On May 8, 2023, the Federal Official Gazette published the Decree amending, adding, and repealing various provisions of the Law on the Institute of Security and Social Services for State Workers (the Law) (the Amendment).

The Amendment refers to housing issues and, among others, the following modifications are highlighted:

1.If the housing loan was granted to the beneficiary as a pensioner, the Institute of Security and Social Services of State Workers (ISSSTE) may request the agency for which the accredited person works, a discount up to 30% of the pension, of the basic salary or of the amount that results from adding the basic salary and the compensations that in terms of the applicable provisions correspond, or 20% of the corresponding pension.

2.In housing loans, accredited persons may carry out a restructuring in Measurement and Update Units (UMAS) or in pesos in the following cases: (i) when the accredited has stopped providing services in the public sector and the 12-month extension period contemplated in article 183 of the Law has been applied; (ii) when the payment obligation agreed in the respective contract is greater than the agreed discount; and (iii) when the accredited person meets the requirements of other specific restructuring programs issued by ISSSTE by agreement of the Board of Directors, including those for workers who may have fallen into arrears.

3.Workers may receive a loan from the Housing Fund up to 2 times, as long as they meet the requirements established by Law. Each loan shall be granted with the term established in the contract, which may not exceed 30 years.

4.The balance of the credits originated in minimum wages will be updated in accordance with the provisions of the corresponding regulations, in order to apply the update that is lower between minimum wages and UMAS in each period.

5.In the case of accredited persons who have paid 2 times or more the amount of the authorized mortgage loan, the ISSSTE shall establish the necessary programs for the release of the credit.

It is worth mentioning that the ISSSTE Housing Fund will have a period of 180 days from the entry into force of the Amendment to make the necessary administrative adjustments.

At Trejo Gutiérrez Abogados, we have a group of experts in labor matters with more than 20 years in the market. In case you require additional information or a legal analysis, please do not hesitate to contact us. We will be glad to provide the personalized legal advice that you require.