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.
When hiring a new employee, it is essential for every employer to consider that our labor law stipulates that if the employer terminates the contract before the scheduled start date of the employment relationship, they must compensate the worker for the damages caused, which cannot be less than one month’s salary, except in contracts agreed […]
Private interest foundations offer a range of advantages that complement corporations and trusts as estate planning instruments. Limitations of Corporations and Trusts in Estate Planning Using a holding corporation as an estate planning vehicle generally requires one of two options for transferring wealth to future generations: (i) drafting a will to pass on corporate shares […]
During the design phase of a real estate project, attention is often focused on architectural aspects. However, while architects play a key role in the project’s success, there are other equally important factors that must be considered from the beginning. Beyond the architectural design, it is essential to integrate a legal team specialized in horizontal […]
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 […]
