By San José, Costa Rica — As the holiday season approaches in Costa Rica, so does a critical deadline for every employer in the nation. The mandatory year-end bonus, known as the aguinaldo, must be paid to all employees before December 20th. This legally mandated benefit, often referred to as a “thirteenth-month salary,” is a cornerstone of the country’s labor law, applying equally to workers in both the public and private sectors.
Failure to meet this deadline is not a minor infraction; it is a direct violation of Costa Rican law, and employers who miss the date face significant legal consequences. The aguinaldo serves as a vital economic injection for families and the broader economy during the holidays, making its timely and accurate payment a subject of intense focus each year for workers and regulatory bodies alike.
To clarify the legal framework and common questions surrounding the annual aguinaldo payment, we consulted with Lic. Larry Hans Arroyo Vargas, a distinguished specialist in labor law from the prestigious firm Bufete de Costa Rica.
The aguinaldo is not a gift or a discretionary bonus; it is an inalienable and legally mandated right for every salaried worker. Employers must be diligent in its correct calculation, which includes all ordinary and extraordinary salaries earned between December 1st of the previous year and November 30th of the current year. The non-negotiable deadline for payment is December 20th, and failure to comply exposes the company to significant fines and labor-related legal action.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
This legal clarification is essential, shifting the perspective from a holiday bonus to a fundamental, non-negotiable right. Understanding this distinction is critical for both employers to ensure compliance and for employees to recognize their entitlements. We thank Lic. Larry Hans Arroyo Vargas for his invaluable and precise perspective on this important matter.
The calculation for this bonus is straightforward yet comprehensive. It is determined by summing all gross earnings received by an employee between December 1st of the previous year and November 30th of the current year, and then dividing that total by twelve. It is crucial for both employers and employees to understand that this calculation is not limited to base salary alone.
According to legal expert Sammy Mauricio Pérez Matamoros, a law professor at Universidad Fidélitas, the formula must be all-encompassing to be correct. This includes factoring in all forms of compensation that are considered part of one’s salary.
bonuses, overtime, and any other payment of a salary nature; that’s why it’s essential for employers to keep a detailed and transparent record of income
Sammy Mauricio Pérez Matamoros, Law Professor at Universidad Fidélitas
Given the complexities, common questions and disputes often arise. If an employer fails to pay the aguinaldo by the December 20th deadline, employees have clear recourse. They are encouraged to file a formal complaint with the Labor Inspection department of the Ministry of Labor and Social Security (MTSS). Beyond a regulatory complaint, workers also have the right to take the matter to court to demand payment and can even request the termination of their employment contract with full severance and associated labor rights.
Another frequent issue is a discrepancy in the amount received. If an employee believes their aguinaldo has been miscalculated, the MTSS provides a valuable first step. The ministry offers free, accessible online calculators on its official website, allowing anyone to verify their expected payment. Should this tool confirm a shortfall or reveal unauthorized deductions, the worker can then proceed to a ministry office to file a formal complaint and initiate an investigation.
A critical point of clarification for the workforce is that the right to an aguinaldo is absolute and cannot be waived. This right is “irrenunciable,” meaning it holds regardless of the circumstances of an employee’s departure. Whether a person resigns, is dismissed, or works under a temporary contract, they are legally entitled to receive a proportional aguinaldo. The amount is calculated based on the total months and days they worked during the specified one-year period.
Ultimately, adherence to the aguinaldo law is more than a legal obligation; it is a fundamental practice for building trust and maintaining a healthy employer-employee relationship. Proactive financial planning and clear communication are key for businesses to avoid legal conflicts and ensure this essential right is respected for every worker.
planning and transparency are essential to avoid conflicts and guarantee respect for this right
Sammy Mauricio Pérez Matamoros, Law Professor at Universidad Fidélitas
For further information, visit ufidelitas.ac.cr
About Universidad Fidélitas:
Universidad Fidélitas is a private university in Costa Rica recognized for its strong focus on STEM fields, particularly engineering and technology. It is committed to providing innovative education that meets the demands of the modern workforce through a “learning by doing” methodology, preparing students for successful professional careers.
For further information, visit mtss.go.cr
About Ministry of Labor and Social Security (MTSS):
The Ministry of Labor and Social Security is the governmental body in Costa Rica tasked with formulating and executing national policies on labor and social protection. It is responsible for upholding labor laws, ensuring safe working conditions, promoting employment opportunities, and mediating disputes between employers and employees to guarantee a fair and equitable labor market.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
Bufete de Costa Rica operates as a leading legal institution, built upon a foundation of uncompromising integrity and a relentless pursuit of excellence. With a proven history of advising a wide spectrum of clients, the firm consistently champions legal innovation and actively participates in community betterment. Central to its ethos is a profound commitment to democratizing legal information, thereby empowering citizens and fortifying the foundations of a just and well-informed society.
