Employment Regulations: Shifts, Leave, and Compensation

Employment Conditions Summary

Rest Periods Description

• Period 1: Rest day.
• Period 2: Two-week rest period.
• Period 3: Three-day rest in a continuous sequence.

Night Shift Definition

A night shift is performed between 22:00 and 6:00 in the morning. Night workers must be seen working at least 3 hours daily during the night period, and these workers should not have extraordinary hours.

Shift Work Regulations

Shift work in the company requires an organized rotation of workers to cover different shifts. This implies that no worker should have more than two consecutive weeks assigned to the same shift, except voluntarily. Those with studies may choose their shifts.

Overtime Policy

When working full time, the number of extraordinary hours will be limited to 80 hours per month and will be on a voluntary basis unless otherwise agreed upon in the employment contract or collective agreement. The employer will monitor the hours written by an employee.

Paid Leave Entitlements

Paid leave requires prior notice from the employee regarding absence, with subsequent justification, and entitles the employee to remuneration based on the following reasons and timeframes:

• Marriage: 15 days.
• Birth of a child: 2 days if in the same locality; 5 days if out of town.
• Serious illness or death in the family: 2 days if in the same locality; 4 days if out of town.
• Transfer of current address: 1 day.
• Fulfilling public duty: Time required.
• Child Feeding: 1 hour daily, which can be divided into 2 parts within the workday.

Annual Holidays

All employees are entitled to 30 calendar days of yearly vacations, which cannot be exchanged for monetary compensation. Holidays will be agreed upon mutually, and the employee will know their two weeks of leave at least 2 weeks in advance.

Salary and Compensation

Salary Definition

Salary is considered the full economic benefit of employees, whether in cash or in kind, for the provision of professional labor services. Salary in kind may not exceed 30% of the total wage benefits.

Remuneration Methods

Wages may be remunerated in distinct ways:

1. According to the Method of Payment:

• Monetary Remuneration: Payment in cash, check, or bank transfer.
• In-Kind Remuneration (Species): Consists of providing employee benefits such as a vehicle or housing.

2. According to Payment Basis:

• Wages per Unit of Time: Work is paid regardless of performance.
• Wages per Unit of Work: Paid based on the performance or work completed (e.g., pieces produced).
• Mixed Income: Wages include a fixed amount based on working time and a variable amount based on work output.

The Social Guarantee Fund (Fogasa)

Fogasa is an autonomous body attached to the Ministry of Labor and Social Affairs. Its purpose is partly to guarantee workers' wages and indemnities following layoffs or contract termination.

Fogasa Guarantees:

• Wages: The maximum payable amount is calculated by multiplying three times the daily Minimum Interprofessional Salary (SMI), plus extra payments, by the number of outstanding days, up to a maximum of 150 days.
• Indemnities: Refers to compensation for dismissal or contract extinction.