Reform on digital platforms

Article

Reform on digital platforms

January 17, 2025
Francisco Trejo Gutiérrez

On December 24, 2024, the Resolution adding various provisions of the Federal Labor Law on Digital Platforms (the Digital Platform Reform) was published in the Official Gazette of the Federation (DOF).

Through the Digital Platform Reform, this activity is being recognized as a subordinate employment relationship that consists of the performance of paid activities that require the physical presence of the worker to provide the service, which are managed by an individual or entity in favor of third parties through a digital platform, using information and communication technologies to exercise command and supervision over the worker.

In accordance with the Digital Platform Reform, users, consumers or beneficiaries of these services, which are offered through computer applications, will not be considered employers or jointly liable; the person who does have the status of employer is the natural or legal person who manages the application. Workers who provide their services through a digital platform will be considered independent workers. If the digital platform worker stops working for a consecutive period of 30 calendar days, the employment relationship will be automatically terminated, without liability or compensation on the part of the employer. If the person again meets the conditions to be a digital platform worker, a new employment relationship will be considered to have begun. Companies that manage digital platforms shall register workers, as well as pay the employer-employee contributions to the Mexican Social Security Institute and the National Workers’ Housing Fund Institute, provided that the monthly net income generated is equal to or greater than a monthly minimum wage in Mexico City.

Finally, the Digital Platform Reform establishes that the work day will be flexible and discontinuous, with the worker being able to freely establish the hours in which he will work and the time in which he will be able to connect and disconnect from the platform. Digital platform workers who work at least 288 effective hours during the fiscal year will have the right to share in the profits of the company that manages the corresponding application, among other benefits.

The Digital Platform Reform will come into force 180 days after its publication in the DOF.

It is very important for companies that provide a service through digital platforms to be clear about what was determined through the Digital Platform Reform, since, in case of breach, they may be subject to sanctions ranging from 250 to 25,000 times the Unit of Measurement and Update (i.e. from MX$27,142.50 to MX$2`714,250.00), depending on the breach in question.

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.