When a person is farewell either ends his employment relationship, It is common for Human Resources personnel to inform you that the settlement check will be ready in a within 30 business days.
A survey conducted by Free press among people who recently concluded an employment relationship reflects that this practice is common in Guatemala. Some former employees indicated that, during the meeting in which they were notified of the dismissalthey were informed that payment would be made in 30 business days. Others were only told that they would be contacted when the check was ready, although always within that period.
It seems that, in practice, offering settlement within a window of 30 business days has become customary for many companies. And this situation usually generates concerns for those who are salaried.
When consulted, the workers have the following main doubts:
- Where is the 30 day period established?
- When should the settlement be signed and the liquidation delivered?
- Does the company really have 30 days to pay?
- What benefits apply when you are fired?
- What can workers do to protect their rights?
The 30 days of article 260 of the Labor Code
Specialists in labor law consulted by Free press explain that scheduling the settlement payment 30 days after ending the employment relationship is a common practice in Guatemala, but does not respond to what is established in the Labor Code.
“The rights of workers to claim against their employer in cases of dismissal or against disciplinary corrections applied to them expire within thirty business days from the termination of the contract or from when said corrections were imposed, respectively.”
Article 260 of the Guatemalan Labor Code
A labor advisor Ministry of Labor and Social Welfarel (Mintrab) explained that this article does not set a deadline for the employer to pay the settlement. What it establishes is the time the worker has to file a claim if they consider their labor rights have been violated.
In other words, the 30 business days correspond to the statute of limitations to claim and not to the time the employer has to pay the labor benefits.
When should the labor settlement be delivered?
According to a Mintrab advisor, the appropriate thing is for the employer to deliver the settlement payment and the settlement at the time of concluding the employment relationship. And from that moment on, the employee has the 30 business days established in article 260.
During this investigation, Free press spoke with a worker who was recently fired. He said that, although the company informed him that his employment relationship was ending that same day and asked him to sign the settlement; but he was not made aware of the calculation of his employment benefits. Instead, they only told him that the payment would be ready in 32 business days later.
This person, now a former employee, expressed that this situation generated uncertainty for him, since he does not know if the amount of his settlement will be correct and he fears that, if he finds any difference when receiving the check, he will no longer have time to complain.
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The labor advisor pointed out that this is precisely one of the problems caused by delaying the delivery of the settlement. The Labor Code grants the worker 30 business days to file a claimso, if the check is delivered after that period and the employee discovers inconsistencies in the calculation of their benefitsyou could have lost the opportunity to complain, unless you have first requested the interruption of the prescription.
Does the company really have 30 days to pay?
Although the Labor Code does not prohibit payment from being made days after ending the employment relationship, delaying it can reduce the time the worker has to review the calculation of their benefits and, if inconsistencies are detected, file a claim.
Although many companies manage a period of 30 days to deliver the settlement, the specialists consulted agree that this practice is not supported by article 260 of the Labor Code. The standard does not grant a deadline for the employer, but rather grants 30 business days to the worker to complain if you consider that your rights were violated.
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What benefits apply?
A labor supervisor of Mintrabexplains that, when the dismissal is unjustifiedthe worker has the right to receive:
- Compensation equivalent to a salary for each year service.
- Bonus proportional.
- Bonus 14 proportional.
- Pending vacations If they have been enjoyed, they must be paid.
- Bonuses or bonusesif applicable.
If he dismissal is justifiedretains the right to inalienable benefitslisted above, but not the compensation.
What can workers do to protect their rights?
If the employer informs that the payment of labor settlement will be carried out close to the expiration of the 30 business dayswhich establishes Article 260 of the Labor Code, the Mintrab recommends not waiting until the last minute and taking the following measures:
- Request advice at Mintrab to verify the calculation of labor benefits and know the approximate amount you should receive.
- Request the interruption of the prescriptiona procedure that suspends the calculation of the period established in article 260 of the Labor Code and provides more time to file a claim, if necessary.
Finally, the labor advisor recalled that the worker is not obliged to wait for the 30 business days to pass to file a complaint. If you consider that your rights were violated or that the company failed to pay its benefits, you can go to the Mintrab from the moment the conflict arises.