LABOR LAW UPDATE

On March 28th, 2020 the Ministry of Labor of Ecuador amended the Ministerial Agreement 2020-77 that established the possibility of the modification, reduction and emergency suspension of the working day. The reform establishes:

Modification of working hours: During the declared health emergency, the private sector employer may modify the working hours of its workers, including working on Saturdays and Sundays. The worker's rest must be guaranteed for two consecutive days.

Recovery of the suspended days: Once operations have resumed, the private sector employer will determine the form and the recovery time of up to 12 hours a week and Saturdays 8 hours a day.

Agreement for payment of remuneration: The employer and workers may, by agreement, establish a payment schedule for the remuneration generated during the time the suspension persists.

Emergent vacation planning: Given the health emergency, the employer may set the start and end dates for the use of the accumulated vacation period to which the worker is entitled.

Vacation advance agreement: With the worker's consent, the employer may allow the enjoyment of early vacation periods.

Measures to avoid aggravating the worker's situation: With the employee's consent, the employer may adopt measures that reasonably avoid aggravating the worker's situation.

Other work arrangements to be agreed: In order to protect employment and without implying a waiver of workers' rights, the employer and its workers may agree on other work arrangements established in the relevant regulations, which respond to specific conditions such as:

a.- The impossibility of mobilization;

b.- Prevention of risks to which workers' health is exposed; and,

c.- The economic conditions facing the company.

For more information about your current situation please email us at info@ecuaassist.com