Mexico: New Regulations on Fines for Noncompliance with INFONAVIT Law

A new decree, published in the Official Gazette on August 25, 2017, amends several provisions regarding the imposition of employer fines for non-compliance with Mexico's INFONAVIT law. The Instituto del Fondo Nacional de la Vivienda para los Trabajadores (INFONAVIT) is the federal institute that requires employers in Mexico to withhold a percentage of an employee’s salary to fund a housing benefit.  The recent amendments to the law implementing this benefit took effect on August 28, 2017.  

The most important changes are:

  • The fines will be imposed using a metric known as “Updated Metric Unit” (“UMA” for its acronym in Spanish), which currently is measured at $75.49 per diem.  The UMA (which stands for “Unidad de Medida Actualizada”) will be replacing the general minimum wage, which was the former metric. 
  • Worker complaints can be filed electronically. Prior to these amendments, complaints could be submitted only in written form.
  • It is now considered a violation of the law to prevent or obstruct authorities from conducting a document inspection.
  • Failure to provide information required by law, regulations or applicable guidelines within the required timelines and through the established means and methods is deemed a violation of the law.
  • Personnel designated to impose fines will be authorized under the INFONAVIT’s internal regulations.

Information contained in this publication is intended for informational purposes only and does not constitute legal advice or opinion, nor is it a substitute for the professional judgment of an attorney.