Labor Reform - Extension of Implementation

February 12th, 2022

On October 3, 2022, the third and last phase of the Labor Reform approved in previous years regarding labor justice, conciliation and jurisdictional labor procedures was implemented in the State of Nuevo León, thereby the newly created Labor Conciliation Center in the State of Nuevo León began its operation, at the same time as the Labor Courts and Tribunals, which will now be dependent of the Judicial Branch.

The foregoing implies that the Conciliation and Arbitration Board of the State of Nuevo León will relinquish its functions and will continue solely and exclusively with the processing of matters, lawsuits and proceedings already initiated before such authority, given that on September 30, 2022 the Board ceased to receive claims, agreements, terminations and any other matter of such nature which corresponds to the functions and competence of the new Labor Conciliation Center in the State.

Among the main changes in conciliation matters are that it will now be mandatory to attend the conciliation prior to the processing of the lawsuit and that in order to attend a conciliation appointment, it will be indispensable and a legal requirement to grant the appearing lawyer a power of attorney (or public deed) in order to justify the capacity in which they are appearing.

With respect to the litigation procedure, it will be carried out in a radically different manner than the one before the establishment of the Conciliation Board, since now there will be deadlines and terms for answering the claim, offering evidence and objecting to the evidence of the opposing party.

The implementation of the Labor Reform includes the need for the corporation to adapt and be prepared with respect to the attendance of a conciliatory appointment, since its attendance will now be mandatory and its failure to attend will imply the imposition of fines and administrative sanctions, additionally with respect to labor litigation, since its processing and procedural rules will vary from what has traditionally been done.

For any questions, comments or advice on the matter, we are at your service through any of our contact channels.

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