The month of May is approaching and with it, the distribution of profits by companies to their workers begins.
While the maquila and commerce sectors expect greater income than last year, small and medium-sized companies continue to struggle to comply with this obligation.
In accordance with the Federal Labor Law (LFT), it is a constitutional right of employees, in accordance with the Annual Declaration that companies present in March.
Jesús Manuel Salayandía Lara, vice president of Maquila and Border Affairs at Canacintra Nacional, said that this year most companies will comply in due time and form with the distribution of profits.
However, he added that there are others that have seen their flows very tight, especially the small and medium-sized ones (SMEs), which are the ones that are expected to struggle the most to comply with it.
While in the maquilas he ruled out any problem, as he stated, they are the ones that have reported the most profits during the year.
“The maquiladora industry is the one that struggles the least because they are cost centers and somehow have another type of flow, but SMEs have been greatly affected in their flows and in their profits, due to issues such as inflation,” he highlighted.
Rogelio Ramos Guevara, president of the National Chamber of Commerce (Canaco), stated that in this sector it is expected that the amount to be distributed this year will be higher than that of 2022, due to the increase in sales.
“There are companies that tell us that they are going to deliver the equivalent of up to one month’s salary to their workers,” he said.
While Mario Cepeda, president of the Employers’ Confederation of the Mexican Republic (Coparmex), also ruled out problems in compliance with this benefit.
The LFT indicates that the date on which the 2023 profit sharing must be paid is the 1st of the entire month of May.
The employees who are entitled to receive profits are those who have worked for at least 60 days in a company for an employer and who receive their income through the payroll.
However, there are some exceptions with those who do not receive this benefit, such as directors, administrators, general managers, partners and shareholders, temporary workers with less than 60 days worked in the corresponding year, as well as Professional Services providers.
The LFT details that the money to be distributed is divided into two equal parts: the first is distributed among the workers, according to the days worked in the year, and the second is applied proportionally to the salary that each employee has.
It also establishes that the company must allocate 10 percent of its fiscal profit, that is, after the payment of taxes, and distribute it among the workers according to the hours worked and the daily salary of each one.
