Overview of Dominican Labor Law

Comptable

New member
Mar 13, 2012
2
0
0
Mr. Guzman,
First of all a very sincere Thank You to you for the excellent work on this website as well as for all your free advice you have given. Very much appreciated.

I have a question regarding severance pay: -
Article 80 of the Labor Code states that in case of termination without cause, the severance pay should be as follows:
- 3 to 6 mths service - 6 days salary
- 6 to 12 mths - 13 days
- 1 to 5 years - 21 days
- over 5 years - 23 days

Now my question is what if someone worked 2 years and 2 months? Normally I would assume it would be 2 X 21 days plus the proration of 2 months out of 12 months times 21 days = 21 + 21 + 3.5 days.

I am however told that the severance would be 42 days because the 2 months would not qualify for pay based on the labor code ( 0 to 3 months = no pay), 3 to 6 months = days etc.. So taking another example, if I were in the employ for 2 years and 11 months, then my severance would be 2 X 21 + 13 days = 55 days, and not 61 days???

Is that right or am I being misled?

Your answer is highly appreciated.

MR
 

belmont

Bronze
Oct 9, 2009
1,536
10
0
Mr. Guzman,
First of all a very sincere Thank You to you for the excellent work on this website as well as for all your free advice you have given. Very much appreciated.

I have a question regarding severance pay: -
Article 80 of the Labor Code states that in case of termination without cause, the severance pay should be as follows:
- 3 to 6 mths service - 6 days salary
- 6 to 12 mths - 13 days
- 1 to 5 years - 21 days
- over 5 years - 23 days

Now my question is what if someone worked 2 years and 2 months? Normally I would assume it would be 2 X 21 days plus the proration of 2 months out of 12 months times 21 days = 21 + 21 + 3.5 days.

I am however told that the severance would be 42 days because the 2 months would not qualify for pay based on the labor code ( 0 to 3 months = no pay), 3 to 6 months = days etc.. So taking another example, if I were in the employ for 2 years and 11 months, then my severance would be 2 X 21 + 13 days = 55 days, and not 61 days???

Is that right or am I being misled?

Your answer is highly appreciated.

MR

If you use the Labor Boards calculator you will find the 42 and 55 days are correct. To use the calulator, enter the date they started, the date they stopped working and salary for the last 12 months and pay frequencies. Hit the calculator icon to see result. :: C?lculo de Prestaciones Laborales ::
 

Spicedwine

Member
Apr 25, 2006
568
19
18
My question regards Domestic Worker..... I have a person who comes in and cleans for me once a week. She is paid a flat rate, not an hourly one. She has been providing this service for approximately 3 years. September 1, we are no longer going to require her.
Am I understanding that if I give her notice now, then I am not obligated to provide severance pay? Under the domestic section that seems to be the interpretation but I want to do what is required of me both legally and also morally.
Advice would be appreciated.
 

Spicedwine

Member
Apr 25, 2006
568
19
18
Of course I do, however, sometimes when you do the "right" thing, you put yourself in a position of hazard legally!!! So if we offer her severance pay, does this affect me legally? I am sure you understand my position and the dilemma that it sometimes creates.
I guess that really is the question, does doing the right thing by my standard, affect my legal position by the Dominican Law, hopefully Mr. Guzman will have a response for me.
 

Acira

Silver
Sep 20, 2009
2,510
115
0
www.blazingfuries.com
Of course I do, however, sometimes when you do the "right" thing, you put yourself in a position of hazard legally!!! So if we offer her severance pay, does this affect me legally? I am sure you understand my position and the dilemma that it sometimes creates.
I guess that really is the question, does doing the right thing by my standard, affect my legal position by the Dominican Law, hopefully Mr. Guzman will have a response for me.

Paying the person severance pay is doing the right thing.
 

Spicedwine

Member
Apr 25, 2006
568
19
18
You all apparently seem to be missing my point and question!!! I know and agree with paying severance!!!!! The question still remains does this put me into some other kind of legal issue?????????

Unfortunately not all the same rules apply to one group of workers as opposed to another, and the same thinking as I have does not always correspond with the person you are dealing with.

Still waiting to hear if there would/will be any other issues if I pay her severance?????

