#CostaRica 🇨🇷 #LaborAlertBDS: Ruling 12547-2021 by the Constitutional Chamber

Labort Alert Costa Rica-1

Over the past few days there have been many questions about the contents of ruling 12547 issued by the Constitutional Chamber, dated June 1st, 2021 at 09:45.

The aforementioned ruling sets forth that noncompliance by employers of the provisions of Article 35 of the Labor Code in connection with (1) the delivery of a certificate of years of service, and (2) the delivery of a letter of dismissal upon termination of the employment relationship qualifies as a violation of Articles 11, 39 and 56 of the Political Constitution.

According to the findings of the Constitutional Chamber under the aforementioned ruling, as well as another from March 2020 (ruling 5064-2020), when dealing with a dismissal with employer’s responsibility, it is mandatory for employers to include the reasons leading to the employee’s dismissal in the relevant letter. This position differs from previous interpretations of Article 35, which provides that the obligation to indicate the reasons justifying the dismissal exclusively apply to terminations without employer’s responsibility.

Due to the fact that the decisions of the Constitutional Chamber have erga omnes effects, that is, they are mandatory to all except to the Chamber itself, as from the precedent established in these rulings employers must take into account that delivering letters of dismissal with employer’s responsibility without indicating the reasons leading to such termination involves a risk. The Chamber does not specify the extent of the letter’s details, however it is clear that it not enough to simply state that the termination is “with employer’s responsibility,” or “based on the employer’s will.”

Therefore, employers are recommended to review their internal procedures for the application of dismissals with employer’s responsibility, to ensure that they always have clear, objective and verifiable reasons for a termination of this kind, and take into consideration that no indication of any reasons whatsoever for the termination in such letter is not a risk-exempt position.

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