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The 40-hour workweek in Mexico would raise costs by up to 30%

The 40-hour workweek in Mexico would raise costs by up to 30%

The reduction to a 40-hour workweek in Mexico will increase labor costs; digitalization and automation will be key to avoiding risks and maintaining productivity.

The reduction of the workweek to 40 hours could increase labor costs by up to 30%. Without a digital strategy, organizations will face higher expenses, disorganization, and compliance issues. The efficiency of HR departments could improve by up to 30% with the use of technological platforms.

The potential implementation of a 40-hour workweek in Mexico could raise direct labor costs by 20% to 30% for companies, according to estimates from the Center for Economic Studies of the Private Sector (CEESP) and the 2025 report by the Adecco Institute Mexico.

 

What is causing the increase in costs, and how can this phenomenon be mitigated?

The increase in costs would be due to the need to cover additional shifts, pay overtime, or hire more staff, in an economic environment marked by inflation, rising employer contributions, and adjustments to the minimum wage.

The reduction to 40 hours not only requires redesigning schedules—it requires redesigning the company. Leveraging cloud-based and AI solutions to automate, forecast, and lead with data is no longer optional. It’s the only way to adapt without compromising profitability or workplace climate.

 

Benefits of Comprehensive Cloud-Based Solutions for Talent Management

Although the reform will be implemented gradually—starting with 46 hours in 2026 and reaching 40 hours by 2030—many organizations still do not monitor actual working time or automate the tracking of overtime, breaks, or shift compliance.

This can lead to operational overcosts, legal risks, and a lack of reliable data for financial forecasting.

Cloud-based talent management solutions that integrate finance, HR, and operations functions currently allow companies to:

– View, in real time, each employee’s compliance with scheduled hours

– Forecast the financial impact of the reform on payroll and operational structure

– Intelligently redesign shifts in facilities with hybrid models or rotating staff

– Measure KPIs such as productivity per hour, workplace climate, and legal compliance

In addition, automating leave requests, breaks, incidents, and overtime reduces human error in processes that have traditionally been manual.

From the talent perspective, the reform can positively boost productivity and the efficient use of employees’ time on value-added activities.

Although the 40-hour goal is projected for 2030, experts agree anticipation is crucial. In this regard, redesigning operations, training teams, migrating to digital platforms, and establishing new performance indicators requires strategy and time.

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