Economy Country May 07, 2025

Profit Distribution in Mexico 2023

Profit distribution in Mexico is a labor right that benefits millions of workers. Companies must pay 10% of their annual profits, with a deadline of May 30.


Profit Distribution in Mexico 2023

The distribution of profits is one of the most anticipated labor benefits in Mexico. This economic contribution provides a much-deserved relief for the pockets of millions of workers and their families. Both the national Constitution and the Federal Labor Law establish that companies operating in the country must deliver 10% of their profits from the last year to comply with this payment. This right must be granted to all employees working in Mexico and must be delivered no later than May 30.

Although all companies must fulfill this obligation, there are a series of specific legal criteria and exceptions that determine who is entitled to profit sharing and who is not. To prevent abuses, the Ministry of Labor and the Federal Attorney for Labor Defense published the official list of workers entitled to receive profits.

Among the workers entitled to profits are those currently active, former employees, temporary workers who have worked at least 60 days, trusted workers, and employees of a company's establishment.

On the other hand, those who will not receive payment this year include directors, administrators, and general managers of companies, domestic service workers, business owners, self-employed professionals, and technicians who do not have a subordinate working relationship with the employer, as well as temporary workers who have worked less than 60 days during the previous year.