Chilean court upholds fine against McDonald's for holiday violation

A Chilean appeals court has unanimously rejected a nullity appeal by Arcos Dorados Restaurantes de Chile SpA, the operator of McDonald's in the country, upholding a fine for violating mandatory holiday regulations. The company was initially fined 20 UTM (approximately 1.4 million pesos) by the Providencia Labor Inspectorate.

The violation occurred at a Providencia-area McDonald's, where an employee with trainer responsibilities was reportedly made to work on September 18th in both 2023 and 2024. These dates are significant national holidays in Chile, typically considered mandatory and non-renounceable days off.

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We can foresee and establish in trial, sufficiently, that the course of the fine has a basis; it is stated that the inspector indeed noted the non-granting of the mandatory and non-renounceable holiday on September 18, and this has total correlation with the other pieces of the inspection and also with those pieces provided regarding that action by the plaintiff.

The 12th Chamber of the Court of Appeals of Santiago, comprising ministers Maritza Villadangos, Iara Barrios, and Claudia Parra, found no errors in the original ruling by the Second Labor Court of Santiago. The court's decision underscored that the labor inspectorate's findings were sufficiently substantiated, correlating the non-granting of the mandatory holiday with other evidence presented during the inspection and by the plaintiff.

In its reasoning, the court cited Article 19 of the Civil Code, stating that when the meaning of a law is clear, its literal text must be respected, rather than consulting its spirit. This principle supported the interpretation made by both the administrative body and the lower court, confirming the validity of the sanction against the fast-food giant.

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This court believes that in light of what is provided by Article 19 of the Civil Code, when the meaning of the law is clear, its literal tenor cannot be disregarded under the pretext of consulting its spirit, so the interpretation made by the judge of the instance and the administrative body is correct.