Hope I have made my point clear enough!!!!
 

Acira

Silver
Sep 20, 2009
2,510
115
0
www.blazingfuries.com
As I said, pay the severance pay and if you 'doubt' that that person will be happy with that, pay an extra month or give a bonus. Will save you lots of headache.
 

AnnaC

Gold
Jan 2, 2002
16,050
418
83
You all apparently seem to be missing my point and question!!! I know and agree with paying severance!!!!! The question still remains does this put me into some other kind of legal issue?????????

Unfortunately not all the same rules apply to one group of workers as opposed to another, and the same thinking as I have does not always correspond with the person you are dealing with.

Still waiting to hear if there would/will be any other issues if I pay her severance?????

Hope I have made my point clear enough!!!!

I think I understand, you want to know if once you give her the severance pay (which isn't mandatory by law) will it set some kind of legal interpretation of you being a business or that she is your employee ?

Just hang on till Mr Guzman can answer
 

Fabio J. Guzman

DR1 Expert
Jan 1, 2002
2,359
252
83
www.drlawyer.com
Severance pay (auxilio de cesant?a) is not applicable to domestic workers. However, it may be that if you make a habit of paying every domestic worker that works for you when she or he leaves, you may be forced to pay it later on even if you don't wish to do so.

I say this because of a precedent established by the Supreme Court regarding regular workers who decide to leave their jobs. As you may know, these workers (as opposed to the ones that are dismissed -- desahuciados) do not get any severance. However, if the employer has a custom of giving severance to all employees leaving the company, the custom becomes binding on the employer.

This has come up lately in a famous case involving a very high-profile law firm in Santo Domingo. Three of its top employees recently left the firm and are claiming millions in severance based on the firm's custom of paying severance to everybody.
 

web

Member
Nov 5, 2005
347
6
18
Can someone explain in what time frame is a company required to register employees with TSS and is there any penalty for not doing so in the required time frame?
 

bayaguanaman

New member
Oct 22, 2009
266
12
0
Hi, some associates from outwith the country are keen to bid on some IADB funded civil engineering works. The thought is to maximise the usage of local labour but they correctly would want some engineering and supervisory positions from their in house staffing resource at present.

Regarding the above therefore can anyone advise the current status on the following:

1) does an Indian National require a letter of invite from a bona fide entity here (person or company) and if so, is this troublesome to obtain for a 3 day visit ?
2) Can work permits and Cedulas be obtained in advance, In essence, can the application be done before hand so that on arrival, the person attends the office for issuance and gets photographed same time card issued etc ?


Thanks in advance
 

CG

Bronze
Sep 16, 2004
987
147
63
Curious if anyone out there knows if "watchmen/security" hired privately are entitled to the 15% addition to their regular salary for working past the 9 PM limit ? (ie; a night shift)

I have been told that "watchmen/security" falls into another category and they are exempt from the 15% for working nights.
There is no mention in the labor code book I have (2010).

Also the minimum wage today for security would be ?.

Thank you very much.
cg
 

CG

Bronze
Sep 16, 2004
987
147
63
Thank you dv8, do you know anything about the law regarding the additional 15% for employees that work more than three hours after 9 PM ?, do watchmen fall into this category of employee ?.

thanks again.
 

dv8

Gold
Sep 27, 2006
31,266
363
0
you are welcomed, we are here to help.
my understanding is that nigh shift is paid 15% more than a dayshift. and i think it starts at 7pm, not 9? a worker is considered to be on a night shift if they work over 3 hours of their shift during the night. but i am not sure guachiman fall under that category. it seems to me they are slightly outside of the normal law, like domestic and campo workers. also, their shifts are usually longer.
i suggest checking with ministerio de trabajo maybe?
E-mail: info@mt.gob.do
Tel?fono: 809 535-4404
 

CG

Bronze
Sep 16, 2004
987
147
63
Thank you again, they are for sure slightly outside of the normal law in more ways than one...

Will be meeting with the local ministerio in the morning, was just looking to see if the vast knowledge of DR1 had a quick answer so I can go in somewhat armed tomorrow.

Thanks, enjoy the evening !,
cg