Mexico’s Judicial and Economic Reforms: A Call for Collective Action

By Felipe Ledezma 


September 24, 2024

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As Mexico faces uncertainties in implementing judicial reforms, it is essential for society to actively engage in discussions about broader reforms that have been stalled for years.

As Mexico undergoes judicial reform, there is uncertainty about how the changes will be carried out. It's important for society to actively discuss broader reforms that have been delayed for decades. It's crucial for the nation to reflect on its future as it grapples with defining its legacy for future generations.

Experts emphasize that this is a critical opportunity for dialogue and innovative proposals, rather than passive acceptance. The goal is to create a more just society that meets the aspirations of all Mexicans and strengthens the state’s responsiveness to its citizens.

Economic Growth and Social Equity: The Need for Structural Reforms

Mexico's economy has gone through various reforms over the last few decades. However, there are still significant gaps that hinder economic growth and social equity. Addressing these issues requires comprehensive structural reforms in several key areas:

1. Comprehensive Tax Reform

   - Rationalization of Taxes: Mexico heavily relies on oil revenues and has relatively low tax collection compared to other OECD nations. Broader public revenue sources and a wider tax base are needed.

   - Combating Tax Evasion: Stricter measures are needed to curb persistent tax evasion and avoidance.

   - Progressive Taxation: Shifting towards a more progressive tax system will ensure that higher-income sectors contribute a fairer share.

2. Pension System Reform

   - Sustainability: Current pension reforms are insufficient to guarantee a dignified retirement for many workers. Increased contributions and broader coverage are necessary.

   - Informal Sector Access: Enhancing pension access for workers in the informal economy, who make up a large portion of the workforce, is critical.

3. Labor Reform

   - Formalization of Employment: Policies are needed to transition informal sector workers into formal employment with better conditions and access to social security.

   - Living Wages: Although minimum wage increases have occurred, many regions still find wages insufficient for meeting basic needs.

   - Strengthening Labor Rights: Improved enforcement of labor laws is necessary to protect workers, especially in industries prone to exploitation.

4. Education System Reform

   - Quality Education: Investment in higher-quality, equitable education is vital to boost competitiveness. Reforming technical and vocational training will address skill gaps among graduates.

   - Partnership with the Private Sector: Collaboration between educational institutions and businesses can create programs aligned with labor market demands.

5. Energy Reform

   - Renewable Energy Focus: Moving towards a long-term strategy centered on clean and renewable energy is essential for meeting environmental commitments and ensuring sustainability.

   - Increased Competition: Greater private sector participation in the energy sector could enhance efficiency and lower costs.

6. Health Sector Reform

   - Universal Access: Despite improvements in health coverage, significant disparities in access remain, particularly in rural and marginalized areas.

   - Adequate Financing: Increased investment is crucial to guarantee that all citizens have access to quality healthcare services.

The Path Forward: Political Will and Collective Engagement

Implementing these structural reforms requires strong political will and a commitment to equitable execution. As Mexico stands at this crossroads, the focus must be on mobilizing societal engagement to push for comprehensive reforms that drive economic growth and promote social justice.

The future of Mexico depends on the collective ability to confront these challenges, creating a nation that is more dynamic, equitable, and competitive on the global stage. The time for discussion and action is now—ensuring that the aspirations of today shape a brighter tomorrow for all Mexicans.


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