Workers in Mexico using online staffing and work services platforms received employee rights and protection under legislation signed into law on Dec. 24.

Mexico News Daily reported the law makes these workers employees and takes effect on June 22. It noted that wage calculations will be based on time worked.

Workers who earn at least the equivalent of the monthly minimum wage in Mexico City for their work will gain full access to labor rights and social security, according to a summary of the law by the National Union of App Workers. That monthly minimum is equivalent to US$414.87. While they will be considered independent contractors if they do not earn that amount, they will still be eligible for some protections.

The union called passage of the legislation a historic victory for workers in a post on X.

There are about 658,000 people in Mexico who work on digital platforms, of which 272,000 earn more than the minimum monthly wage, Bloomberg reported, citing Mexican government data.

Workers’ salaries will be determined by the type of job, but payment will include the proportional amount of weekly rest days, vacation, vacation bonus, Christmas bonus and overtime, though tips will not count, according to the legislation.

Platforms must provide an “algorithmic work management policy document” on the elements used by algorithms for decision-making.

In addition, workers will receive severance, and they will also be eligible for profit-sharing.

This story has been corrected from a previous version which contained an error in the monthly minimum wage for Mexico City.