The reform of the Social Security Act was created to give the Mexican government more legal tools to regulate outsourcing, especially to control and punish subcontracting businesses trying to avoid employers’ contributions. The initiative was launched in March 2008 and was finally unanimously approved by the Congress of MPs. When the project was being evaluated, lawmakers said that, each year, outsourcing businesses “save” around six billion pesos (€320 million) in social contributions. The income of the social security (Instituto mexicano del seguro social – IMSS) coming from social contributions are dropping at a rhythm of 6.4% annually. Amendments to the law entered into force on July 10.
ntributions. The income of the social security (Instituto mexicano del seguro social – IMSS) coming from social contributions are dropping at a rhythm of 6.4% annually. Amendments to the law entered into force on July 10.
Shared responsibility between the subcontractor and the customer. From now on, subcontractors and contractors will have to provide the IMSS, every quarter, with detailed information on the contracts biding them over that period. If a subcontractor still won’t pay workers’ socia
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