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Weekly Report - 02 May 2019 (WR-19-17)

MEXICO: Labour reform clears congress

Mexico’s federal senate has given final approval to the labour reform submitted by the government led by President Andrés Manuel López Obrador. This is a major boon for the government as the introduction of changes to Mexico’s labour laws to reinforce workers’ rights has been set as a precondition by US legislators for the ratification of the US-Mexico-Canada (USMCA) regional trade agreement. But not everyone in Mexico is content with the approved reform, with business lobbies complaining that the proposed changes will undermine Mexico’s longstanding competitive advantage to the detriment of local business and the national economy.

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