Global Employee Equity At A Glance: Mexico

STOCK OPTION PLANS: EMPLOYMENT

Labor Concerns

There is a risk of employees claiming that they are entitled to compensation for loss of rights under the Plan where the Plan is amended or discontinued or where their employment is terminated. Standard waiver and consent provisions that attempt to negate this risk may be unenforceable.

There are laws which prohibit discrimination against, and/or less favourable treatment of, employees on certain grounds, including age, gender, disability and part-time status. Companies should be mindful of this when determining the eligibility of employees to participate in a Plan, the benefits being granted and the exercise of any discretion.

Communications