As of March 16, 2020, Executive Decree 78 of March 16, 2020 came into force and effect in Panama, which, in relation to employer-employee relations, it establishes, in summary, the following:
1. Workers who are 60 years of age or older, as well as those who have chronic illnesses and pregnant women, shall take accumulated or advanced vacations for a minimum of 15 calendar days.
2. Article 197-A of the Labor Code regarding labor mobility may be applied by employers to workers who have contact with the general public.
3. Employers can inform their workers of the options to work in teleworking modalities, as defined by Law 126 of February 18, 2020, or work upon is required. Employers can also inform employees about the use of their vacations, for a minimum of 15 calendar days or work permits to which the worker is entitled to, in order to prevent or care for those affected by COVID-19.
4. Workers must abide by the employer’s instructions regarding the options indicated in the previous numeral 3.
5. The employer may make use of the sanctioning rights granted by its Internal Work Regulations against the worker who fails to comply with the above. If the employer does not have Internal Work Regulations, it may impose a suspension for 1 to 3 days without pay, for the non-compliance of the above.
The principle of reverse solicitation allows financial services companies to offer their services to clients in foreign jurisdictions without requiring a local license or presence, as long as the client initiates the contact. This is especially relevant for cross-border financial transactions conducted via online platforms, where regulations vary between countries. In Panama, the legal framework […]
Panama joins the digital era with the Remote Worker Visa, allowing digital nomads to temporarily reside in the country (9 months, with the possibility of extension) without altering their employment status abroad. Applicants must demonstrate an employment relationship with an entity outside of Panama and that their work activities are primarily conducted from abroad or […]
The subcategory of Permanent Resident as Qualified Investor has been created in the Republic of Panama within the immigration category of Permanent Resident for Economic Reasons. This subcategory was created by Executive Decree No. 722 of October 15, 2020 promulgated through Official Digital Gazette No. 29136 of October 16, 2020, the date of its entry […]
Through Law 159 of August 31, 2020, the Special Regime for the Establishment and Operation of Multinational Companies for the Provision of Services Related to Manufacturing (EMMA), was created. Its purpose is to attract and promote investments in production processes and the generation of jobs and technology transfer, as well as to make Panama more […]
