If in recent days you heard that many people have been farewells of your jobs, It is not coincidence. Every year, thousands of employees in Mexico lose their job just before distribution of profitsespecially between the end of April and early May.
This practice responds to legal, fiscal and financial strategies that companies apply to minimize Costseven at the expense of their collaborators.
The truth behind the mass layoffs in April and May. (Photo: Dedinero)
In this period of the year, multiple factors combine so that many companies opt for personnel cuts. Although it may seem a coincidence, reality is documented in the Federal Labor Law and in the Mexican Fiscal Calendar.
Next, I explain the five reasons why layoffs increase this season:
The Federal Labor Law establishes that workers have the right to receive 10% of the net profits that the company has generated the previous year. This payment is known as workers’ participation in profits (PTU) and must be delivered no later than May 30, if you work in a company constituted as a moral person.
Companies that wish to reduce the total amount to be paid for profits choose to say goodbye to employees before these dates. Thus, although it is legally questionable from an ethical perspective, it is avoided that those who are no longer in the payroll participate in the cast.
The fiscal year for moral persons in Mexico concludes on December 31, but the annual statement is presented in March. It is in April when many companies review their financial results, determine whether there were losses or profits, and make adjustments in their workforce to optimize their resources before closing the first semester.
Therefore, April and May become a moment of deep and sometimes, job cuts.
In addition to the distribution of profits, some patterns seek to avoid additional obligations such as performance bonds or contractual reviews. When they anticipate financial problems or seek to reduce job liabilities, they choose to terminate the employment relationship before committing more economic responsibilities.
In recent years, Mexico has lived important changes in subcontracting. Many companies that previously hired Outsourcing have been forced to review their internal structures, and that has resulted in dismissals.
In 2025, the effects of this transition are still present, especially in industrial and service sectors.
In April, national and international media reported that the manufacturing industry in Baja California was hard beaten by steel tariffs and auto parts. This led to mass cuts. In other states, accumulated inflation and economic uncertainty have motivated similar decisions.
Yes, but it must be done according to the law. If you were recently fired, remember that you have the right to receive settlement according to article 50 of the Federal Labor Law, in addition to any other pending benefit (proportional bonus, vacation, holiday premium, among others).
Request in writing the reason for the dismissal and make sure that the company respects your rights.
Verify if you have the right to profits. If you worked in 2024 for more than 60 days, consult with the Federal Office of Labor Defense (Profedet), which provides free and specialized advice.
Calculate your settlement according to the law. Do not accept less than correspond to you.
It depends on how long you worked in the previous fiscal year. The requirement is to have worked at least 60 days in 2024.
Go to Profedet or the Federal Center for Conciliation and Labor Registry.
Los layoffs in April and May They are not coincidence. They are the result of business practices linked to tax obligations, distribution of profitsfinancial closure of the first quarter and cost control strategies. Being informed helps you Prevent abusedefend your rights and prepare yourself to an unstable work environment.
