To reduce the impact of the current crisis on the country’s main productive sectors and its collaborators, the Dominican government has created the Employee Solidarity Assistance Fund (FASE), which will function as a direct subsidy to employees' wages so that companies can meet their payroll obligations during the months of April and May 2020.
President Danilo Medina recently issued a Decree modifying the FASE Program as it was originally rolledout earlier.
The FASE program will grant a maximum financial aid of RD$8,500 to employees in companies who have shut their operations and have had their employees furloughed, as long as their employers are up to date with their Social Security contributions for the period of February 2020. Employees in the following sectors will not able to benefit from the FASE program:
Supermarkets, grocery stores, pharmacies and any commercial store dedicated to the sale of raw food, medicines and hygiene products.
Logistics, distribution and transportation companies of raw materials and finished products for the agro-industry and food.
Agriculture, livestock and fishing companies.
Food industry.
Private security companies.
Mining.
Financial sector, pension fund administrators, labor risk administrators and insurance sector.
Energy sector.
Healthcare industry.
Telecommunications.
Among others.
Manufacturing companies and micro, small and medium-sized companies, which continue to operate with the Ministry of Labor’s authorization, will temporarily receive RD$5,000 per employee to help them meet their payroll obligations. The rest of the salary must be covered by the employer.
To qualify for the FASE program for the benefit of employees which will be kept on payroll, companies must not furlough employees during the following month. Furloughed workers, on the other hand, will be allowed to take advantage of the program’s benefits.
The Ministry of Labor may authorize FASE benefits to companies that have shut down their operations but have kept all their employees on payroll and are up to date with their Social Security contributions.
For furloughed employees, employers must start the process online by filling the DGT-9 form at the Ministry of Labor’s website, while that for the reduced working hours can fill out the DGT-4 form; both at the SIRLA site.
FASE will be active for a maximum of 60 days from 4/2/2020.
While we will make sure to periodically post relevant updates on DR1 during this crisis, you may feel free to visit Guzmán Ariza's COVID-19 Resource Center: or follow us in social media.
Stay safe!
Alfredo Guzmán Saladín
Guzmán Ariza | Abogados y Consultores
aguzman@drlawyer.com
www.drlawyer.com
President Danilo Medina recently issued a Decree modifying the FASE Program as it was originally rolledout earlier.
The FASE program will grant a maximum financial aid of RD$8,500 to employees in companies who have shut their operations and have had their employees furloughed, as long as their employers are up to date with their Social Security contributions for the period of February 2020. Employees in the following sectors will not able to benefit from the FASE program:
Supermarkets, grocery stores, pharmacies and any commercial store dedicated to the sale of raw food, medicines and hygiene products.
Logistics, distribution and transportation companies of raw materials and finished products for the agro-industry and food.
Agriculture, livestock and fishing companies.
Food industry.
Private security companies.
Mining.
Financial sector, pension fund administrators, labor risk administrators and insurance sector.
Energy sector.
Healthcare industry.
Telecommunications.
Among others.
Manufacturing companies and micro, small and medium-sized companies, which continue to operate with the Ministry of Labor’s authorization, will temporarily receive RD$5,000 per employee to help them meet their payroll obligations. The rest of the salary must be covered by the employer.
To qualify for the FASE program for the benefit of employees which will be kept on payroll, companies must not furlough employees during the following month. Furloughed workers, on the other hand, will be allowed to take advantage of the program’s benefits.
The Ministry of Labor may authorize FASE benefits to companies that have shut down their operations but have kept all their employees on payroll and are up to date with their Social Security contributions.
For furloughed employees, employers must start the process online by filling the DGT-9 form at the Ministry of Labor’s website, while that for the reduced working hours can fill out the DGT-4 form; both at the SIRLA site.
FASE will be active for a maximum of 60 days from 4/2/2020.
While we will make sure to periodically post relevant updates on DR1 during this crisis, you may feel free to visit Guzmán Ariza's COVID-19 Resource Center: or follow us in social media.
Stay safe!
Alfredo Guzmán Saladín
Guzmán Ariza | Abogados y Consultores
aguzman@drlawyer.com
www.drlawyer.com