Employers in Mexico are required by law, to give employees a Christmas bonus.
The “aguinaldo” is a mandatory annual payment given in the month of December, prior to the 20th, to each worker in Mexico. This includes all employees in private industry, and all government employees.
The aguinaldo is equivalent to 15 days wages, or more. For employees with less than a years service, a pro-rated payment is provided.
This puts added strain on cash flow and accounts payables for Mexican organizations during the month of December. At the same time it creates a huge burst of economic activity throughout the country.
Related Links
Christmas parties and holiday gifts in Mexico
Mexican official and unofficial holidays
How to do business in Mexico
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December 5, 2006 at 3:00 pm and is filed under Business, Christmas bonus, Guanajuato, Guanajuato Mexico, Lee Iwan, Lee Iwan Accumulated Experience, Mexican, Mexican Business, Mexican business culture, Mexican culture, Mexican holiday, Mexican holidays, Mexican law, Mexican vacation, Mexico, Mexico business, Mexico business culture, Mexico holiday, Mexico holidays, Mexico vacations, aguinaldo, business in Mexico, doing business in mexico, holiday business gifts, how to do business in mexico, work in Mexico. You can follow any responses to this entry through the RSS 2.0 feed.
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December 6, 2006 at 4:49 pm
IT is true that the “aguinaldo” causes a boost in mexican economy, but at the same time its important to say that there is plenty of working people that are not covered with it.
Aguinaldo among other payments that are required by law, are still dodged by a good part of companies in the country. President Calderon has a big task in finishing with this bad habit, and to make all businesses fair with the workers.
December 8, 2006 at 10:37 am
I am curious about part time employees. I pay my housekeeper 300 pesos a week for 10 hours work. She works three mornings a week for 3 1/2 hrs. What does 15 days salary add up to? 15 times 100 pesos equals 1500 pesos–or double her weekly salary of 300 plus 100 for the extra day which equals 700? Does anyone know?
December 8, 2006 at 1:50 pm
Jude if the worker has been with you for over a year it has to be paid two weeks wages. Simple isnt?
December 8, 2006 at 3:30 pm
I agree with your comments Juan Pablo. Like most things in Mexico there is a law, but the enforcement and compliance leaves a lot to be desired.
Jude: In Mexico 15 days is considered two weeks. So as Juan Pablo pointed out, you should give an additional 2 weeks pay for the aguinaldo. In your case it will be MXN $ 600.00 plus the normal paycheck….minimum. In my home my wife also gives a small present along with the aguinaldo to workers in our home.
December 18, 2006 at 10:11 am
[...] Lee Iwan describes Mexico’s annual aguinaldo: “This puts added strain on cash flow and accounts payables for Mexican organizations during the month of December. At the same time it creates a huge burst of economic activity throughout the country.” David Sasaki [...]
December 18, 2006 at 12:10 pm
Hola, tengo un empleado que tiene ya 3 años trabajando conmigo, dice que le debo de pagar 20 días de aguinaldo, ¿cuanto es lo justo y legal? yo se que son 15 días., también les doy un regalo de parte de nuestra familia de agradecimiento. Muchas Gracias y Felicidades
April 12, 2007 at 1:41 pm
While 15 days is the minimum requirement for the aquinaldo payment , what is the common practice used by the majority of employers?
May 1, 2007 at 8:34 pm
[...] countries require employers to provide a month of paid vacation and/or mandatory bonuses. Take the Mexican aguinaldo, for example, a mandatory Christmas bonus provided to every employee in Mexico and equivalent to 15 [...]
June 17, 2008 at 3:31 pm
Tiene un empleado derecho al pago de aguinaldo si trabajó solo un mes?
Cuanto tiene debe tener un empleado para que tenga derecho al pago de aguinaldo?