Can reduced working hours be reinstated due to protests?

Demonstrations taking place in different parts of the country have affected normal working days.

Given this situation, can we go back to reduction of working hours or suspension of contracts that existed during the pandemic?

This scenario was already launched this week by the president of the National Council of Private Enterprise (Conep), Rubén Castillo, who would ask Mitradel to activate suspension of the contract.

Days earlier, the president of the Panamanian association of business directors, Temístocles Rosas, warned that the fourteen days in the midst of the protests would be difficult.

This is because the tight situation leaves little room for companies to raise the cash needed to pay salaries. In addition to the large losses that occur daily due to road blockades.

Businessmen from the tourism sector, on the other hand, announced the cancellation of reservations for the end of December.

What does Mithradel say?? The Ministry of Labor and Development reminds that the provisions on working hours remain in force, so any change must be the result of a consensus between employers and workers.

In addition, it must be taken into account that Executive Decree no. 101 on the reduction of working hours as a result of the tripartite dialogue for the economy and the development of labor relations is still in force.

This decree enables the shortening of working hoursl, provided that the parties so agree and that the method of gradually renewing the working day is determined in the same contract.

The above leads to an article 159 of the Labor Actor, which states that, in cases of economic crisis, fortuitous event or force majeure, duly confirmed by the administrative authorities for work, working hours or weekly working hours may be temporarily changed or reduced.

However, Mitradel calls for the use of internal mechanisms. It also recommends formats such as telecommuting, availability work, permits, or expired or early vacations.