Changes in unemployment benefits due to reform of the Afores in Mexico

During the last extraordinary session of the LXVI Legislature, the Chamber of Deputies approved a series of modifications to the Social Security Law , specifically to Article 191, which regulates unemployment benefits from the Afores ( annually pension fund) and although it still needs approval in the Senate, here we tell you the details about what the changes are and how you will be affected.

The main objective is to curb the abuses and simulations that have been occurring under this mechanism, which was originally created as a support for those facing job loss.

In 2024, the National Commission for the Retirement Savings System (Consar) detected a fraudulent scheme that involved artificially inflating salaries through simulated hiring. Workers were registered with high salaries, fired shortly afterward, and then filed unemployment benefits for amounts much higher than their actual wages. This type of practice was not easy to stop under current legislation.

One of the key adjustments made in the reform is the method for calculating the withdrawal amount. Previously, the most recent recorded salary was used as the basis; now, an average of all salaries received in the 12 months prior to the request will be considered. This measure aims to reduce the possibility of fraud and make access to the fund more equitable.

The cap of 10 UMAs was also eliminated , meaning that the maximum withdrawal amount will now depend solely on the worker's average salary and length of service in their Afore account.

The law continues to provide for two types of unemployment benefits , but with adjustments to their conditions:

• Modality A : The employee can withdraw the lesser of 30 days of their average contribution base salary for the last year or 11.50% of the total accumulated in the account. This option is available for accounts held for more than three years.
• Modality B : Allows withdrawals of the lesser of 90 days of the average base salary for the last 252 weeks (almost five years) or 11.50% of total savings. A minimum of five years' service with the Afore is required.

In both cases, withdrawal may only be requested after 46 days of unemployment , as a measure to validate the applicant's employment status.

The initiative was introduced by Representative Alejandro Carvajal Hidalgo and has already been approved by the Chamber of Deputies. It must now be sent to the Senate for review and eventual voting. If approved, it would take effect upon publication in the Official Gazette of the Federation.

This legislative change is part of a series of reforms promoted to strengthen Mexico's pension system and ensure that retirement savings are used legitimately.