December 5th, 2025

1. Sheinbaum submits initiative to reduce working hours
Claudia Sheinbaum, President of Mexico, presented an initiative to gradually reduce working hours from 48 to 40 hours per week, without affecting workers’ wages or benefits. This change will be implemented between 2027 and 2030, with an adjustment period for companies in 2026 and a reduction of two hours per year starting in 2027, reaching 40 hours in January 2030. The proposal, which will be included in the Constitution and the Federal Labor Law, sets limits on combined regular and overtime hours, not exceeding 12 hours per day, and requires employers to keep records to ensure compliance. The initiative has received unanimous support from all parliamentary groups, which have also presented similar proposals. According to Sheinbaum, this change, backed by international evidence, will improve productivity, social cohesion, health, and work-life balance.
In addition, a 13% increase in the general minimum wage was announced, which will take effect on January 1, 2026. This increase will benefit 8.5 million workers, raising the general minimum wage to 315.04 pesos per day and the minimum wage in the Northern Border Free Zone to 440.87 pesos per day. This adjustment represents a cumulative increase of 154% in purchasing power since 2018 and has been achieved without negative impacts on inflation or foreign investment, according to official data.
El Financiero: Jornada laboral de 40 horas en México: Sheinbaum explica cómo bajará el tiempo de trabajo
Gobierno de México: Presidenta Claudia Sheinbaum anuncia incremento del 13% al salario mínimo general en 2026
2. enate elects new Attorney General
The Mexican Senate appointed Ernestina Godoy as head of the Attorney General’s Office (FGR) following the resignation of Alejandro Gertz Manero. Godoy, who previously served as Mexico City Attorney General and legal advisor to the Presidency, has extensive experience in the public sector, notably as co-founder of the Morena party and close associate of President Claudia Sheinbaum. Her appointment has drawn criticism due to her ties to the government, raising questions about the autonomy of the FGR. As Attorney General, she has the power to lead high-impact investigations, combat impunity, and ensure the pursuit of justice in Mexico.
Godoy’s arrival represents a challenge for the Mexican judicial system because, although her appointment offers the opportunity to tackle important cases and improve public confidence in the justice system, she faces the challenge of demonstrating her autonomy from the executive branch. Her close ties to the government raise concerns about possible conflicts of interest, while also raising expectations for coordination between the federal executive branch and the Attorney General’s Office.
El Universal: Perfil de Ernestina Godoy, antes fiscal de la CDMX y ahora nueva cabeza de la FGR
El Financiero: Ernestina Godoy es elegida fiscal de la República: ‘No fabricaremos culpables’, dice
3. Trump would seek to make new trade agreements with Mexico and Canada
US President Donald Trump stated at a press conference that he would seek to let the United States-Mexico-Canada Agreement (USMCA) expire in order to negotiate a new trade agreement with both countries. According to Trump, the agreement “expires in about a year,” and he claimed that Mexico and Canada have benefited from previous agreements due to poor decisions made by previous administrations. He also defended the imposition of tariffs on automobiles and auto parts, arguing that these measures have encouraged companies to relocate to the United States. These statements have raised concerns about trade stability in the region and the potential impact on supply chains.
The USMCA, which replaced NAFTA in 2020, is scheduled for review in 2026, when countries will decide whether to extend it for another 16 years or subject it to annual reviews until 2036. As part of the FIFA draw for the 2026 World Cup, Claudia Sheinbaum and Donald Trump will meet at the White House. The president said that one of the central topics of the meeting will be the review of the USMCA; she insisted that the agreement will not expire, as has been suggested in the United States, but that it will be reviewed next year.
El Universal: Trump sugiere que dejará expirar el T-MEC y buscará nuevo acuerdo con México y Canadá
El País: Sheinbaum y Trump tendrán su primer encuentro cara a cara en Washington por el sorteo del Mundial
4. Despite protests, General Water Law moves forward
The Mexican Congress approved the General Water Law and the reform of the National Water Law, amid growing pressure on water resources due to droughts, conflicts over concessions, urban growth, and high demand from the agricultural sector. This legislation was promoted by President Claudia Sheinbaum to guarantee the human right to water, prioritizing its domestic and human use. Among its key provisions, it establishes that concessions can no longer be exchanged between individuals, with redistribution remaining under the supervision of the National Water Commission (Conagua). Although Morena legislators argue that it eliminates the commodification of water and benefits farmers, the opposition warns of risks of government discretion, lack of consultation with indigenous peoples, and possible negative impacts on the agricultural sector.
Rosa Icela Rodríguez, head of SEGOB, welcomed the approval and stressed that the law seeks to prevent the concentration of water in a few hands, ensuring support for productive activities. During the morning conference, Rodríguez stressed that this legislation responds to historical social and environmental demands, while the federal government will continue to engage in dialogue with agricultural producers to address their concerns. On the other hand, some legislators have pointed out that the concentration of powers in Conagua could lead to arbitrariness and corruption, in addition to questioning the lack of economic and budgetary studies to support its implementation.
Forbes: Senado aprueba la Ley de Aguas y reforma la Ley de Aguas Nacionales
5. President of Singapore visits Mexico, seeking more investment
The President of Singapore, Tharman Shanmugaratnam, made a state visit to Mexico to commemorate the 50th anniversary of diplomatic relations between the two countries. During his visit, the opening of Singapore’s first resident embassy in Mexico in 2026 was announced, marking a milestone in bilateral relations. In addition, at least 15 Singaporean companies expressed interest in investing in strategic sectors such as logistics, advanced manufacturing, medical devices, digital transformation, and fintech, with a special focus on southeastern Mexico. These investments seek to double the current $2 billion in foreign direct investment and strengthen trade ties between the two countries.
Bilateral cooperation also includes agreements to streamline Mexican pork exports and memoranda of understanding on coral reef restoration and international development. Trade between Mexico and Singapore has grown significantly, reaching nearly $12 billion in 2024. This rapprochement seeks to diversify the global economy and promote regional connectivity, as well as strengthen technological infrastructure.
La Jornada: Al menos 15 empresas de Singapur buscan invertir en México, anuncia su presidente
Gobierno de México: Comunicado conjunto México-Singapur