Panama
Fixed-term contracts are permitted for a maximum of one year. They can be renewed up to 3 times. Fixed-term contracts can be terminated so long as all costs/payments through the end of the contract terms (e.g. salary, etc.)
Probationary periods are allowed for a maximum of 3 months. The process for termination is notification by the employer, it takes immediate effect.
There are 14 public holidays defined by the Panamanian government. These holidays include: New Year's Day, Martyrs' Day, Carnival Tuesday, Good Friday, Holy Saturday, Easter Sunday, Labor Day, Colombia Independence Day, Flag Day, Colon Province Separation Movement, First Cry of Independence from Spain, Panama Independence Day, Mother's Day, Christmas Day. They are considered paid days off. If a worker is required to work they are to be paid 3x their regular rate.
After 11 months, 30 days. Unused leave will carry over year to year and is paid at the time of termination.
18 Days are paid by the employer. The employee needs to get a medical certificate issued by a doctor.
8 hours per day/40 hours per week
25% over the regular hourly rate. Limited to 9 hours per week. Night work is 50% over the regular hourly rate.
Workers receive a 13th month bonus, equivalent to one month's salary. This bonus is paid in three equal parts in April, August, and December
After probation period, 30 days notice is required. Must provide notice to the worker, if the position is no longer needed it is considered a termination without cause and full indemnification must be paid to the employee.
Workers may terminate the relationship without just cause by providing at least 15 days' written notice to the company. Technical workers must give at least two months written notice.
Vacation Provision: 9.09%13th Month Provision: 8.33%Social Security on Vacation: 1.11%Educational Insurance on Vacation: 0.14%Professional Risk on Vacation: 0.19%13th Month Social Security: 0.98%13th Month Risk: 0.17%Seniority Bonus Provision: 1.92%Termination Provision: 6.54%13th Month Vacation: 0.76%Indemnification Vacation: 0.59%TOTAL: 29.82%
Employer Social Security: 12.25%Employer Educational Insurance: 1.50%Professional Risk: 2.10%TOTAL: 15.85%
Workers are entitled to up to 14 weeks of paid maternity leave, 6 weeks prior to the birth of the child, and 8 weeks post partum. Workers are entitled to three days of paid paternity leave. They must provide one week of notice and documentation indicating they are the father of the newly born child.
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