Compliant employment contracts
Spanish-language contracts aligned to Mexican Federal Labor Law and the role's actual conditions.
Employer of Record
Employer of Record (EOR) in Mexico
Need to hire in Mexico before opening your own entity? We provide the lawful employment, payroll, benefits, onboarding and administration route matched to your roles and operating model, then help you transition when your own entity makes better business sense.
- One accountable Mexico partner from decision through execution
- Nationwide across all 32 states, across industries and functions
- Active REPSE registration for applicable specialized services
- No obligation, no exclusivity, no lock-in
Staffing in Mexico, a Gracemark Global Group company.
Get My Mexico Employment Route
You get an employment route, the implementation steps and the cost components.
01The situation
Employer of Record (EOR) in Mexico: what you get and how it works
EOR solves a timing problem. You have found the person, or the market opportunity, before you have a legal vehicle to employ anyone. Rather than delay the hire for months of formation, the employment relationship sits with our Mexican infrastructure from day one.
EOR is priced per employee. Its crossover against an owned entity depends on headcount, local invoicing and contracting requirements, expected permanence and the fixed administrative cost of operating your own entity. We model that crossover for the actual project rather than imposing a fixed headcount rule.
You receive one USD invoice even though payroll runs in Mexican pesos. Exchange-rate protection and beneficial MXN conversion are written into your service agreement, with the reference rate and the protection period stated, so your landed cost does not drift with currency swings.
For enterprise approval, HR, Finance, Legal and Procurement receive a common decision basis covering employer obligations, fully loaded cost, contracting route, workforce controls, transition assumptions and the evidence required for internal review.
Most of our EOR clients follow the same arc, employ through us, validate the operation, then transition the workforce onto their own entity on a planned date with continuity of service, benefits and seniority.
Employ in Mexico Before You Open an Entity
Employer of Record (EOR)
A legally established company in Mexico that assumes the formal employer obligations for a worker, contract, payroll, social security enrolment, tax withholding and statutory benefits, on behalf of a client that has no local entity.
Tell us the situation in one line. A Mexico specialist comes back with the route we recommend and why.
Get My Mexico Employment Route02What we do for you
What We Handle for Every Employee
One accountable relationship from workforce design through ongoing delivery.
Payroll in MXN, invoiced in USD
Payroll calendars, withholding, remittance and payslips, with USD invoicing to you and exchange-rate protection on beneficial MXN rates.
IMSS & INFONAVIT enrolment
Social security and housing-fund registration and contributions handled at onboarding.
Statutory & market benefits
Vacation, vacation premium, aguinaldo and profit sharing where applicable, plus competitive market benefits.
Onboarding & offboarding
Documentation, equipment coordination and legally sound termination handling when assignments end.
Entity transition planning
A modelled crossover point and a migration plan onto your own entity when it becomes the better structure.
Send us the roles, the headcount or the question. A Mexico specialist comes back with the recommended model, the locations and what it costs.
Get My Mexico Employment Route03Choose with confidence
EOR vs. your own Mexican entity
We are the only partner that can run every one of these routes for you, so the recommendation is the right one, not the only one we sell.
| EOR | Own entity | |
|---|---|---|
| Time to first hire | Weeks | Months |
| Setup cost | None | Formation, notary, registration, banking |
| Ongoing cost shape | Per employee, per month | Fixed administration plus payroll |
| Invoicing currency | USD invoice, MXN payroll | Local currency operations |
| Exchange-rate risk | Absorbed through beneficial MXN rates | Born directly |
| Local invoicing & contracting | Not the purpose of EOR | Full capability |
| Administrative burden on you | Minimal | Accounting, tax filings, labor compliance |
| Best at | Market entry before entity economics or requirements justify transition | When modeled economics and operating requirements support ownership |
Not sure which row is yours? Give us the roles and the timeline and we will tell you, with the cost of each option.
Tell Us Which Model FitsEnterprise and MSP programs
Programs delivered inside enterprise and MSP frameworks
Netflix: Latin America expansion, one country at a time
Netflix needed to stabilize a new Latin America program quickly, run from the United States without a local entity in each market.
Gracemark became the local staffing and payroll supplier across the region, supporting compliant local invoicing market by market and earning a formal client award.
Experience shown belongs to Gracemark group teams and companies, including work delivered outside Mexico. Relationships referenced: Netflix, NextSource, Magnit, AgileOne, KellyOCG.
What we commit to on this type of engagement
- Supplier onboarding, compliance documentation and program reporting handled by our team
- Multi-market delivery coordinated under one accountable relationship
- Local invoicing and employment structures adapted market by market
- Recurring, multi-year placement programs administered end to end
Answers
Frequently asked questions
The questions buyers ask us before they commit. If yours is not here, send it and a Mexico specialist answers it directly.
Ask a Mexico SpecialistWhat is an Employer of Record in Mexico?+
EOR is the global buyer term for using a local employment structure instead of forming an entity first. In Mexico, the appropriate route depends on the actual work, who supervises it and whether specialized-services requirements apply. We review those facts first, then implement the appropriate employment, recruitment or managed-service structure.
What statutory benefits apply to Mexican employees?+
Mexican law establishes minimums including paid vacation with a vacation premium, an annual aguinaldo (year-end bonus), profit sharing where applicable, IMSS social security and INFONAVIT housing contributions. Market practice in competitive cities often exceeds these minimums.
When should we stop using EOR and form our own entity?+
Generally when headcount is stable and growing, when you need to invoice or contract locally, or when the per-employee EOR fee exceeds the cost of running your own payroll and administration. We model the crossover point rather than defending EOR indefinitely.
Can EOR be used for any role?+
EOR covers genuine employment relationships. Engagements that are really outsourced core activity, or that should be structured as specialized services or an SOW, are handled under those models instead.
Numbers your finance team can defend
Every figure on this page is modeled from official Mexican sources, so procurement, finance and legal can trace it back to the law and the published data. Before anything reaches a budget, a quote or a board paper, a Mexico specialist rebuilds it on your roles, your states and your benefit package.
Official sources behind these figures
- Cámara de Diputados: Ley Federal del Trabajo, current text (PDF)
- Cámara de Diputados: Ley del Seguro Social, current text (PDF)
- IMSS: employer registration and contributions
- INFONAVIT: employer portal and contribution rules
- SAT: tax obligations and payroll CFDI
- STPS: Secretaría del Trabajo y Previsión Social
Get the Mexico answer before you commit to anything.
Send the roles, the headcount, the scope or just the question you cannot get a straight answer to. You get the route that actually fits, what it costs fully loaded and what happens first, in writing, from the team that would run it.
- A Mexico specialist reviews your requirements
- You get an employment route, the implementation steps and the cost components.
- No obligation, no exclusivity, no lock-in
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Talk to a Mexico Specialist
You get an employment route, the implementation steps and the cost components.