On March 12, 2018, the Federal Public Defense Agency, published in the Official Gazette of the Federation, guidelines for the application of sanction/fines based on Article 530 Bis of Mexican Federal Labor Law.
Such guidelines shall be applicable in the event of failure by employers or Unions to appear to conciliatory meetings appointed by the Federal Public Defense Agency.
Guidelines include the following:
- Summon to appear must at least include: (i) full name of the employer; (ii) summons issuing date; (iii) date of place, date and time to hold the conciliatory meeting; (iv) Legal basis; (v) employee name and (vi) indicate sanctions/fines applicable for failure to appear
- Notification to appear must be received with at least 48 hours in advance prior to the date set for the conciliatory meeting to take place
- Failure by employers or Unions to appear may result in a fine of up to 100 Measurement and Update Units (hereinafter "UMAs" for its acronym in Spanish). The fine will be set at the discretion of the authority taking into consideration any background facts, economic capacity and/or whether reincidence existed
- Failure to appear by the party who requested the conciliatory meeting, will result in an automatic withdrawal of the meeting, unless just-cause for the absence is shown within the following ten business days, provided there is no risk for the statute of limitations for the main action to elapse
- Employment protection agency will notify the sanction to tax authorities for them to proceed with the collection
The aforementioned guidelines became enforceable as of March 13, 2018.
Our Labor and Employment practice group will be glad to assist on this and any other related matter.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.