firm remains at your service for any queries or comments related to the information provided, in order to ensure that your company achieves an effective decision making process in its management and the compliance of this particular matter.
Published by
Mr. Daniel Alfonso Jiménez Lara / Partner of the Labor Practice Area.
