Workers may apply for the monthly payment of annual bonuses until May

(Source: youtube.com)

Labor Minister Carlos Marx Carrasco reported yesterday that workers of the public and the private sectors may request the monthly payment of the annual bonuses (“tenths”) to their employers until May 30. The Law for Labor Justice and Recognition of unpaid Home Labor stipulates the monthly payment of the “tenths” according to the will of the workers.

From 2016, the monthly payment request shall be submitted until January 15, and the monthly payment of two bonuses or only one of them will be specified. Likewise, if the worker does not submit the application, automatically the payment will be made annually, which is exempt from income tax, according to Ximena Amoroso, director of the Internal Revenue Service (SRI for its Spanish acronym).

Among the amendments to the labor law is further included the elimination of fixed-term contract and the dismissal figure, which shall be used by the employee to disassociate from the company. If a worker is separated from the company by mutual agreement with the employer or by dismissal, he will receive a compensation of a 25% of the basic salary for each year worked.