Abstract
This study evaluates whether providing personalized statistical information can improve the resolution of labor disputes in Mexico’s Labor Conciliation Centers. In Mexico, workers who are dismissed must seek severance payments through a mandatory conciliation process before filing a lawsuit. However, many workers and firms have limited information about likely case outcomes, expected settlement amounts, and the benefits of reaching an agreement quickly. This lack of information may contribute to unrealistic expectations, reliance on costly legal intermediaries, and lower settlement rates.
The intervention provides workers, firms, and conciliators with information from a statistical calculator embedded in SINACOL, the national labor conciliation case management system used in most states of Mexico. The calculator uses historical administrative data from similar cases to generate personalized predictions about the probability of settlement and expected settlement amounts. The goal is to help parties form more realistic expectations and support fairer and faster dispute resolution.
The study will be implemented in Mexico City and several additional Mexican states. Randomization will occur at the day level. Depending on the assigned day, workers may receive the calculator information when they file their conciliation request, workers and firms may receive it at the beginning of the hearing with an explanation from the conciliator, both forms of communication may be used, or the case may proceed under the standard process. The study will measure effects on settlement rates, settlement amounts, case outcomes, understanding of the information, satisfaction with the process, and subsequent intentions to file a lawsuit.
The project builds on prior experimental evidence showing that statistical information can increase settlement in labor disputes without reducing worker compensation. By testing different ways of delivering this information through an existing public case management system, the study aims to inform how labor authorities can scale the intervention effectively and sustainably