The very much anticipated constitutional reform in regards to labor justice was published on February 24, 2017. In summary, the reform contains the following points:

1.- The formation of the labor courts, dependent of the Judicial System with respect to federal matters and dependent from the States with respect to local matters. It also refers to the disappearance of the Conciliation and Arbitration Labor Boards

2.- The creation of the Conciliatory Centers with dealing with local matters; and the creation of the decentralized organism for federal matters, both having conciliatory functions, and the decentralized organism having also the function of registering collective bargaining agreements, union organizations and all of the administrative acts derived thereto

3.- With respect to collective matters, the unions should evidence that they have the representation of the employees to present a notice to intent to strike for the signature of a collective bargaining agreement. Likewise, for conflicts between union, the execution of a collective bargaining agreement and the election of the union leaders, the reform guarantees that the employees' vote will be personal, free and secret

4.- Regarding the solution of employee-employer conflicts, before going to the labor courts, a mandatory conciliatory stage should take place, which will be handled by the conciliatory centers or the decentralized organism, in their corresponding venue

The reform contemplates that the Congress and the local legislatures will have a year, as of the date in which the reform comes into effect, to do the necessary amendments to the corresponding legislation. It is anticipated that within such amendments, there is one to the Federal Labor Law, the creation of the National Code for Labor Procedures, as well as for the laws that create the conciliatory centers and the decentralized organism

Evidently, there are still many doubts with this reform. There is uncertainty as to how the transition of files will be; we have doubts that one year will be sufficient enough to do all the proper amendments, as we believe that President Peña Nieto would like to have this done prior to his departure; and something that is very important, the budget issue, which we do not know if it was contemplated in the federal and local ones.

At Sanchez Devanny, our Labor, Social Security and Immigration practice area has extensive experience in these matters. If, you require any further information or support regarding the aforesaid, please do not hesitate to contact us

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