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Written By: Francisco Peña

Cacheaux Cavazos & Newton

Mexico City, Mexico

The Decree by means of which the administrative criteria, requirements and formats to carry out proceedings and request services on training and productivity of employees (the "Decree") was recently published in the Official Journal of the Federation. The Decree issued by the Mexican Department of Labor and Social Welfare ("STPS") given the recent reforms to Mexico's Federal Labor Law, aims to simplify, update and integrate various provisions contained in other decrees, giving certainty and effectiveness to the laws applicable to employers and companies. The General Training Department of the STPS is responsible for interpreting and enforcing the provisions described in the Decree; however, the regional offices of the Federal Labor Department are responsible for providing guidance so that employers and companies may comply with the Decree. As to the establishment of the mixed commission on training and productivity within companies (the "Commission"), the Decree provides that such should be formed and integrated in a joint and equally representative manner with the same number of employee and employer representatives. More than one Commission or sub-commission may be formed, and its composition and operation should be documented. Similarly, the Decree establishes that the Commission must issue its opinion on the permanence of employees hired for trial periods and initial training. The Decree imposes a requirement on companies to maintain internal records, and such records must be presented before the STPS upon request. The Decree also establishes that an External Training Agent authorized and registered with the STPS (information that may be requested from the agent or the STPS website, www.stps.gob.mx) may be requested. Internal Training Agents do not require authorization and registration before the STPS; however, training programs must be properly documented. Furthermore, the Decree also defines training as the necessary support provided by the employer to the employee to begin, continue, or complete schooling at basic, intermediate and advanced levels. Companies must inform the STPS, for registration and record control purposes, of the lists of employment skills or abilities within 60 business days following the end of each training plan or program and upon their conclusion, even when a full year has not gone by. Training plans and programs registered up until November 30, 2012 will remain in force, and companies will have a term of ninety calendar days as of the publication of the Decree to prepare internal records on productivity.

For more information about Mr. Peña, a partner of Cacheaux, Cavazos & Newton, please visit www.ccn-law.com or the International Society of Primerus Law Firms.

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