The Work and Social Security Committee of the Mexican Chamber of Deputies has approved a reform to the Federal Labor Law (LFT) to ensure a minimum wage and protect tips in service establishments. The reform targets hotels, restaurants, bars, sports companies, entertainment businesses, fuel stations, and similar venues.
Key Provisions of the Reform
- Prohibition against replacing salaries with tips: Employers are banned from substituting wages with tips or other types of gratuities. Tips and extraordinary incomes will be considered as salary complements.
- Minimum wage guarantee: The reform modifies Article 90 of the LFT, stating that every worker has the right to a minimum wage or professional minimum wage, which cannot be replaced by any form of compensation.
- Tip distribution regulation: Tip distribution must be equitable and managed by workers. Tips should be integrated into total service payment and may optionally be given directly.
Implications for Specific Professions
The reform includes protections for certain professions, such as:
- Bartender: 295.15 pesos daily
- Head Chef in restaurants and eateries: 325.71 pesos daily
- Valet Driver for parking lots: 302.14 pesos daily
- Gas Station Attendant: 288.83 pesos daily
- Hotel Room Attendant: 283.47 pesos daily
All parliamentary groups voted in favor of the proposal during the committee session, raising some reservations to be addressed in the full Chamber of Deputies.
“The issue here is that a little more income will make workers want 40-hour weeks rather than working excessive hours for low pay,” said Patricia Mercado, Secretary of the Work and Social Security Committee.
The reform also expands labor inspection powers to ensure equitable tip distribution in service establishments. Companies have 180 natural days to adjust their internal regulations after the Executive Branch makes necessary reforms.
