Employment 2025

CHILE Law and Practice Contributed by: Constanza Contreras, Gabriela Muñoz and Juan Francisco Reyes, SCR Abogados

Non-Compete and Confidentiality Clauses Employment contracts may include specific provi - sions that impose obligations upon employees, such as non-compete and confidentiality clauses. These obligations are enforceable for the duration of the employment relationship, and any breach thereof may give rise to summary dismissal without sever - ance compensation. However, such provisions must not infringe upon the employee’s fundamental or con - stitutional rights, including: • the freedom to work; • the right to engage in economic activity; • the right to privacy; and • the right to be free from arbitrary or discriminatory treatment. For such obligations to be valid, they must be rea - sonable, necessary and proportionate to the legiti - mate aim pursued, in such a manner that they do not breach the employee’s above-mentioned fundamental or constitutional rights, among others. (See also 2.1 Non-Competes .) An employer and employee may agree upon a non- compete covenant. Such covenant shall be enforce - able during the term of the employment relationship, and any breach thereof may constitute a material violation of the employee’s contractual obligations. Under Chilean law, non-compete covenants applica - ble during the course of the employment relationship are expressly recognised. Engaging in competing activities may constitute just cause for termination without severance, provided that a specific prohibi - tion has been clearly established in the employment contract. Post-termination non-compete clauses, however, are not expressly regulated by statute. Historically, Chilean administrative and judicial authorities have tended to consider such clauses as unenforceable on the grounds that they infringe upon the employee’s constitutional freedom to work and to pursue any law - ful economic activity. Notwithstanding the foregoing, 2. Restrictive Covenants 2.1 Non-Competes

• Up to 180 days to care for a child who has under - gone an organ transplant. • Employees are also entitled to half a day of paid leave to receive vaccinations or undergo preventa - tive medical examinations, including but not limited to mammograms and prostate screenings. • Employees of private health care institutions, pharmacies and pharmaceutical warehouses shall be granted a one-time special leave of 14 business days, which may be taken until 2 February 2026, in recognition of services rendered during the COV - ID-19 pandemic. • Parents and legal guardians of children and ado - lescents diagnosed with autism spectrum disorder are authorised to be absent from work as needed to attend emergencies affecting the well-being of their dependants that occur at their educational institution. Leave due to voluntary or civic duties Employees shall be entitled to unpaid leave and shall retain their employment status during periods of mandatory military service or while serving as military reserves. Employees shall be entitled to unpaid leave for the purpose of attending to official union activities (eg, union leaders). Employees shall also be entitled to a minimum of two hours of paid leave on national election day in order to exercise their right to vote. Employees who are active volunteer members of the fire department shall be entitled to leave during work - ing hours to respond to emergency calls involving fires or accidents. Such time shall be deemed as time effectively worked for all legal purposes. Employees who have under their care certain minors or persons with any type of disability are entitled in certain cases to special working conditions, such as priority in the use of vacation leave, temporary modi - fication or reduction of the workday during school vacation periods, and the possibility of teleworking. Additionally, a female worker who is victim of attempt - ed femicide may request the temporary adjustment of her work duties for a period of one year from the date of the incident, in order to allow for her proper recovery and protection.

114 CHAMBERS.COM

Powered by