Peru: Summary of Recent Employment Law Developments
Author: César Puntriano Rosas
In the past month, there have been several labour and employment law developments, chief among them: i) an increase in the legal minimum wage; ii) non-working days for public employees; and iii) deadline to regularise migratory status is extended.
I. Increase in the Legal Minimum Wage
After 4 years, the Legal Minimum Wage of Peruvian employees has been increased to PEN 1,025 (US$ 277 approximately); the last wage increase occurred in 2018. Through Supreme Decree No. 003-2022-TR, the Peruvian Government increased the Legal Minimum Wage (LMW) in PEN 95 for employees subject to the private labour regime. To that extent, it will vary from PEN 930 to PEN 1,025. The increase is set to take effect as from 1 May 2022.
II. Non-Working Days for Public Employees
The Peruvian Government established 7 non-working days for public employees during 2022. Through Supreme Decree No. 033-2022-PCM, the following non-working days have been declared in favour of public employees:
- Monday 2 May 2022
- Friday 24 June 2022
- Monday 29 August 2022
- Friday 7 October 2022
- Monday 31 October 2022
- Monday 26 December 2022
- Friday 30 December 2022
Heads of public entities will adopt the necessary measures to guarantee the provision of services that are essential to the community, during the non-working days.
Public employees should compensate hours that were not worked within 10 days immediately after the holiday, or at the first opportunity as indicated by the head of the public entity, considering its business needs. For tax purposes, said days would not be considered as non-working.
For the private sector, the non-working days indicated are not mandatory. In the event that companies choose to adopt them, they should first decide the manner in which to compensate these hours and include such provisions in prior agreements with the employees.
Also, the Supreme Decree establishes that private entities and companies that carry out health, cleaning and sanitation services, electricity, water, drainage, gas and fuel, burials, communications and telecommunications, transportation, ports, airports, security, custody, surveillance, transfer of valuables and sale of provisions and food are authorised to determine the positions that are excluded from the non-working days declared by the new Decree, as well as the respective workers who will continue working, in order to guarantee services to the community.
III. Deadline to Regularise Migratory Status is Extended
The Peruvian Immigration Authority extended the deadline to regularise migratory status by 90 calendar days starting on 6 April 2022.
Through Supreme Decree No. 010-2020-IN, issued on 21 October 2020, the Ministry of Internal Affairs approved special, exceptional and temporary measures to regularise the immigration status of foreigners, such as obtaining a Temporary Permanence Permit with the issuance of the Temporary Permanence Permit Card (CPP), to develop labour and lucrative activities, facilities for the presentation of documents and commitments to split pending fines, among others.
Through resolution No. 000053-2022-MIGRACIONES, the Immigration Authority has extended the term to submit requests to apply for the migratory status regularisation procedure, by 90 calendar days, as from 6 April 2022, i.e., until 4 July 2022.
This measure benefits foreigners whose term of stay in Peru, previously granted by the immigration authority, has expired as well as foreigners who entered Peruvian territory in an irregular manner, because they did not execute the corresponding immigration control protocols and procedures, accordingly. A case-by-case analysis will be necessary to determine the application of the aforementioned benefit.