Labor Unions and Collective Bargaining Agreements in Mexico

Labor Unions and Collective Bargaining in Mexico

Understanding Unions

A union is an association of workers or employers formed to study, improve, and defend their respective interests. No one can be forced to join a union. Unions must have a minimum of 20 active workers or 3 employers. Individuals under 16 and foreign nationals may not be part of the union leadership. Public meetings must be held at least every 6 months.

The General Secretary is the representative of the union. Unions may form federations and confederations.

Rights of Unions

  • Write their statutes and regulations
  • Freely elect their representatives
  • Organize their administration and activities
  • Formulate their programs

Types of Labor Unions

  • Union of the same gender: Workers of the same profession or trade.
  • Company Union: Workers providing services in the same company.
  • Industry Union: Workers providing services in two or more enterprises in the same industry.
  • National Industrial Union: Workers providing services in one or more firms in the same industrial branch installed in several states.
  • Union for Various Occupations: Workers in various professions.

Types of Employer Unions

  • Formed by employers of one or more branches.
  • National unions formed by one or more companies from different branches and different states.

Registration Prerequisites

  • Duplicate record of the union, workers, and employers list.
  • An official copy of the statutes.
  • Copies of the records where the first directors were elected.

Reasons for Denial of Registration

  • The union does not have the intended purpose.
  • The union does not have the required number of members.
  • The required documents are not displayed.

Cancellation of Union Registration

Union registration may be canceled in case of dissolution. The Conciliation and Arbitration Board (CAB) will resolve the cancellation if legal requirements are met.

Union Status

The status includes the denomination that distinguishes the union from others, address, purpose, duration, conditions of admission of members, rights and obligations of partners, grounds and procedures for expulsion, procedures for convening meetings, procedures for the election of the assembly and the number of members, and union dues forms, and the settlement of trade union assets.

Capacity of Unions

Unions are entities capable of acquiring real estate and property destined for the object of their institution. They can defend their rights and perform the required tasks.

Duties of Unions

  • Provide the reports requested by the labor authorities.
  • Communicate policy changes within 10 days.
  • Report changes in the statute.
  • Report every 3 months the ups and downs of its members.

Prohibitions for Unions

  • Intervening in religious matters.
  • Performing their work as traders for profit.

Dissolution of Unions

A union can be dissolved by a vote of 2/3 of its members or by the end of the allotted time.

Collective Bargaining Agreements

A collective bargaining agreement is an agreement between one or more trade unions and one or more employers, or one or more unions of employers, to establish the conditions under which work must be paid in one or more companies.

Content of Collective Bargaining Agreements

  • Name and address of the contracting companies involved.
  • Duration of the agreement.
  • Working hours.
  • Rest days and holidays.
  • Amount of salary.
  • Clauses on training of workers.
  • Initial provisions for entry.
  • Basis of integration and functioning of committees.
  • Other terms to be agreed upon, such as mixed capacities for safety and health.

Review of Collective Bargaining Agreements

Any party can request a review. The request must be made in triplicate, with the original to the Court of Conciliation and Arbitration, a copy for the employer, and a copy for the employee.

Request for Review

  • At least 60 days before the due date for agreements of a specified time no more than 2 years.
  • For agreements over 2 years, a review can be requested for a specified period with a longer duration.
  • For agreements of indefinite duration, a review can be requested every 2 years.

Features of Review

  • Wages are reviewed each year, 30 days before expiration.
  • Contracts are reviewed every 2 years, 60 days before maturity.

Termination of Collective Bargaining Agreements

Agreements can be terminated by mutual consent, contract expiration, or closure of the company.

Contract Law

A contract law is an agreement between several labor unions and various employers, or one or more unions of employers, to establish the conditions under which work must be paid in a particular branch of industry in several states or throughout the country.

Strikes

A strike is the temporary suspension of work carried out by a coalition of workers.

Purpose of Strikes

  • To seek a balance among various factors of capital and labor.
  • To obtain the conclusion of a collective bargaining agreement and require its revision.
  • For the conclusion of a contract-law.
  • To enforce contracts.
  • To seek the fulfillment of profit sharing.
  • To support a strike that has the same purpose.

Requirements for a Strike

  • It must be intended for one or more of its objects.
  • The suspension must be made by most workers in the company.

Termination of a Strike

A strike ends when reached by mutual consent, by an arbitration award or a committee of persons chosen by the parties, or by an award of the Conciliation and Arbitration Board.

Unlawful Strikes

A strike is unlawful when most workers perpetrate violence against persons or property of the company, during wartime, or when the workers belong to or are dependent on the government.

Justified Strikes

A strike is justified when its motives are attributable to the employer.

Legal Strikes

A strike is legal if it meets the requirements, pursues the objectives, and is carried out by most workers.

Legally Nonexistent Strikes

A strike is legally nonexistent when it is carried out by fewer workers than required, does not have any of the stated concerns, or does not comply with the requirements under the law.

Workplace Risks

Workplace accidents are any immediate or subsequent organ damage produced by the exercise of work. Workplace diseases are any pathological condition resulting from the continued action of a cause that has its origins in the work.

Types of Disabilities

  • Temporary disability is the loss of faculties that partially prevents a person from performing their job for some time.
  • Permanent partial disability is a reduction in the powers of a person to work.
  • Permanent total disability is the loss of authority of a person unable to work for the rest of their life.
  • Death

Workers’ Rights in Case of Workplace Risks

  • Medical care
  • Rehabilitation
  • Hospitalization
  • Medications
  • Prosthetic devices
  • Compensation

Compensation

Compensation is based on the daily wage received by the worker. In case of death, two months’ salary is provided for funeral expenses, and compensation is paid to the worker’s beneficiaries: widows, mothers, children under 16, individuals over 16 who depended on the worker, or any person who has lived as a spouse for 5 years after the worker’s death, provided there were no children from cohabitation.

Employer Obligations

  • Keep workplace healing materials for first aid and trained staff to provide the service.
  • Establish a nursing service when there are more than 100 employees.
  • Install hospital staff when there are more than 300 employees.
  • Give notice to the Joint Conciliation and Arbitration Board (JCA) within 72 hours following an accident.
  • Notify the authorities immediately in case of a worker’s death.