Commissions in the Senate approve reform for the regulation of outsourcing

In the Senate, the joint commissions of Labor and Social Welfare and Second of Legislative Studies, chaired by Morena party members Napoleón Gómez Urrutia and Ana Lilia Rivera, approved, with 26 votes in favor and two abstentions from the PAN party, the reform package for the regulation of outsourcing.

According to the memorandum, the objective is to “eliminate practices that harm labor rights, eradicating actions that are currently in operation through various forms of simulation, to the detriment of people, workers and the public treasury. The package includes changes to the Laws on Labor, the Infonavit [National Workers’ Housing Fund Institute], the Tax Code, the ISR [Income Tax] and VAT Laws and the Federal Law of Workers at the Service of the State as well as Part B of Article 123 of the Constitution.

The package includes changes to the Laws on Labor, the Infonavit, the Tax Code, the ISR and VAT Laws and the Federal Law of Workers at the Service of the State as well as Part B of Article 123 of the Constitution.

In the discussion of the decision, Morena party member Martí Batres highlighted that, with this reform, tax evasion, tax fraud and the evasion of the payment of employer and Infonavit fees will be avoided. For his fellow believer Blanca Piña, the decision, while it represents “progress”, “is not sufficient”, because she believes that, “ultimately, there is no good outsourcing, as it represents a federal precariousness of labor, Ricardo Martínez Rojas, founding partner of the De La Vega & Martínez Rojas Firm, considered that this adjustment would be very good for companies to make their] and, therefore the deterioration of the life itself of the workers.

For his fellow believer Blanca Piña, the decision, while it represents “progress”, “is not sufficient”, because she believes that, “ultimately, there is no good outsourcing, as it represents a federal precariousness of labor and, therefore, the deterioration of the life itself of the workers.

In agreement, PRI party member Claudia Ruiz Massieu considered that the approval of this reform is just the starting point of a long process to guarantee the full exercise of workers’ rights as well as full compliance with tax obligations by companies. PAN party member Damián Zepeda, while stating to be in favor of the decision, emphasized that, according to the INEGI [National Institute of Statistics and Geography], there are 18 million Mexicans that are either unemployed or underemployed.

PAN party member Damián Zepeda, while stating to be in favor of the decision, emphasized that, according to the INEGI, there are 18 million Mexicans that are either unemployed or underemployed.

The white and blue legislator additionally announced that the PAN will present a reservation in order for sufficient time for the entry into force of this legislation to be provided, as it is not explicable that, in the case of the government the legislation enters into force on January 1, 2022 and for the private sector it enters into force in August, 2021.