--- title: "#ElSalvador 🇸🇻 #BDS_LaborAlert: New Provisions on the Christmas Bonus Following Labor Code Reform and Their Implications for Employers" description: Christmas Bonus image: https://publicaciones.bdsasesores.com/hubfs/primer-plano-de-manos-sosteniendo-papel-moneda-en-el-escritorio.jpg --- [![BDS blanco ingles](https://publicaciones.bdsasesores.com/hs-fs/hubfs/BDS%20blanco%20ingles.png?width=100&height=50&name=BDS%20blanco%20ingles.png "BDS blanco ingles")](https://www.bdsasesores.com) - [Team](https://www.bdsasesores.com/en/team/) - [Services](https://www.bdsasesores.com/en/services/) - Blog - [Labor Law](https://publicaciones.bdsasesores.com/en-us/blog) - [Corporate Law](https://publicaciones.bdsasesores.com/apriori-blog?hsLang=en-us) - [Store](https://www.bdsasesores.com/en/tienda/) - [Contact](https://www.bdsasesores.com/en/contact/) - English - [English](https://publicaciones.bdsasesores.com/blog?hsLang=en-us) - [Español](https://publicaciones.bdsasesores.com/blog?hsLang=es-cr) ![](https://publicaciones.bdsasesores.com/hs-fs/hubfs/raw_assets/public/Theme-Delight%20BDS%20Asesores/images/logo-BDS-blanco-jul25.png?width=200&name=logo-BDS-blanco-jul25.png) ##### Oct 22, 2025 9:23:02 AM ##### 1 min. read #ElSalvador 🇸🇻 #BDS\_LaborAlert: New Provisions on the Christmas Bonus Following Labor Code Reform and Their Implications for Employers 2:50 # #ElSalvador 🇸🇻 #BDS\_LaborAlert: New Provisions on the Christmas Bonus Following Labor Code Reform and Their Implications for Employers The recent reform enacted by the Legislative Assembly introduces **significant changes to Articles 197, 200, and 202 of the Labor Code,** modifying the rules governing the accrual and payment of the **Christmas bonus** (*aguinaldo*) to employees. While the reform seeks to modernize and clarify the applicable framework, it also presents practical challenges for companies in terms of **immediate implementation.** According to the **amendment to Article 197**, the new vesting date for entitlement to the Christmas bonus is set as **October 20** **of each year.** Accordingly, employees who have remained in continuous service through that date will be entitled to receive the corresponding benefit. This **replaces the previous reference date** of December 12, effectively advancing the point at which the right to the bonus is acquired. The **amendment to Article 200** establishes that **the Christmas bonus must be paid between October 20 and December 20 of each year**, with the employer determining the specific payment date within that window. However, the decree expressly provides that the **payment may not be made after December 20.** While this change offers greater administrative flexibility, it also requires employers to **adjust their financial planning** to meet the new deadlines. As for **Article 202**, the reform provides that **October 20 will serve as the reference date for calculating the Christmas bonus.** In addition, if an employee is dismissed before that date, they will be entitled to a pro rata payment based on their length of service. This provision standardizes the criteria for calculating and settling the benefit. However, these changes **may prove troublesome for employers**, particularly during the first year of implementation. Traditionally, the Christmas bonus was calculated on a December-to-December basis, reflecting a full calendar year. By moving the calculation date to October 20, a timing gap is created that may result in a **double financial burden** for companies, since the October-December period of the previous year was already included in the bonus previously paid. As a result, employers may be required to pay an additional portion corresponding to those months, creating an **unanticipated financial impact** and potential inconsistencies in labor accounting. This situation highlights the need for **transitional regulations or interpretative guidelines** to clarify **how the new scheme should be applied without resulting in duplicate payments** —thus safeguarding both the employees’ rights and the financial sustainability of companies. Please contact us if you have further questions or require assistance regarding the proper application of this reform.   [![I have a question](https://no-cache.hubspot.com/cta/default/6302490/b09e136c-59db-46ae-bb16-f7b6bb7d7ffa.png)](https://cta-redirect.hubspot.com/cta/redirect/6302490/b09e136c-59db-46ae-bb16-f7b6bb7d7ffa) [« Volver](https://publicaciones.bdsasesores.com/blog?hsLang=en-us) [Human Resources](https://publicaciones.bdsasesores.com/en-us/blog/tag/human-resources), [Labor Law](https://publicaciones.bdsasesores.com/en-us/blog/tag/labor-law), [Legal Talent Hub](https://publicaciones.bdsasesores.com/en-us/blog/tag/legal-talent-hub), [Littler Latin America](https://publicaciones.bdsasesores.com/en-us/blog/tag/littler-latin-america) ## Otros artículos #### #Honduras 🇭🇳 #BDS\_LaborAlert: Minimum Wage Adjustment for 2026 and 2027 The Ministry of Labor and Social Security (SETRASS) reported that, within the framework of the... #### #DominicanRepublic 🇩🇴 #BDS\_LaborAlert: Senate Concludes Work on New Labor Code The special Senate committee tasked with reviewing a reform to the Labor Code concluded its work on... #### #Panama 🇵🇦 #BDS\_LaborAlert: Mandatory Rest for Carnival Celebration Carnival, or the "Festival of King Momo," is one of Panama's most important celebrations, dating... ![BDS-color-ingles-130](https://publicaciones.bdsasesores.com/hubfs/BDS-color-ingles-130.png) #### Subscribe here! 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