---
title: "Labor reform: 5-minute guide for business owners · Sicheca"
description: "The essentials of the 40-hour reform for whoever runs a small or medium business."
url: https://sicheca.com/en/blog/reforma-laboral-guia-para-duenos-de-negocio
lang: en
alternate_es: https://sicheca.com/blog/reforma-laboral-guia-para-duenos-de-negocio.md
---
For business owners · 3 min read

# Labor reform: a 5-minute guide for business owners

Short answer

Three things fall to you: reduce the workweek to 46 hours in January 2027, watch the overtime cap and keep an electronic working-time record.

## What you cannot do

- Cutting salaries.
- Sticking with a notebook.
- Letting overtime pile up without control.

## What you can do

- Spread the workday by agreement.
- Reorganizing shifts.
- Record from the phone, with no devices.

| Year | Maximum working hours | Double-time overtime | Triple-time overtime |
| --- | --- | --- | --- |
| 2026 | 48 h | 9 h | 4 h |
| 2027 | 46 h | 9 h | 4 h |
| 2028 | 44 h | 10 h | 4 h |
| 2029 | 42 h | 11 h | 4 h |
| 2030 | 40 h | 12 h | 4 h |

Decree published in the Official Gazette of the Federation on May 1, 2026, second and fourth transitory provisions, and article 68 of the LFT. Each change applies from January 1.

## The reform in one minute

The reform has two parts. On March 3, 2026, article 123 of the Constitution was amended to set the 40-hour workweek. On May 1, 2026, the Federal Labor Law was amended, which is where the detail is.

- The maximum working week drops from 48 to 40 hours, two hours per year, between 2027 and 2030.
- Overtime has a weekly cap: it is paid at double time up to the cap and at triple time for up to 4 more hours.
- Each company must electronically record the start and end time of each person's workday.
- Not keeping that record is fined 250 to 5,000 UMA.
- Salary and benefits cannot go down because of the reduction in hours.

What remains pending are the STPS general rules, which will define who the record applies to and what exceptions there will be. They take effect on January 1, 2027.

## Common mistakes

- Leaving it for December.
- Choosing only by price, without checking whether the team will use it.
- Thinking the notebook is still enough.
- Not agreeing on the record in writing.
- Paying differently from what the record shows.

## What to do now

1. Ask your accountant and your lawyer what applies to you.
2. Calculate how many hours you need to reorganize.
3. Decide how you will record working time.
4. Start before January.
5. Review the record every day during the first month.

## Related terms

**[What is the payroll CFDI](https://sicheca.com/en/blog/cfdi-de-nomina).** The payroll CFDI is the payment receipt stamped with the SAT that the company issues for each salary payment.

**[Vacation premium: how much it is and when it is paid](https://sicheca.com/en/blog/prima-vacacional).** The vacation premium is an additional payment of at least 25% on the salary for the vacation days.

**[What is the Official Gazette of the Federation (DOF)](https://sicheca.com/en/blog/diario-oficial-de-la-federacion-dof).** The Official Gazette of the Federation is the publication where federal laws, decrees and rules appear.

## Frequently asked questions

### How much does it cost me not to do it?

The fine for not keeping the record ranges from $29,327.50 to $586,550 with the 2026 UMA.

### Can someone work more than 12 hours in a day?

No. The sum of ordinary and overtime hours cannot exceed 12 hours per day.

### Does salary go down if fewer hours are worked?

No. The reform prohibits lowering wages and benefits because of the reduction in working hours.

### Is the reform already in force?

Yes. The reform to the Federal Labor Law took effect on May 1, 2026. The reduction in working hours starts on January 1, 2027.

### Who monitors compliance?

The Ministry of Labor and Social Welfare, through inspections.

## Legal basis and sources

- [Decree amending the Federal Labor Law on the reduction of the working week](https://sidof.segob.gob.mx/notas/docFuente/5786537). Official Gazette of the Federation, May 1, 2026.
- [Federal Labor Law, current text](https://www.diputados.gob.mx/LeyesBiblio/pdf/LFT.pdf). Chamber of Deputies.

**How we write this content.** The Sicheca team writes it from the official text of the law. When something is not yet defined by the authority, we say so. It is general information and does not replace the advice of a lawyer or an accountant.

## Keep reading

[ For business owners **How much does it cost to comply with the working-time record?**](https://sicheca.com/en/blog/cuanto-cuesta-cumplir-con-el-registro-de-jornada) [ For business owners **How to avoid overtime lawsuits**](https://sicheca.com/en/blog/como-evitar-demandas-por-horas-extra) [ For business owners **Opening another branch: attendance control without devices**](https://sicheca.com/en/blog/abrir-una-sucursal-control-de-asistencia) [ Law and fines **Electronic working-time record: what it is and what the law requires**](https://sicheca.com/en/blog/registro-electronico-de-jornada-que-es)

[See all articles](https://sicheca.com/en/blog/)

Who publishes this blog

Sicheca is a digital time clock for recording working time from your phone. We write these guides from the official text of the law, so any business can understand what applies to it. If you want to try it, there is a waitlist.

[Join the waitlist](https://sicheca.com/en/lista-de-espera?utm_source=blog&utm_medium=articulo&utm_campaign=reforma-laboral-guia-para-duenos-de-negocio&utm_content=final)
