The End of Outsourcing in Mexico?
On November 12, President Andrés Manuel López Obrador announced a bill initiative that, if enacted, will have a significant impact on outsourcing and the use of service entities currently in use to minimize Mexican employee profit-sharing obligations. The initiative includes amendments to the Federal Labor Law, the Social Security Law, the Mexican Tax Code, including changes to income and value added tax regulations, and several others. The President submitted this initiative to Congress and it…