The Decree 624/2020 (the “Decree”) extended the prohibition of dismissals: (i) without justified cause; or (ii) due to lack or reduction of work and force majeure, for a period 60 days as from its original deadline (i.e. the prohibition is now extended until September 30, 2020).
The Decree also extended the prohibition of unilateral furloughs on grounds of force majeure, or lack or reduction of work, also for a period of 60 days as from its original deadline (i.e. the prohibition is now extended until September 30, 2020).
Quedan exceptuadas de esta prohibición las suspensiones efectuadas en los términos del artículo 223 bis de la Ley de Contrato de Trabajo, es decir, aquellas pactadas individual o colectivamente y homologadas por la autoridad del trabajo, y cuando en virtud de causales de falta o disminución de trabajo, no imputables al empleador, o fuerza mayor debidamente comprobada, el trabajador no realice la prestación laboral a su cargo.
The Decree provides that any dismissals and lay-offs in breach of the provisions of this Decree shall have no effect, and the labor relationships and its terms and conditions shall remain in force as before.
The Decree will not be applicable to the employees hired after its effective date, i.e., July 29 2020.
This report should not be considered as legal or any other type of advice by Allende & Brea.
