Mexico's lower house approves labor reform for app workers

By Diego Oré

MEXICO CITY (Reuters) - Mexico's lower house on Tuesday approved a reform that seeks to regulate labor conditions for delivery workers and drivers working for apps such as DiDi, Rappi and Uber (NYSE:UBER ) by ensuring access to social security and a Christmas bonus among other benefits.

The reform passed in general with 462 votes in favor, with no abstentions and no one voting against, following a two-hour debate.

"Today is a day that should go down in history," said ruling Morena party lawmaker Ariadna Barrera, saying the reform would benefit hundreds of thousands of workers and further the party's efforts to improve workers' rights.

Around 658,000 people are employed across Mexico on digital platforms, according to tax authority data. Of these, some 41% earn over the minimum wage.

President Claudia Sheinbaum sent the proposal to lawmakers early December and the law was fast-tracked to a plenary vote ahead of Congress' Christmas recess on Dec. 15.

After being approved in general, the lower house moved on to discuss the reform's particular terms. The legislation must then pass through the Senate which will vote whether to endorse any changes.



The ruling Morena party and its allies, who won a landslide victory in the June general election, enjoy a large majority in both houses. They have since sped through a number of reforms proposed under the current and former administrations.

The reform would add Mexico to the ranks of countries such as Chile and Spain that already regulate work through digital platforms, guaranteeing basic labor rights such as a minimum wage and social security.

Source: Investing.com