Tico Employers May Maintain the Reduction in Working Hours until Next March

Tico Employers may maintain the reduction in working hours until next March, thanks to the authorization of the National Legislative Assembly. This week, bill 22,265 was approved in the first debate, authorizing said expansion due to the declaration of national emergency caused by the COVID-19 Pandemic.

Of course, companies must demonstrate the financial impact and difficulties in maintaining the payroll. The Ministry of Labor may only authorize the new extension when:

a) requirements established in this law are met;

b) the employer has not abused the mechanisms established by law; or incurred in breach of labor legislation;

c) the employer has supported the employment of people subject to a reduction in working hours to those who intend to extend the period of reduction;

d) it is shown that current conditions continue to affect the company.

If authorization is given by the Ministry of Labor, the employer will be prohibited from establishing a split schedule for the person subject to a reduction in working hours. Nor will you be able to pay overtime to workers that you keep in the company, but have to reinstate the person with a reduced working day who requires it.

Protecting employment

The initiative was promoted by María Inés Solís, deputy for the Christian Social Unity Party (PUSC). Her main interest, she said, is to prevent massive layoffs as of January, once the current period is over. The second debate process was stipulated for next week.

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