Mexico's Bold Labor Reform for App-Based Drivers

Mexico is proposing a landmark labor reform requiring app-based companies like Uber to contribute to public health for drivers. The move aims to improve living conditions by providing insurance for workplace injuries and establish human oversight before account bans. The proposal faces review by Congress.

Mexico is set to launch a groundbreaking labor reform aimed at improving conditions for drivers and delivery workers using platforms like Uber, Didi, and Rappi. Officials announced on Wednesday that this reform would initiate a pilot program mandating companies to pay into public health access for those earning minimum wage or above.

The reform seeks to ensure that all drivers are insured in case of job-related injuries. Additionally, it demands that platforms incorporate measures for human-reviewed oversight before suspending drivers' accounts. This initiative is a step toward betterment, as noted by Labor Minister Marath Bolanos, and has been applauded by President Claudia Sheinbaum.

With around 2.5 million people engaged in app-based work in Mexico, the reform faces both support and the call for balance between regulation and drivers' independence. The proposal will soon be presented to Congress, where the ruling party holds significant sway.

(With inputs from agencies.)