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UPDATE 2-Mexico cites progress toward new contract labor law

By Reuters Staff (Recasts lede) MEXICO CITY, Dec 9 (Reuters) - Mexico’s government said on Wednesday that companies had agreed to adhere to the spirit of planned legislation limiting the use of third party contractual labor, as part of a deal that gives firms more time to adapt before the law is passed. The announcement confirmed a letter seen by Reuters that said congressional debate on the proposed law was now set to begin in February. The legislation has fueled fears in the business community about a sudden jump in costs after their worst year in decades amid the COVID-19 pandemic.

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