New program grants subsidies of up to 100% for employer contributions to Mexican Social Security Institute (IMSS). OnJanuary 23, 2007 a decree was published in the Official Journal of the Federation creating the First Job Program, which willenter into law on March 1, 2007 and last until November, 2012. The Program grants subsidies for employer contributions tothe IMSS made on behalf of employees and applies to companies or individuals who create permanent new jobs. Thesubsidies are for the first twelve months of a new employee’s term of employment and apply to jobs other than those alreadyregistered with the IMSS, so long as the worker in question has not previously been registered with such agency. Theamount of the subsidy depends on the IMSS base salary calculation. In the case of employees with a salary that is less thanten times the legal minimum salary, the employer will receive a subsidy of 100%; from ten to fourteen times the minimumwage, 60%; from fifteen to twenty times the minimum wage, 20%; and greater than twenty times the minimum wage, 10%.In order to access the Program, employers must be registered as official participants and comply with the requirementsestablished by the Program. Those requirements include: the necessity of remaining current in the payment of all employerIMSS contributions; maintaining the employee for at least 21 months; and registering employees via the Internet on theIMSS’s webpage. The subsidy will be provided through a reimbursement of Social Security contributions after the ninthmonth following registration of the employee, in the form of a monthly reimbursement of previously paid monthly employercontributions.