On January 9, 2020, Mexico's National Institute of Statistics and Geography published in the Official Gazette of the Federation the daily, monthly, and annual values of the Unit of Measure and Update (UMA). These are scheduled to take effect on February 1, 2020.
The Law to Determine the Value of the Unit of Measure and Update provides a method to update the UMA's value every year in Mexico. Below are the new values:
|Daily: $86.88 MXN||Daily: approximately $4.63 USD|
|Monthly: $2,641.15 MXN||Monthly: approximately $140.86 USD|
|Annual: $31,693.80 MXN||Annual: approximately $1,690.37 USD
(For reference only)
It is important to consider that the increase in the UMA has a direct impact on the following:
- Collective/union wage and hour considerations: If you have stipulated benefits that are linked to the UMA, said benefits will need to increase in the same percentage as the UMA did.
- Individual or collective: If an employer agreed to a benefit using the "minimum wage" rate, this rate will continue to be the standard.
- Tax deduction considerations: Caps for deductions will be modified in the same percentage as the UMA did.
Fines, contributions, and any considerations designated as "minimum wage" must be referred to in UMAs.
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.