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Peru holiday work may earn triple pay, but conditions apply
๐Ÿ‡ต๐Ÿ‡ช Peru /Economy & Trade

Peru holiday work may earn triple pay, but conditions apply

From La Repรบblica · () Spanish

Translated from Spanish, summarized and contextualized by DistantNews.

At a glance

News Sources not specified Context piece
  • Peruvians working on June 29, a national holiday, may be eligible for triple pay, but only if they do not receive a compensatory day off.
  • Labor law dictates that if an employer grants a replacement day off, triple pay is not applicable.
  • Failure to comply with these regulations can result in significant fines for businesses, ranging from S/1,265 to S/288,915.

Workers in Peru face a common dilemma on national holidays: will working on June 29, the Day of Saint Peter and Saint Paul, result in triple pay? The answer, according to labor law expert David Corthorn, is not always straightforward.

If the employer grants a compensatory day off, the worker will receive the payment corresponding to the work performed and also the remuneration of the day designated for rest. In that scenario, the so-called triple payment is not generated because the rest replaces the additional economic compensation.

โ€” David CorthornExplaining the conditions under which triple pay is not applicable for working on a national holiday.

Corthorn explained that the crucial factor determining triple pay is whether an employer provides a compensatory day off. If a substitute day of rest is granted, employees receive their regular pay for the holiday plus their pay for the day of rest, negating the need for additional triple pay. However, if an employee works on the holiday and does not receive a replacement day off, they are entitled to their regular holiday pay plus an additional 100% surcharge.

When the worker works during the holiday and does not receive a compensatory day off, the rule establishes a remuneration for the work performed with a 100% surcharge. For example, if the daily remuneration is S/100, the worker will receive S/300: S/100 for the paid holiday and S/200 for having worked that day, an amount that includes the legal surcharge.

โ€” David CorthornDetailing the calculation for triple pay when no compensatory day off is provided.

For instance, if a worker's daily wage is S/100, they would receive S/300: S/100 for the holiday itself and S/200 for working that day, which includes the legal surcharge. Special rules also apply to individuals whose mandatory weekly rest day falls on June 29. Corthorn also stressed the importance of documenting agreements on compensatory days off to prevent disputes. He warned that non-compliance with these labor obligations is considered a very serious infraction, carrying fines that can range from S/1,265 for micro-enterprises to as high as S/288,915 for larger companies.

Agreements on compensatory days off must be registered to avoid controversies.

โ€” David CorthornHighlighting the importance of documentation for labor agreements.
DistantNews Editorial

Originally published by La Repรบblica in Spanish. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.