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Labor Alert – December 2022

ALERT – LABOR

Establishment of rules for compensating accrued paid leave hours

Law Nº 31632 establishes the following rules regarding the compensation of accrued paid leave accumulated by workers in the context of the COVID-19 pandemic:

Subject Detail
Forms of compensation Accumulated leave may be compensated:

– With overtime work, not exceeding 2 hours per day, provided that the employee’s workday does not exceed 52 hours per week.

– With up to 15 days of vacation per period pending to be taken, in which case each day of vacation is equivalent to 3 days of paid leave.

Compensation period Compensation in the forms indicated above may only be made within 1 year from December 2, 2022. The hours that have not been compensated shall be considered absolved.
Prohibition It is forbidden to make discounts in the social benefits liquidation upon termination to compensate the accumulated leave hours with credit.
Employer’s reporting obligation Within a maximum period of 15 calendar days from December 2, 2022, employers must communicate in writing to employees the total amount of paid leave hours owed.