He Federation Expenditure Budget Project applies a cut to the Ministry of Labor and Social Security (STPS) of 6.7% and whose biggest loser will be the Federal Center for Conciliation and Labor Registration (CFCRL), despite the commitments established with the signing of the T-MEC for the implementation of the new labor model.
This is the second consecutive year that the government applies a budget reduction to labor institutions.
He Federal Center for Conciliation and Labor Registration presents a cut of 32.5% of its budget compared to 2024 (-215.7 million pesos). This cut represents 28% of the total decrease in the STPS budget for 2025.
Contrary to the rationale of the new labor model that began in 2019 with the approval of the reform, in this budget proposal more resources are assigned to the Federal Conciliation and Arbitration Board that represent the old Labor model.
The Federal Conciliation and Arbitration Board (JFCA) presents a budget decrease of 8.7%; cut four times smaller than that made to the Federal Center for Conciliation and Labor Registration; In the case of the Inspection, it presents a decrease similar to that of the JFCA (-8.8%) between 2024 and 2025.
Joyce Sadka, head of the ITAM Academic Law Department, stated that “hearing on the same day that the Federal Center for Conciliation and Labor Registration and that he has this celebration, that they are cutting about a third of his budget, seems implausible to me, and the truth is that he stated that Mexico will not be able to meet the goals of the labor reform nor will it be possible for it to meet its obligations to international level, say the ILO and the Conventions it has signed.”
In that same sense, the ILAW labor specialist, Pablo Franco, spoke out, “it is worrying that the entire Labor sector presents such a large cut. Cutting more than 30% of its budget to the Federal Center puts its viability at risk because it could leave it in inoperative conditions in the face of next year’s contractual review process and the increase in evidence of representativeness that exists in an evolutionary manner,” He stressed that this panorama also allows us to foresee that the relief of the Conciliation and Arbitration Boards has not been reduced, in a sensible way, leaving many people without resolution of their conflicts.
And the fact that the labor inspection is also reduced in its budget suggests that impunity will continue in the constant violations of labor rights.
Franco highlighted that “the Chamber of Deputies should raise a commitment to the world of work and to labor justice, especially correcting this proposal that is incongruent with public policies, promoted by a government that has promoted a labor reform that promotes democracy.” participation of workers and seeks to promote labor justice.”
