Employment 2025

DOMINICAN REPUBLIC Law and Practice Contributed by: Carlos Hernández Contreras, Hernández Contreras & Herrera

Christmas Salary The Christmas wage consists of one twelfth of the ordinary salary earned by the employee in the calen - dar year. And for its calculation and payment of over - time, night work, participation in the company’s prof - its, and any other extraordinary benefits are excluded. Payment of the Christmas Salary will be made no later than 20 December, even if the contract of employment was terminated earlier and regardless of the cause of termination. On the other hand, it must be considered that for the calculation of the Christmas salaries, the calendar year must be taken into consideration, and not the last year of service of the employee. Thus, for example, if an employee started work on 30 October 2023, and their Christmas salary is payable in December 2024, they add what they have earned from 1 January to 31 December 2024 (the calendar year), and the resulting amount is divided by 12, which will Vacations are obligatory and paid annually, and the worker is entitled to such for each year of service ren - dered. Its duration is determined by law. The charac - teristics of annual leave are as follows. • It is annual leave, which the worker acquires “each time he/she has a year of uninterrupted work in a company”. And it is renewed each time the worker completes a year of service in the company; that is, the year of service that gives rise to the vacation does not coincide with the calendar year. • It is a mandatory rest, which means that it cannot be agreed to suppress, reduce, compensate or substitute the vacation period or divide it except if the rest period is not less than one week or six working days. • It is a right and a duty, which means that during the vacation period the worker cannot render services, paid or unpaid, to any employer. • It is a prepaid vacation. The salary correspond - ing to the vacation period must be paid to the employee the day before its commencement, with be their additional Christmas salary. 1.5 Other Employment Terms Vacations

The individual participation of each employee may not exceed the equivalent of 45 days of ordinary salary for those who have served for less than three years, and 60 days of ordinary salary for those who have served for three or more years. When the employee does not render services during the entire year corresponding to the fiscal year, the individual participation will be proportional to the sal - ary of the time worked. “The determination of the worker’s individual partici - pation in the company’s profits shall be governed by the following rules: a) If the employee has less than one year of continuous service, the total amount of ordinary wages earned in the months worked during the social or fiscal year of the company shall be divided by 12 and the quotient shall be divided by 23.83, and the result of this division shall be multiplied by 45. b) If the employee has 1 year or more of continuous service in the company, but less than 3, the average daily salary will be multiplied by 45. c) If the employee has 3 or more years of continuous service in the company, the rules established in Article 32 of these Regulations shall be applied and the aver - age daily salary shall be multiplied by 60. d) If the employee has 3 or more years of continuous service and for any reason the labor relationship is ter - minated, the total amount of ordinary salaries accrued in the months worked during the social or fiscal year of the company will be divided by 12 and the quotient will be divided by 23.83, and the result of this new division will be multiplied by 60. e) If the company’s profits are not sufficient to cover the 45- or 60-day limit set by Article 223 of the Labor and Employment Code, the amount to be distributed shall be divided by the total amount that would have corresponded to the workers had the aforementioned limit been covered, and the quotient obtained shall be multiplied by the individual participation of each worker.”

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