#CostaRica 🇨🇷 #BDS_Reports: Considerations for Proper Handling of the Upcoming August 31st Holiday
On Saturday, August 31st, our country will observe the holiday "Day of the Black Person and the...
On March 18, 2025, Law No. 462 was published in Panama’s Official Gazette. This law amends, adds, and repeals several provisions of the Organic Law of the Social Security Administration.
Key Changes
Among the most significant changes introduced in our country by this legislation is a 3% increase in the employer contribution rate—that is, the portion paid by employers to the Social Security Administration.
Until March 2025, the employer contribution rate stood at 12.25%. However, starting April 1st, it will increase gradually by 1% every two years, until it reaches 15.25% in 2029.
The following chart outlines the scheduled increases:
It is also important to note that the special contribution applied to the “Thirteenth Month” bonus remains unchanged.
In conclusion, the impact of this increase will only be reflected in the employer-employee social security contribution. Thus, the employee contribution, which is deducted directly from workers’ compensation, remains at 10.75%.
We encourage you to stay informed on all developments related to labor and social security matters in the Republic of Panama and throughout the region by following our channels and social media.
