Claudia Sheinbaum's Vision for the Future of Work in Mexico

Claudia Sheinbaum, Mexico's new president and successor to former President López Obrador, won the election with approximately 58% of the vote. Her victory signifies a blend of continuity and change in Mexico's labor landscape, building on López Obrador's policies while introducing new initiatives to address ongoing and emerging challenges.

In her victory speech, Sheinbaum emphasized her administration's commitment to a different, more technocratic approach from President López Obrador. "Even though many Mexicans do not fully agree with our project, we will have to walk in peace and harmony to continue building a fair and more prosperous Mexico," she said. 

While Sheinbaum aims to govern independently from her predecessor, some of her proposals for a constitutional labor reform remain consistent with her predecessor's policies. This includes increasing minimum wages to represent 2.5 daily basic baskets, with annual nominal increases of 11% and guaranteed rises above inflation, according to El Economista. Her plan also considers social security for application delivery workers currently hired outside the law, seeking to formalize and protect gig economy workers. This initiative is expected to significantly impact Mexico's labor market, where informal employment is widespread.

According to an article by MBN, the number of informally employed people reached approximately 25.8 million by the end of the 3Q22. These workers endure low wages and lack social security benefits, highlighting a persistent issue for the country. Government data shows that Oaxaca had an informality rate of 81.1%, Guerrero 78.2%, and Chiapas 73.2% in 4Q23, underscoring the prevalence of informal employment in these regions.

Furthermore, her commitment to social welfare is evident in the continuation of wellbeing programs, which include support for older adults, and people with disabilities, and the Youth Building the Future program. Expanding the welfare program for children of working mothers and reforming INFONAVIT to build accessible housing are also key components of her plan. 

Additionally, Sheinbaum proposes to establish a minimum wage for full-time teachers, police officers, National Guard troops, soldiers, sailors, doctors, and nurses, ensuring that these professionals earn no less than the average salary of workers registered with Social Security. Her proposal is grounded in her successful tenure as Mexico City’s mayor, where she oversaw a significant reduction in crime rates. She achieved this by focusing on police salaries, enhancing training programs, and implementing community-policing models similar to those pioneered by some US cities, as highlighted by Kate Linthicum of The Los Angeles Times.

Introducing significant changes, Sheinbaum's project aims to provide bimonthly support for women aged 60 to 64, equivalent to half the pension of those aged 65 and over. Ensuring fair remuneration with social security for artists reflects a recognition of the cultural sector's economic contribution and the need for its protection. Her constitutional initiative to support substantive equality for women, including equal cabinets and the eradication of the wage gap, demonstrates a commitment to gender equality.

In November 2022, the wage gap between men and women was reported at 15.6% by the Borgen Project, meaning that, on average, Mexican women earn approximately US$4.25 for every US$5.00 earned by men for similar work. This phenomenon reflects the economic manifestation of the capitalist notion that men, as primary breadwinners, deserve higher pay, reports MBN. 

Beyond the Mexican borders, Sheinbaum’s strategic vision leverages the phenomenon of "nearshoring" to create development poles while avoiding the establishment of low-wage paying companies, states the New York Times. The goal is to attract companies that provide good salaries, labor rights, and housing for Mexican workers. “(A) relocation will be sought, with good salaries for Mexican men and women, with labor rights, with housing,” she said.