Vacation reform will have an impact on the restaurant industry in Nuevo León: Canirac

Monterrey, NL. The reform of the Federal Labor Law in terms of vacations will have a direct impact on the restaurant industry, since there is currently a deficit in the number of collaborators, in addition, due to inflation and the restriction due to face masks, businesses are not prepared for this modification, affirmed Daniel García Rosales, president of the National Chamber of the Restaurant and Seasoned Food Industry (Canirac), Nuevo León delegation.

“This reform would have a direct impact, we are in favor of supporting the collaborator, but we are facing a personnel deficit, as well as a margin punished with the drag of the pandemic on credits and inflation; If we do not reach an agreement with the collaborators, it will have a great impact ”, he warned.

Canirac Delegation Nuevo León currently has 21,000 establishments, most of them are SMEs, and has 700,000 jobs, between direct and indirect.

For its part, the Employers’ Confederation of the Mexican Republic (Coparmex), in Nuevo León, considered the proposal for dignified vacations as positive, “although we believe that the application of this measure should be gradual for micro and small businesses, with the objective of not affect its operation or put its financial sustainability at risk”.

It is worth mentioning that before the reform, the World Policy Analysis Center pointed out that Mexico ranked as one of the economies with fewer rest days for workers, compared to Nigeria or Uganda or Asian countries such as Brunei, China, the Philippines, Malaysia or Thailand, economies with less than nine annual vacation days.

However, on Tuesday, December 27 of this year, a reform decree of articles 76 and 78 of the Federal Labor Law on Holidays was published in the Official Gazette, with which as of this Sunday On January 1, 2023, the vacation period for workers will be increased.

This reform modifies vacation days so that workers can enjoy at least 12 continuous days of rest (previously 6), starting the first year they work and increasing 2 days each year; then, from the sixth year, 2 days will be increased every five years.

The Chamber of the Transformation Industry of Nuevo León (Caintra) commented to its partners: “we consider that all vacations for workers with anniversaries in 2023 must be paid in accordance with the aforementioned reform; and those workers with an anniversary before 2023 (including December 31, 2022), will receive vacations in accordance with the legislation before the reform”.

This reform comes along with new obligations for the business sector such as: modification of individual and collective contracts on vacation issues, updating of internal records, proof of seniority, increased labor costs and contributions to the Mexican Insurance Institute. Social (IMSS), among others.

“Our recommendation is to plan resources and establish a transition period to carry out these new provisions and obligations, in order to prevent future setbacks in your company and with your workers,” Caintra indicated to its partners.

He also invited partners to review each employment situation carefully.