News & Resources

Puerto Rico law requires employers to pay Christmas bonuses to their Puerto Rico employees.For employees who were hired before January 26, 2017, the date of enactment of the Puerto Rico Labor Reform of 2017 (“Law No. 4”), employers must pay a Christmas bonus to each employee who has worked for the company at least 700 hours or more within the 12 months between October 1 of 2023 and September 30 of 2024. This bonus is based on a percentage of the first $10,000.00 earned by the employee during the mentioned period. The maximum legally required bonus is 3% ($300) for employers with 15 employees or less or 6% ($600) for employers with more than 16 employees. For more information, click here: https://www.pmalaw.com/wp-content/uploads/2024/11/LABOR-ALERT-CHRISTMAS-BONUS-2024.pdf

Private sector employers that choose to operate on Election Day must provide certain employees scheduled to work on that day paid time off during their scheduled work hours to exercise their right to vote. For more information, click here: https://www.pmalaw.com/wp-content/uploads/2024/10/PAID-LEAVE-FOR-EMPLOYEES-WORKING-ON-ELECTION-DAY.pdf

On August 20, 2024, a federal judge blocked the Federal Trade Commission’s (FTC) ban on noncompete agreements which was scheduled to come into effect on September 4, 2024. For more information, click here: https://www.pmalaw.com/wp-content/uploads/2024/08/LABOR-ALERT-FTCS-BAN-ON-NONCOMPETE-AGREEMENTS.pdf

The Minimum Wage Evaluation Commission (“Commission”) announced last night its approval of an increase in Puerto Rico’s minimum wage from $9.50 to $10.50 per hour, effective July 1, 2024. The Commission’s approval clears the way for the minimum wage increase to take place as set forth in Act No. 47 of 2021 (“Act 47”). For more information, click here: https://www.pmalaw.com/wp-content/uploads/2024/06/Client-Alert-New-Minimum-Wage.pdf

The U.S. Department of Labor (Department) announced a final rule, “Defining and Delimiting the Exemptions for Executive, Administrative, Professional, Outside Sales, and Computer Employees”, which revises the overtime pay exemption for executive, administrative, and professional (EAP) employees. For more information, click here: https://www.pmalaw.com/wp-content/uploads/2024/05/LABOR-ALERT-US-DOL-FLSA-EXEMPT-EMPLOYEES-REG.pdf

After a 3-2 vote on April 23, 2024, the Federal Trade Commission (FTC) issued a final rule establishing a nationwide ban on the use of noncompete agreements. For more information, click here: https://www.pmalaw.com/wp-content/uploads/2024/04/LABOR-ALERT-FTC-NON-COMPETE-BAN.pdf

On March 25, 2024, the Puerto Rico Secretary of Health, Dr. Carlos Mellado, issued Administrative Order No. 2024-589 declaring a public health “State of Emergency” due to the rapid spike in the number of dengue fever cases reported during the first months of 2024. For more information, click here: https://www.pmalaw.com/wp-content/uploads/2024/04/LABOR-DECLARACION-EMERGENCIA-POR-DENGUE-4-03-24.-docx.pdf

On January 16, 2024, the Governor of Puerto Rico, Hon. Pedro Pierluisi, signed into law House Bill 1745, titled “Act to Facilitate the Implementation of Remote Work in the Private Sector and to Promote the Establishment of Air Operation Bases in Puerto Rico” (hereinafter the “Act”). For more information, click here: https://www.pmalaw.com/wp-content/uploads/2024/01/LABOR-ALERT-PR-STATUTE-TO-PROMOTE-REMOTE-WORK.pdf

On January 10, 2024, the US Department of Labor (DOL) published its final rule: “Employee or Independent Contractor Classification Under the Fair Labor Standards Act” (the “Rule”). Through the Rule, the DOL expands on the criteria that need to be analyzed to determine if an individual is an employee or an independent contractor for purposes of the Fair Labor Standard Act (“FLSA”) only. For more information, click here: https://www.pmalaw.com/wp-content/uploads/2024/01/LABOR-ALERT-INDEPENDENT-CONTRACTOR-RULE.pdf

On December 8, 2023, the General Counsel for the National Labor Relations Board (NLRB) issued a Guidance Memorandum on 2023 Election Rule Representation Case Procedure Changes (the “Memorandum”). The Memorandum significantly reduces the time previously available from the date a petition for election is filed to the date the election occurs. For more information, click here: https://www.pmalaw.com/wp-content/uploads/2023/12/LABOR-ALERT-NLRB-ELECTION-RULE-CHANGES-Final.pdf