Peru: Means of compensation for hours accumulated by paid leave are established

In brief

On 1 December 2022, Law No. 31632 was published, establishing the ways in which the hours of paid leave that are generated by virtue of the legal provisions implemented in the framework of the COVID-19 health emergency decrees may be compensated (Article 20.2 of Emergency Decree No. 026-2020 and Article 26.2 of Emergency Decree No. 029-2020).


Contents

The methods are as follows:

  1. With overtime work carried out before or after the working day and/or with training sessions carried out outside business hours
  • Each hour of overtime work or time dedicated to training outside business hours will be equal to three hours of paid leave.
  • The sum of these hours, in addition to the worker's working day, cannot exceed 52 hours a week.
  • Daily overtime work or time spent on training outside business hours is limited to two hours a day.
  1. With acquired and pending vacation days
  • Each day of vacation subject to compensation will be equivalent to three days of paid leave.
  • No more than 15 days can be compensated per pending holiday period.

Things for employers to consider

  • Within 15 days of the entry into force of the law, i.e., from 2 December 22022 to 16 December 2022, employers must communicate in writing to the workers the total hours of paid leave that they are owed.
  • Compensation of hours may be carried out over a period of a year, counted from the entry into force of the law, i.e., from 2 December 2022 to 1 December 2023.
  • The hours not compensated in said period will be considered absolved.
  • It is forbidden to make discounts in the settlement of social benefits to compensate for the hours of paid leave generated by the legal provisions implemented in the framework of the health emergency decrees due to COVID-19.

We hope that this information will be of relevance to you and your company. If you require any further information, do not hesitate to contact us.

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