Mexico City – A major change could be coming to restaurants, cafes, bars, hotels, and gas stations across Mexico, as a new law promises better protections for workers who rely on tips. Known as the 2025 Ley de Propinas, this proposed reform to the Federal Labor Law (LFT) is designed to guarantee fair wages and decent working conditions for service industry employees.

The initiative, approved by the Chamber of Deputies in April 2025, is currently being reviewed by the Senate. If passed, it would be officially enacted in the second half of the year and published in the Official Gazette of the Federation.

One of the most important features of the law is the requirement for a minimum daily wage of 278.80 pesos for workers such as waiters, delivery drivers, hotel staff, gas station attendants, and baristas—no matter how much they receive in tips. This ensures that tips will be treated as a bonus, not as a substitute for wages.

Employers will no longer be allowed to count tips as part of the base salary, nor can they collect or manage tip money. The law clearly states that tips belong entirely to the employees and should be distributed internally, based on agreements made between staff members.

At the same time, tips will remain voluntary. Customers are encouraged to tip as a sign of appreciation, but there is no obligation. These contributions are not considered part of the fixed income that employers must provide.

To help enforce the law, the Ministry of Labor and Social Welfare (STPS) will be responsible for oversight. Labor inspectors will be authorized to step in if disputes arise or if businesses are not following the law.

In addition to providing financial security, the reform also seeks to ensure workers receive full legal benefits, such as paid vacation, social security, year-end bonuses, and access to Infonavit housing support. This marks a positive shift toward reducing economic uncertainty for millions of workers across the country.

If passed, the 2025 Tip Law would be a major step toward recognizing the value of service workers and ensuring they are treated with fairness and dignity on the job.