Is a reduction in working hours or salary legal? Labor flexibility options according to Ecuadorian law

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Abogado de Abogados Expertos asesorando a un cliente sobre la reducción de jornada laboral y salario en Ecuador.

In Ecuador, labor legislation allows certain flexibility measures that include the reduction of the working day and, consequently, of the salary, under specific conditions. These options are detailed below in accordance with current regulations:

Emergent reduction of the working day

The Organic Law on Humanitarian Support establishes that, in cases of force majeure or fortuitous event duly justified, the employer can reduce the working day by up to 50%. During this period, the worker’s salary or salary will be adjusted proportionally to the hours actually worked, ensuring that it is not less than 55% of the remuneration set prior to the reduction. In addition, the contribution to social security and the benefits of the law will be paid based on the reduced working day.

Special working days and flexible working hours

Ecuadorian regulations contemplate the possibility of establishing special working hours and flexible schedules, provided that the maximum limits of the working day are respected and there is authorization from the Ministry of Labor. These modalities allow working hours to be adapted to the specific needs of certain sectors or activities, facilitating a better work-life balance for workers.

Telecommuting

Teleworking is another form of regulated work flexibility in Ecuador. This form of work allows the worker to perform his or her duties outside the employer’s facilities, using information and communication technologies. It is essential that teleworking respects the maximum working day, rest days and the payment of overtime and supplementary hours, as established in Ministerial Agreement No. MDT-2022-237.

Conclusion

Labor flexibility options, such as reduced working hours, special working hours, and teleworking, are contemplated in Ecuadorian legislation to adapt to exceptional circumstances and the needs of employers and workers. It is essential that any such measure is implemented with respect for labour rights and following established legal procedures. It is recommended that both employers and employees reach mutual agreements and, if necessary, seek legal advice to ensure compliance with current regulations.

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