Pemex and CFE face rising labor liabilities and safety concerns

Pemex and CFE are facing significant financial and operational challenges in Mexico. According to a report by the Mexican Institute for Competitiveness (IMCO), labor liabilities for both state-owned companies exceeded 2.06 trillion pesos by the end of the first half of 2026. Pemex accounts for the majority of this debt, with 1.50 trillion pesos, representing a 2.5% increase from the previous year. CFE's liabilities reached approximately 554.2 billion pesos.

Simultaneously, Pemex has reported a sharp decline in occupational safety. During the first half of 2026, the severity index of workplace accidents rose by 85.7%, reaching its third-highest level in 15 years. The frequency of accidents also increased by 44.8%.

Environmental concerns have also escalated at Pemex. Sulfur oxide emissions rose by 13.7% to 729,000 tons, while natural gas flaring and venting increased by 89.4%, reaching 699 million cubic feet per day. These increases in accidents and emissions coincided with an operational uptick, as the company's refining process grew by 12.3% and petroleum product production exceeded one million barrels per day for the first time since 2016.