#Panama 🇵🇦 #BDS_LaborAlert: New Executive Decree Regulates Strikes in Public Services
The Executive Branch, through Executive Decree No. 11 dated November 11, 2025 (enacted on November...
In light of the upcoming Holy Week in Panama, both employers and employees should note that Good Friday is recognized under Article 46 of the Panamanian Labor Code as a national holiday (or day of mourning). Consequently, it is a mandatory paid day of rest.
Under this regulation, employees are generally not required to work on that date; however, certain activities or sectors that require continued operations may operate on that day.
Should an employee work on Good Friday, article 49 of the Labor Code establishes that work performed on a national holiday or day of mourning must be compensated with a 150% surcharge on the ordinary daily wage, and the employee must also be granted a compensatory day of rest. The aforementioned surcharge includes payment for the compensatory day of rest.
If, for any reason, the employee works on the compensatory day of rest, that day must be paid with an additional 50% surcharge.
Companies must ensure that these surcharges are properly applied in payroll and that any work performed on this date is properly documented.
Finally, please be advised that Maundy Thursday is not a mandatory day of rest.
Please do not hesitate to contact us if you have any questions or require assistance regarding the management of public holidays or the calculation of the corresponding payments.
