Mexico in Focus: 40-Hour Labor Reform Advances; Economy Grows Slowly; Climate Challenges the Country

Mexico is experiencing a period of significant internal decisions and external challenges. The government has begun the gradual implementation of the historic reform for a 40-hour workweek, while the national economy is experiencing slow growth, affected by trade uncertainty with the United States and high interest rates. Added to this is a complex climate outlook, with cold fronts impacting the north and a persistent heat wave across much of the country.

President Claudia Sheinbaum's administration formally announced the beginning of the "gradual" implementation of the 40-hour workweek. This measure seeks to reduce the standard workday, returning eight hours per week to workers for personal, family, and recreational use, with the goal of improving well-being and contributing to national development.

The reform is particularly relevant given that Mexico is one of the OECD countries with the highest number of hours worked per year (2,207 in 2023). This announcement follows previous policies focused on restoring the minimum wage, which, according to official figures, has increased its purchasing power by 134% since 2018. The implementation of this reform will be a key process due to its potential impact on productivity, business costs, and social dynamics.

The latest economic figures paint a cautious picture:

* Q1 2025 Growth: The timely estimate of GDP showed modest quarterly growth of +0.2% and annual growth of +0.6%. While a technical recession is being avoided, there is concern about stagnation in secondary and tertiary activities.

* Uncertainty: External factors, such as US trade policy and tariffs, have already impacted first-quarter data and are generating uncertainty for the second quarter. Domestically, the upcoming election for judicial reform also adds an element of economic uncertainty.

* Revised 2025 Forecast: Growth forecasts for the full year 2025 have been reduced to a range of 0.6%-1.5%, due to external uncertainty and high credit costs resulting from Banxico's 9.5% interest rate. Extreme and Contrasting Weather The National Meteorological Service (SMN) and CONAGUA warn of adverse weather conditions across much of the country:

* Cold Fronts 41 and 42: Affecting the north, northeast, and northwest of the country, bringing strong to intense winds with dust storms, rain, and showers. Snow or sleet are possible in the Baja California mountains.

* Heat Wave: At the same time, an anticyclonic circulation is maintaining a very hot to extremely hot environment over most of Mexico, with temperatures that could exceed 40-45°C in states such as Jalisco, Michoacán, Guerrero, Oaxaca, Morelos, Campeche, and Yucatán. Mexico City expects highs of 30-35°C.

* Rain in Other Areas: Low-pressure channels and humidity will bring rain and showers, some heavy with possible hail, to the center, east, south, and southeast, including the Yucatan Peninsula. Very heavy rains are expected in Oaxaca and Chiapas.

* Seismic Activity: Several low-magnitude earthquakes (less than 4.0) were recorded during the early morning, with epicenters in Guerrero, Oaxaca, Chiapas, and Puebla, with no damage reported.

* Missing Persons: Amnesty International described the crisis of disappearances in Mexico as an "unavoidable issue," highlighting the seriousness of this humanitarian problem.

* CDMX Mobility: The Hoy No Circula program is suspended this Sunday, May 4, in the Metropolitan Area of ​​the Valley of Mexico.