Bono 14 Payment: Agreement Suspended in Guatemala

The Constitutional Court provisionally suspended the agreement that allowed companies that currently do not have the economic capacity to comply with the payment of the Annual Bonus, to reconcile the amortization of the obligation with the employees.

Wednesday, July 15, 2020

The agreement of the Ministry of Labor (Mintrab) 250-2020, which was published in the Diario de Centroamérica on July 10, stipulates that in order to postpone the payment of the Bono 14, employers who are not in a position to do so due to the economic crisis resulting from the outbreak of covid-19, could make an application to the Ministry.

See the "System for monitoring markets and the economic situation in Central American countries", prepared by CentralAmericaData.

In response to this decision by the Executive, the Indigenous and Peasant Trade Union Movement of Guatemala (Msicg) and the Honorary Court of the Association of Lawyers and Notaries of Guatemala (Cang) filed actions of unconstitutionality before the Constitutional Court (CC).

On 14 July the CC reported that it had "... decreed the provisional suspension of Agreement 250-2020 of the Ministry of Labor and Social Security, which contains the 'Procedure for Presentation of the Notary Public's Affidavit of Non-payment of the Annual Bonus for Workers in the Private and Public Sectors."

Javier Zepeda, Executive Director of the Guatemalan Chamber of Industry (CIG), told Prensalibre.com that "... As the Chamber of Industry we do not know the substance of this ministerial agreement. We haven't read it, but the issue of the 14th bond, what we believe should be more important at this time, is to try to establish a dialogue between employees and employers, given the situation we are experiencing that also affects workers but also companies on the other hand, many of them do not have the capacity due to the crisis we are experiencing."

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