Labor reform ·
Fines for not recording working hours in Mexico: 250 to 5,000 UMA, in pesos
The penalty in article 994, section IV Bis, of the Federal Labor Law: 250 to 5,000 UMA. Peso calculation with the 2026 UMA and how to avoid it.
The reform did not only create the obligation to record working hours: it also set a penalty. Article 994, section IV Bis, establishes a fine of 250 to 5,000 UMA (Unit of Measure and Update) for employers who fail to comply with section XXXIV of article 132.
How much that is in pesos
INEGI set the 2026 daily UMA at MXN 117.31, valid from February 1, 2026 to January 31, 2027. With that value:
| Item | UMA | Approximate amount |
|---|---|---|
| Minimum fine | 250 | MXN 29,327.50 |
| Maximum fine | 5,000 | MXN 586,550.00 |
Calculation: daily UMA × number of UMA. The UMA value is updated every year; check it on INEGI’s site when you use it.
When it applies
The penalty punishes failure to comply with the obligation to electronically record working hours. The STPS general provisions that define the scope and exceptions take effect on January 1, 2027, so confirm with your advisor from when and how it applies to your case.
How to avoid it
- Record every check-in and check-out electronically, with date and time.
- Keep the records and make them easy to hand over.
- Cover all your workplaces, including field staff.
A system like PPanel keeps your record organized and searchable from the web. Request a demo.
Sources
- Decree amending the Federal Labor Law, Official Gazette (DOF), May 1, 2026 (in Spanish)
- Constitutional reform decree, article 123, section A, subsections IV and XI (DOF, in Spanish)
- INEGI, value of the UMA (Unit of Measure and Update)
Informational content based on the text published in the DOF. It is not legal advice. PPanel is a recording tool: subscribing to it does not release a company from its obligations, and legal compliance is the responsibility of each employer. Consult your labor attorney for your case. Last reviewed: October 12, 2026. The general rules from the Labor Ministry (STPS) on electronic time recording have not been published yet; we will update this guide when they are.