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Writer's pictureDaniela Rossi Mercado

AI40: Mitigating the Economic Impact of the Reduction of the Workweek in Mexico with Analytics.

Updated: Nov 15, 2023

The reduction of the workweek from 48 to 40 hours in Mexico is approaching, and its impact on the cost structure of businesses will be significant.


In this urgent context, precision is more crucial than ever. The analyses required to anticipate and mitigate the impact of the reduction of the workweek must be so accurate that they surpass the limits of what is possible with traditional methods.Under pressure, conventional approaches may prove insufficient and time-consuming. This is where technology comes into play and adds its greatest value.


Anticipating this challenging scenario, we present AI40: a solution designed through Advanced Analytics and Artificial Intelligence to mitigate the economic impact of the new labor reform through the use of a company's own data.


In this article, we will show you the analytical process through which this solution allows companies to mitigate the economic impact of the new labor reform.


Simulating the Impact on the Cost Structure


The labor reform will have a significant impact on the cost structure of companies.


AI40 allows organizations to simulate this impact accurately and in detail. Simulations help companies prepare for the changes by identifying areas of potential savings and resource optimization.


Our solution evaluates how the reduction of working hours will affect labor costs, benefits, and other related expenses. This provides companies with a clear vision of how to adjust their budget and plan effectively.


Establishing Scenarios Based on Key Variables


Every company is unique, and the effects of the labor reform can vary significantly depending on the industry and the size of the organization.


AI40 allows companies to establish customized scenarios based on key variables that are most relevant to their operation: total headcount, temporary staff, overtime, line utilization, total labor cost, and more. This ensures that simulations have high precision and that future strategies are tailored to the particular situation of each company.


Scenarios based on Advanced Analytics and Artificial Intelligence help companies anticipate more accurately the challenges and opportunities they will face with the new labor legislation.


Identifying Productivity Drivers


A crucial part of facing a reduction in the workweek is to maintain or even increase employee productivity.


By analyzing historical and current data, AI40 helps companies discover patterns that affect productivity, such as peak working hours or tasks that require more resources. With this information, companies can implement strategies to maximize productivity, intelligently addressing cost reduction and profit maximization.


Designing Effective Actions to Mitigate the Economic Impact


Once the simulations have been performed and productivity drivers have been identified, AI40 offers specific recommendations to mitigate the economic impact of the labor reform.


It can suggest strategies such as reorganizing schedules and shifts, rebalancing between plants/production lines, automating repetitive tasks, or investing in infrastructure bottlenecks, among others.


These effective actions help companies adapt to the new labor reality efficiently and maintain their competitiveness in the market.



AI40 becomes a strategic ally for organizations seeking to overcome the economic challenges arising from this labor reform.


The countdown has already begun. Prepare for the change with AI40 from PeopleOPTI and discover how we can help you mitigate the economic impact of the new labor reform.


The time is now, and maintaining your competitive advantage is just a call away.


Take action now!


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