Mexico mandates license renewal for outsourcing service providers

MEXICO CITY, MEXICO—The Mexican Secretariat of Labor and Social Welfare released new guidelines for renewing licenses for providers of specialized outsourced services. 

The announcement, published in the Official Gazette of the Federation, details the process for maintaining registration in the Registry of Specialized Services Providers or Specialized Works (REPSE).

The REPSE license, which is mandatory for specialized service providers, is subject to renewal every three years. Providers must initiate the renewal process within a three-month window before their current license expires. 

The Federal Labor Law, which generally bans outsourcing, allows exceptions for specialized services that are not part of the client’s core business and are performed under the client’s supervision.

Following the labor law, the government outlined specific conditions under which specialized services can operate. These include formal agreements and government authorization. The recent amendment to the REPSE guidelines in February 2023 further clarifies the renewal process.

Contractors and individuals must use the REPSE online portal for renewals and to ensure compliance with tax and social security obligations. The services provided must be clearly defined and authorized. 

The renewal process is time-sensitive, with specific dates set for each registration period based on the year and month of initial registration.

Failure to comply with the renewal requirements will lead to immediate cancellation of the registration. The ministry has provided a detailed schedule for renewal periods, ensuring that registrants are aware of their respective deadlines.

The ministry’s guidance released a timeline indicating the renewal periods based on the year and month of initial registration. This structured approach aims to streamline the renewal process and maintain regulatory compliance among providers of specialized outsourced services in Mexico.

Here’s the complete schedule for the renewal process of outsourcing providers in Mexico:

Read more here.