Hire employees in Mexico, hassle-free

Onboard a new employee with Deel. First, the client signs the Master Service Agreement on Deel, their employee’s onboarded within in 1 business day by the EOR, and that's it. Now you’re hiring compliantly.

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Employee - Mexico

Hire employees in Mexico No entity needed.

Usually, to hire in Mexico,  your business needs an entity. That means a local office, an address registered as a subsidiary, and an account with a local bank. All of this, plus navigating regional benefits, payroll, tax, and HR laws, can take months. 

Mexico also treats contractors differently than full-time employees, so misclassifying a contractor could lead to fines. Deel lets you hire employees in Mexico quickly, easily, and compliantly. We even automate tax document collection, payroll, benefits, and more.

All the necessary benefits for Mexico built right in 

Deel allows you to provide localized benefits for employees in Mexico within minutes. All in one manageable online dashboard.

  • Pension
  • Public Health Insurance
  • Housing

Contents


    Speak to our team about how to compliantly hire in Mexico

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    Quick Overview

    Currency: Mexican Peso (MXN)

    Capital: Mexico City

    Official language: Spanish

    Payroll Cycle: Twice a Month

    Statutory Holidays

    Paid Time Off

    In Mexico, employees are entitled to paid holidays based on the length of the labor relationship:

    • 1 year of employment - 6 days' paid leave
    • 2 years of employment - 8 days' paid leave
    • 3 years of employment - 10 days' paid leave
    • 4 years of employment - 12 days' paid leave
    • 5+ years of employment - The holiday period will increase by 2 days of paid leave for every 5 years of service.

    Public Holidays

    • New Year’s Day
    • Constitution Day
    • Benito Juárez's Birthday
    • Labor Day
    • Independence Day
    • Mexican Revolution
    • Christmas Eve
    • Christmas Day

    8 days per year. Additional regional holidays may also apply.

    General Taxation

    Individual Income Tax

    The average for the individual income tax ranges up to 35%, and depends on many variables, such as marital status, level of income, among others.

    Employer Cost

    Approximately, 25% of employee salary.

    Additional information

    Employment Contract Details

    Employment contracts must be in writing and in Spanish.

    Probation Period

    The probation period cannot be higher than 3 months, except for managerial positions or specialized technical roles, in which case it cannot exceed 6 months.

    Maximum working hours and overtime

    Standard working hours are 48 hours per week (Monday‐Saturday), 8 hours per day, plus 30 minutes per day for lunch.

    Minimum Wage Requirements

    The Minimum Wage is MXN 141.70,00 per day.

    Bonus and expense payments

    In Mexico, there is a statutory requirement to pay a 13th salary bonus a year. Equivalent to 15 days of minimum wage.

    Parental Leave

    • Maternity leave: 42 calendar days prior to birth, and 42 calendar days after childbirth. Can be extended for a further 60 days on half pay. During maternity leave, employees receive an allowance equal to 100% of the average salaries paid by the state, capped at 25 times the general minimum wage in force in the Federal District
    • Paternity leave: employees are entitled to 5 business paid days funded by the employer.

    Termination requirements for employees in

    Contracts may be terminated by mutual agreement or unilaterally with cause or without cause. In Mexico, severance payment depends on the employee’s length of labor relationship:

    • Up to 1 year of employment - 3 months' wages
    • For each year of employment - additional 20 days' wages
    • Seniority Premium: for each year of employment - 12 days wages with a maximum cap of twice the minimum daily salary

    We have a 4.7 out of 5 rating on Trustpilot

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    5 Stars

    Deel is the best!!

    “Deel is an amazing platform! It's super intuitive and user friendly, plus it runs suuuuper smoothly!! It has great options for paying and withdrawing money, plus it helps you keep super organized with your spending. They also have great support and are super friendly with all the questions you might have :D I would definitely recommend it!!”

    Manuela Echeverry
    Nov 20, 2020
    5 Stars

    A contracting life-changer!

    "This has by far the singular tool that made my contracting work amazing. It used to be that contract management and payouts was a nightmare — Deel makes everything so easy especially with its Transferwise integration. Everyone gets paid on time and kept happy. I also contacted their support a couple of times for some small questions and they’ve been nothing short of amazing. If you’re a contractor or someone who hires contractors then definitely give Deel a go."

    Kix Panganiban
    Dec 3, 2020
    5 Stars

    Great service offering!!

    "The Deel platform has been super effective for my team and I and has enabled us to bring on workers globally. The platform allows us to onboard individuals seamlessly and with no issues at all. Highly recommend."

    Michael US
    Oct 28, 2020
    5 Stars

    Terrific service

    "Great service, amazing customer care, terrific platform, both for the company and for the contractors/employees. Saving everyone's time and money"

    Nunzio Martinello
    Dec 15, 2020
    5 Stars

    Deel is a game-changer for distributed teams

    "Deel has been instrumental in helping us both open and operate our EU operations. It's super simple to set up and implement and the support team has been world-class. I can't recommend them enough!"

    Jeremie Habib
    Nov 16, 2020
    5 Stars

    Great app with great customer service

    "Great app with great customer service, with great attention to details and legal requirements. Looking forward to keep using it!"

    Felipe Marote
    Jan 29, 2021