Labor Secretariat Urges Companies to Pay Profit Shares; Calls it a 'Constitutional Right'

Mexico City, Mexico – El Universal reports that Mexico's Secretariat of Labor and Social Welfare (STPS) is strongly reminding businesses of their obligation to pay employee profit-sharing, known as 'utilidades,' during May. This directive underscores the government's commitment to upholding workers' rights, framing profit-sharing not merely as a benefit but as a fundamental constitutional entitlement. The STPS highlights that under the current administration, this right, historically undermined, has been significantly reinforced, particularly following the 2021 subcontracting reform. This reform has demonstrably improved workers' access to this benefit, leading to a substantial increase in the total amount distributed. The reported 150% cumulative increase, reaching 259.6 billion pesos in 2024, is presented as a landmark achievement for labor justice in Mexico. The Secretariat is actively encouraging workers to utilize available channels, such as the Federal Prosecutor's Office for the Defense of Labor (Profedet), to report any non-compliance. This proactive stance reflects a broader effort by the Mexican government to dignify labor and ensure a fairer distribution of the wealth generated by companies.

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es un derecho constitucional