Businesses, Senate Oppose INFONAVIT Reform

President Claudia Sheinbaum has introduced an initiative to reform the Institute of the National Housing Fund for Workers (INFONAVIT), aiming to ensure access to housing. However, the proposed reform has sparked criticism from the opposition and the business sector.

The initiative seeks to address Mexico’s housing deficit, estimated to range between 4 million and 8 million homes, reports Publimetro. The reform aims to benefit lower-income groups. "This shift in perspective is important, prioritizing people so they can live closer to their workplaces and areas with adequate services," says MORENA Senator Beatriz Mojica.

The proposed reform includes several key changes, including allowing INFONAVIT to allocate resources for housing construction through a subsidiary. The Director General of INFONAVIT would be appointed by the government and would have veto power. Additionally, the number of members on oversight and administrative committees would be reduced, and the government would have greater participation in INFONAVIT’s decision-making bodies. The reform would also introduce a social leasing scheme with an option to purchase, ensuring that monthly payments do not exceed 30% of a worker’s salary.

However, business leaders and worker representatives from various political groups have joined forces to call on the executive and legislative branches to halt what they describe as a setback for INFONAVIT, according to El Economista.  Also, opposition parties in the Senate have urged lawmakers to suspend the reform to make necessary adjustments and protect workers' savings.

“There is a significant margin for discretion, which could lead to the misuse of workers' funds,” says Movimiento Ciudadano Senator Clemente Castañeda.

Gerardo Fernández Noroña, President, Senate Board of Directors, says that the INFONAVIT reform will be discussed and potentially approved on Feb. 11, 2025, adding that it is considered a legislative priority, according to the Mexican Senate.