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[BUSINESS] · Mexico · 2 sources

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AHMSA workers' rights to be prioritized in bankruptcy process

Mexican Labor Secretary Nazira Zogbi Castro stated that the rights of former workers of Altos Hornos de México (AHMSA) must be prioritized over other creditors during the company’s bankruptcy process. The final amount distributed to employees will depend on the eventual sale price of the steel company.

Zogbi Castro emphasized that earned rights are “unrenounceable,” noting that workers with existing agreements or legal rulings must have those conditions respected. The process is distinct from ordinary labor disputes due to the ongoing bankruptcy. Additionally, the secretary highlighted the need to address outstanding obligations to the Mexican Social Security Institute (IMSS) and Infonavit, stressing that maintaining medical benefits for workers is a priority.

Meanwhile, reports indicate the human toll of the prolonged dispute, with the number of former AHMSA workers who have died while awaiting unpaid wages and benefits reaching 89. Thousands of employees remain in uncertainty, seeking unpaid salaries, contractual benefits, and indemnities tied to the company's financial resolution.

Entities

Altos Hornos de México · IMSS · Infonavit · Nazira Zogbi Castro