EOR in Mexico
Employer of Record in Mexico.
Employ talent in Mexico without setting up a local entity.
- Fast, compliant employee onboarding
- Payroll, taxes, and social security administration
- Transparent monthly EOR pricing
- Work authorization support, where applicable
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Employment in Mexico
Employ in Mexico without establishing a local entity
An Employer of Record (EOR) in Mexico enables international companies to hire employees without establishing a local legal entity. The EOR acts as the legal employer, managing employment contracts, payroll, statutory contributions, and local compliance obligations.
EOR pricing in Mexico is typically based on a fixed monthly fee per employee. This approach helps businesses reduce setup costs, simplify administration, and expand their workforce while retaining day-to-day management of their employees.
At a glance
Mexico at a glance
Country essentials and economic context.
Country profile
Economic indicators
Employment
Employment essentials
Choose a topic to explore local employment requirements.
Public holidays in Mexico
Mexico has seven annual statutory public holidays. An additional statutory holiday applies on October 1 every six years when the presidential transfer of power occurs.
- 1JanNew Year’s DayJanuary 1
- VariesConstitution DayFirst Monday of February
- VariesBenito Juárez’s BirthdayThird Monday of March
- 1MayLabor DayMay 1
- 16SepIndependence DaySeptember 16
- VariesRevolution DayThird Monday of November
- 25DecChristmas DayDecember 25
Conditional statutory holiday
Inauguration Day (Transmisión del Poder Ejecutivo Federal) — October 1, every six years when the presidential transfer of power occurs. Statutory — Conditional
Included
What’s included in your EOR service?
Employment administration and support for your team in Mexico.
Mexican Employment Contracts & Onboarding
Preparation of employment contracts under Mexico’s Federal Labor Law, employee onboarding, and mandatory IMSS registration.
Monthly Payroll in Mexico
Gross-to-net salary calculations, payslips, statutory deductions, and payroll processing in Mexican pesos (MXN).
IMSS Registration & Contributions
Employee registration and administration of applicable IMSS, retirement, and INFONAVIT contributions and reporting obligations.
Mexican Payroll Tax Compliance
Administration of employee income tax (ISR), applicable state payroll taxes, and statutory payroll withholding and filing requirements.
Leave & Benefits Administration
Management of statutory annual leave, maternity, paternity, and sick leave, vacation premium, and agreed benefits. Mexico’s mandatory Aguinaldo is at least 15 days’ salary, payable before December 20 each year, with prorated payments for shorter service periods.
Employee Records & Data Protection
Maintenance of legally required employee records and HR documentation, with personal data handled in accordance with applicable Mexican data protection laws.
Local HR & Labor Law Support
Ongoing assistance with Mexican employment regulations, employee relations, and day-to-day HR administration.
Termination & Final Settlement
Coordination of applicable termination requirements, severance calculations, accrued benefits, final payroll, and mandatory IMSS exit notifications.
EOR vs Local Entity in Mexico
| Factor | EOR | Local Entity |
|---|---|---|
| Setup Time | No local entity setup required | Incorporation and tax/employer registrations required |
| Setup Cost | No local incorporation or share capital required | Incorporation, legal and administrative costs |
| Compliance | Mexican employment and payroll compliance administered by EOR | Direct employer compliance responsibility |
| Payroll | MXN payroll, ISR withholding and statutory contributions managed | In-house or outsourced payroll administration |
| Employment Risk | Statutory employer obligations managed by EOR | Direct employer liability |
| Scalability | Hire employees without establishing a local entity | Requires an established local employing entity |
Hiring
Hiring & compliance in Mexico
Key employment rules for international employers hiring in Mexico.
Work Authorization & Hiring Foreign Employees
Foreign nationals generally require appropriate immigration authorization to work in Mexico, subject to applicable exemptions. Gini Talent supports eligible work authorization applications, documentation, onboarding, and renewals.
Employee vs Independent Contractor in Mexico
Worker classification depends on the actual working relationship, including subordination and employer control. Misclassification may result in employment claims, social security liabilities, and tax exposure.
Important Compliance Risks in Mexico
EOR arrangements do not eliminate all local compliance risks. International employers should consider permanent establishment exposure, intellectual property rights, employee data protection, and applicable labor and social security obligations.
Employment termination in Mexico
Notice Period
Mexico generally has no universal statutory advance notice period for ordinary employment termination. However, employers dismissing employees for justified cause must comply with specific written notice requirements under the Federal Labor Law.
Severance Pay
In cases of unjustified dismissal, statutory remedies may include three months’ integrated salary, 20 days’ salary per year where legally applicable, and other payments depending on the circumstances of termination.
Reinstatement & Dismissal Risk
Employees dismissed without legally justified cause may seek reinstatement or statutory compensation, subject to applicable legal conditions and exceptions. Employers should document the grounds and procedures for termination.
Unused Annual Leave
Upon termination, employees are generally entitled to payment for accrued, unused statutory vacation, the corresponding vacation premium, and other outstanding employment benefits.
Documentation & Final Settlement
Employers must complete final payroll calculations, settle outstanding salary and applicable benefits, including prorated Aguinaldo, and submit required IMSS termination notifications within statutory deadlines.
Download free guide for Mexico
A practical guide to employment, payroll, tax and EOR compliance in Mexico.
Customer success
Employ in Mexico with one partner
Gini hires and employs people in Mexico under local rules, covering the contract, payroll, tax and social contributions, without opening a local entity first.
Payroll, tax and social security stay with one accountable partner.
Gini TalentEmployer of Record
