Major Changes in Mexican Federal Labor Law

June 5, 2013

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RECENT CHANGES IN THE MEXICAN IMMIGRATION LAWS

Recently, the Mexican Immigration Institute implemented changes in the Immigration Law. The most important changes are the following:

1. Non Immigrant Visa (known as FM3) and Immigrant Visa ( known as FM2) are replaced by the Temporary Resident Card (“TRC”)
2.  The Immigrated status is replaced by the Permanent Resident Card (“PRC”)
3. New procedure to obtain “TRC” or “PRC”:
   1. i) Mexican subsidiary Company must obtain Proof of Employer’s Registration.
   2. ii) The foreigner prior to applying for TRC or PRC must obtain a temporary or Permanent Resident Visa.
   3. iii) Visa interview will take place at a Mexican Consular Office; if applicable, Consular Office will issue the visa in the foreigner’s passport.
   4. iv) “TRC” or “PRC“ Application must be filed before the Immigration Institute (“INM”) office in the City where the sponsor company is located.
   5. · The application to obtain the TRC or PRC must be filed before the INM and within the following 180 days after the Visa has been issued.
4. FMN (Temporary Permits) is still issued by the INM at the Border INM’s offices (San Ysidro & Otay Mesa).
   1. FMN for visits of seven days or less are free of charge

It is important to note that all individuals whose FM3 or FM2 were issued before November 12, 2012, do not have to go under the process to obtain a Temporary Resident Visa, as they are granted with the TRC when the annual renewal is obtained; such Visa will be renewable for up to four years.

The new recent changes in the immigrations laws will impact many foreign and domestic companies manufacturing in Mexico. With the changes companies must take the necessary steps to understand how these changes will effect their operations and adjust their business practices to remain compliant and avoid potentially large penalties and labor disputes.