Mayor said they are exploring “several ways” to do this. “It may be incremental, for example, the search for a flexible mechanism in the international system of administration of educational services that does not necessarily require legislative amendment. But, also, reform of the law will be necessary to give certainty to those activities which turn out to be new.”
The minister said the pandemic has boosted demand for services such as parcel delivery, making it a priority for the government to regulate the sector.
“We want to reach a point of balance,” Mayor said. “There are a lot of people who work on these apps, but they do it occasionally and only drive Uber in their spare time. It differs from subcontracting because there is no recognition of them as workers.”
In April, Mexico banned outsourcing as part of the government’s efforts to combat tax evasion. For a long time, some companies have used independent entities to hire their workers in order to avoid payroll taxes and Social Security contributions. The new law is working, Mayor said, and major employers have recently taken in more than 2.6 million employees.
The official warned that there would be no new extension of the deadline for companies to end the outsourcing practice beyond the beginning of September.
Mexico recently sought to get companies to comply with its 2019 national labor law and labor rights provisions enshrined in the renewed North American Free Trade Agreement. this week, General Motors plant workers in Silao, Guanajuato, They voted to cancel their guild contract. The vote has emerged as an important test case for the business deal, following reports from Violations of workers’ rights in the factory.
“The auto sector and all companies are putting what happened at GM as a red light and they will take precautions, say, the necessary measures so that this phenomenon does not repeat itself,” Mayor said.
With information from Bloomberg
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