November is known as the so-called “Month of the Homeland” in Panama, as during a number of historical events are commemorated during this month, such as the separation of Panama from Colombia (November 3rd, 1903) and the Independence of Panama from Spain (November 28, 1821). Also, Colon’s Separatist Movement is commemorated on November 5th, while the Cry for Independence from Los Santos Village is commemorated on November 10th.
The aforementioned holidays are mandatory days of rest under Article 46 of the Labor Code, and are remunerated as ordinary workshift, even if the employee does not work on these days.
However, if the employee is required to work on any of these holidays, the employee will be entitled to be paid with a 150% surcharge on his/her ordinary workshift salary. In addition, the employee will be entitled to enjoy a compensatory day of rest; however, if the employee is also required to work on this day of rest the employee must be paid with a 50% surcharge on his/her ordinary workshift salary.
As for the November 28 holiday, this year we will have a special situation given that it falls on a Sunday. On this matter, Article 47 of the Labor Code sets forth that in case a holiday or a national day of mourning previously established by law falls on a Sunday, the following Monday, in this case November 29, will be used as mandatory weekly day of rest.
The foregoing means that in case an employee is required to work on Sunday November 28, such employee will be entitled to be paid with a 150% surcharge on his/her ordinary workshift salary as a result of having to work on a holiday, and the employee must also be granted a compensatory day of rest other than Monday November 29.
On the other hand, if the employee works on November 29 (considered as mandatory weekly day of rest), the employee must be paid with a 50% surcharge on his/her ordinary workshift salary, notwithstanding the employee’s right to enjoy another compensatory day of rest.
Lastly, it must be noted that National Symbols day is commemorated on November 4th; however, this is not considered a holiday and, therefore, it is a regular business day for the private sector, although it is common for many companies to grant it as a day off in their own discretion.
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