Mexican laborers hail a major triumph as the National Minimum Wage Commission unanimously agrees to major pay hikes for 2026. This development influences millions of workers in the nation, adding to another achievement in a series of moves by the Mexican government to better living conditions. This pay hike has taken place along with other major moves towards reformatting labor dynamics in Mexico, with major work hour reforms.
A minimum wage hike benefits millions of Mexican workers
Mexican authorities announced that the Council of Representatives of the National Minimum Wage Commission (CONASAMI) unanimously resolved a 13% increase in Mexico’s general minimum wage effective as of January 1, 2026. The new daily minimum wage shall be MXN 278.80 to MXN 315.04, which marks a huge positive for workers. The wage hike would affect around 8.5 million workers in the nation. Additionally, this increase would give workers more buying power. The hike would be a huge boost for Mexicans.
While this only pertains to the Northern Border Free Zone, employees can look forward to a 5% hike instead, increasing their minimum wage from MXN $419.88 to $440.87. This means a total of MXN $9,582 for the standard wage and MXN $13,409 for those employed in the border zone. As explained by Labor Minister Marath Bolaños, this marks a continuation of a multiyear momentum that has brought about a 154 percent increase in purchasing power since 2018 standards.
Government advances comprehensive 40-hour workweek reform plan
President Claudia Sheinbaum made a declaration regarding her intention to submit a bill to Congress that would reduce the legal number of weekly working hours for employees from 48 to 40, effective in 2027. This bill would be introduced gradually, when two hours being reduced each year until 40 hours are achieved in 2030. This would be the first major modification to laws regarding working hours in more than a century. This would allow companies time to adjust to this new regulation in 2026.
The measure remedies the Mexican tradition of prolonged working hours when more than 13.4 million Mexicans work more than 40 hours a week. While the current Mexican law restricts workers to a maximum 48-hour schedule a week, most workers go beyond 56 hours a week without any effect on employers. The measure restricts children’s overtime sessions and features a mandatory rest day once a 40-hour limit is exceeded.
Key reform components include:
- Reducing Working Hours Gradually from 48 to 40 Hours By 2030
- Overtime structure that permits a maximum of 12 hours weekly
- Maximum four hours of overtime a day for four days.
- Requirements for mandatory rest days for all employees
Employment associations support tripartite agreements regarding labor
COPARMEX, an association of employers that was a party to this agreement, has endorsed the wage increase and gradual reduction in work hours. The organization sees this as proof that tripartite dialogue benefits workers’ salaries without compromising employment stability. This association points out that a MXN $315.04 wage satisfies 100% of the level for national well-being, with a calculation of MXN $9,519.82 a month as of October 2025. COPARMEX points out that minimum wage really does have 148% recuperation of its buying power in almost a decade. This supports a target to attain 2.5 times basic basket levels by 2030.
The group supported a reform to the constitution regarding a 40-hour workweek because this would give corporations time to adapt internally. COPARMEX considered this negotiation a form of “serious and open dialogue” among employees, corporations, and public authorities because a stable environment for labor relations, legal predictability, energy supplies, and security is still a prerequisite for investment and economic opportunities.
The fact that Mexico approved a 13% minimum wage increase, along with workweek changes, indicates that the Mexican government cares for employees’ welfare and uses collaborative methods. This makes Mexican law one of the most innovative in protecting employees’ rights while maintaining support for the business community with a gradual approach. The effort holds promise in improving living conditions for millions of employees.
