Legal compliance of the employee file in Mexico

Every employment relationship is regulated by laws that protect the rights of both employees and employers at its various stages. Regarding the employee file, in Mexico there is the Federal Labor Law (Ley Federal del Trabajo - LFT) which stipulates the mandatory nature and regulation of legal compliance in relation to it.

The employment file is a crucial tool to safeguard the working relationship and ensure the protection of both the worker's rights and the employer's interests. In this blog, we will provide you with some key points you need to know about the legal compliance of the employee file.

1. Employment contract

The LFT establishes that every employment relationship must be backed by an employment contract, whether for a fixed, indefinite, or specific project term. This contract must be in writing and two copies must be made, one for the worker and one for the employer.

2. Personal data

It must contain essential employee information, such as their name, address, date of birth, nationality, marital status, social security number, among others. This information must be protected under the Federal Law on the Protection of Personal Data Held by Private Parties.

3. Social Security Documents

Records related to the Mexican Social Security Institute (IMSS) must be included, proving the proper registration and contribution of the employee.

4. Trainings and continuous learning

The LFT promotes employee training and education. The certificates or evidence of these trainings or courses must be part of the file.

5. Performance evaluations

Although not a legal requirement, it is good practice to keep records of performance evaluations in the file to back future decisions related to promotions, salary increases, or employment terminations.

6. Proof of payment

It is essential to keep detailed records of salaries paid, including receipts and details of the calculations. In Mexico, the use of the Digital Tax Receipt via Internet (CFDI) is common to validate fiscal payments and deductions.

7. Contract termination 

In the event that the employment relationship is terminated, it is key to have the reason for said termination documented, as well as any agreement or severance payment made. This protects both parties in case of future disputes.

8. Preservation and updating

It is crucial that files are kept in a safe place and constantly updated. In the case of labor audits or inspections, companies must be able to present these files.

9. Electronic signature

With recent labor reforms and digitalization, the electronic signature has become an essential tool to validate documents in the employment file.

It is important to keep in mind that non-compliance with these aspects can lead to sanctions by labor authorities and potential litigation.  But how to achieve it? Here is a tool that can help you.

Tool that facilitates legal compliance

Sora® is a digital labor tool that helps you ensure compliance with the signing of contracts, documents, and payroll receipts of your company in an automated way through our platform. This way, you and your team will no longer have to worry about chasing down employees to get their signature on documents, and you will also be prepared for potential audits.

Would you like to revolutionize your company this way? Do not miss the opportunity to enjoy the benefits of Sora and reduce the risks of legal sanctions through them. Schedule a free demo here.