Reform of employers' obligations
Reform of employers' obligations
Published on september 21 , 2022
Roberto Ernesto Pascacio Rivera - Legal Collaborator
On August 18, 2022, Decree No. 450 issued by the Legislative Assembly on July 19, 2022 and published in the Official Gazette No. 147, Volume 436, on August 10, 2022, entered into effect, regarding social security, consisting of the amendment to article 29 of the Labor Code, incorporating a new paragraph 10 and modifying paragraph 11.
Said amendment includes as an additional obligation of the employer, the obligation to register to the social security system the workers in probationary period and temporary workers, all in accordance with the Social Security Law and its Regulations.
The trial period referred to in the mentioned reform is regulated by Article 28 of the Labor Code, which in its first paragraph establishes that in individual employment contracts it may be stipulated that within the first thirty days, either party may terminate the employment contract without cause; and the temporary workers referred to in the aforementioned provision are those regulated in Article 87 of the Labor Code, which mentions that temporary workers do not have the right to job stability and therefore any of the parties may terminate the employment contract at any time, without expression of cause and without liability for any of the parties.
However, these provisions are not exempt from the provisions of Article 3 of the Social Security Law, which establishes the mandatory nature of the social security system for all workers who depend on an employer, regardless of the type of employment relationship that binds them. Therefore, the employers are obliged to pay the employee during the trial period and to the temporary workers, the salary and all the corresponding legal benefits. These provisions only release the employer from the severance payment referred to in Article 58 of the Labor Code, in the event of termination of the contract during the probationary period and the temporary contract period.
In conclusion, the purpose of this reform is to provide legal certainty in terms of guaranteeing social security to workers, regardless of the period of time or the work regime they perform.
For more information about how this may affect your company, please contact our specialized team at bvaldez@bvaldezlaw.com or benjamin@bvaldezlaw.com
Said amendment includes as an additional obligation of the employer, the obligation to register to the social security system the workers in probationary period and temporary workers, all in accordance with the Social Security Law and its Regulations.
The trial period referred to in the mentioned reform is regulated by Article 28 of the Labor Code, which in its first paragraph establishes that in individual employment contracts it may be stipulated that within the first thirty days, either party may terminate the employment contract without cause; and the temporary workers referred to in the aforementioned provision are those regulated in Article 87 of the Labor Code, which mentions that temporary workers do not have the right to job stability and therefore any of the parties may terminate the employment contract at any time, without expression of cause and without liability for any of the parties.
However, these provisions are not exempt from the provisions of Article 3 of the Social Security Law, which establishes the mandatory nature of the social security system for all workers who depend on an employer, regardless of the type of employment relationship that binds them. Therefore, the employers are obliged to pay the employee during the trial period and to the temporary workers, the salary and all the corresponding legal benefits. These provisions only release the employer from the severance payment referred to in Article 58 of the Labor Code, in the event of termination of the contract during the probationary period and the temporary contract period.
In conclusion, the purpose of this reform is to provide legal certainty in terms of guaranteeing social security to workers, regardless of the period of time or the work regime they perform.
For more information about how this may affect your company, please contact our specialized team at bvaldez@bvaldezlaw.com or benjamin@bvaldezlaw.com