President Enrique Peña Nieto led the Signing of the Agreements for the Implementation of Actions to Formalize Employment, by the state governments, the Labor Secretariat and the IMSS.

Nearly three years after the signing of these agreements, structural reforms and innovative public policies were designed and implemented to facilitate access to decent, socially useful work and also to create incentives for a more formal labor market.

“The government, the governments of the states and Mexico City have thereby promoted the creation of more and better jobs, in other words, we are creating formal jobs.”

An example of this progress is the Let’s Grow Together Strategy and the Fiscal Incorporation Regime (RIF). To date, there are over 4.5 million taxpayers registered with the RIF, which has  1.3 million new taxpayers who were not enrolled in the previous Small Taxpayers’ Regime (REPECOS).

Through the Regime of Incorporation into Social Security, the SAT, IMSS and INFONAVIT have joined efforts to facilitate access to this right.

Formal employment has a positive impact on the economy while at the same time, providing significant benefits for workers and their families. A couple of weeks ago. the IMSS announced that 82,500 formal jobs were created in April, bringing the total number of affiliated workers to 18.2 million.

“I would like to highlight two remarkable aspects of this figure. On the one hand, it is the highest increase in permanent jobs in April since records began.

On the other hand, this figure means that, during the first 41 months of this administration,1,940,000 new formal jobs have been created. This is the largest increase in the number of workers affiliated to the IMSS for this period in any administration.”

Reduction of the informal economy

According to INEGI data, during the first quarter of this year, the Labor Informality Rate accounted for 57.4% of the employed population. This is the lowest informality rate in the past decade.

At the state level, during these past three years, the Labor Informality Rate declined in 22 of the 32 states.

It is estimated that 40% of the workers employed in the formal sector produce 76% of GDP. 

Formal workers have access to health services; life or disability insurance; housing and consumer loans; daycare facilities for their children; and retirement and unemployment in insurance during their old age.

These benefits improve workers’ pay, representing up to 24% of their income and, above all, mean a significant improvement in their quality of life, especially when they reach old age.

"Although significant progress has been made, we cannot lower our guard. We will redouble our efforts.”

These efforts include four steps to achieving it.

“On the basis of formal employment, we want more Mexicans to have full rights and to be better protected against situations that may affect their financial stability.

This is what we are doing, because a formal job means family security, better quality of life and certainty in the future. Thank you for your shared efforts.”