Employers should be aware that, in Costa Rica, October 12, is "Cultures Day". However, our Labor Code considers this both a "Holiday of Non-Compulsory Payment" and the only public holiday that must be deferred to the Monday of the following week when it falls on a Tuesday, Wednesday, Thursday, or Friday. This means that this year, because Cultures Day falls on a Wednesday, it must be taken on Monday, October 17, 2016.
The rules applicable to holidays of compulsory and non-compulsory payment vary depending on the employee´s payment structure.
- If the employee has an hourly or weekly payment structure (wages) and does not work on a holiday of non-compulsory payment, the employee is not entitled to any pay for the day off. However, if the employee agrees to work on a holiday of non-compulsory payment, our Labor Code states that the day is considered a normal working day and so the employee will be paid for a normal day's work.
- If the employee has a monthly or bi-monthly payment structure (salary), or works in the commercial sector, his salary includes each day of the month; thus, an employee can take the holiday off without loss of pay. However, if an employee works on a holiday, this holiday is treated as a 'holiday of compulsory payment', which means that the employer must pay the employee an additional day's pay to comply with the law's double payment requirement.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.