El Salvador

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Country Snapshot

The GPS Country Snapshot includes 25 sections of information about labor law compliance in El Salvador. See a sample of popular sections below.

Termination of Employment

The Salvadoran Labor Code does not generally require employers to give notice of dismissal to individual employees. However, prior judicial authorization is required for certain collective dismissals, and the authorities may order a notice period in such circumstances.

Work Permits

Foreign nationals who wish to work in El Salvador as specialized workers must obtain an authorization for a temporary residence for the duration of their stay. The employer is required to submit a contract of employment and the length of the worker's stay to the Ministry of the Interior, Ministry of Labor and Social Welfare, and the General Directorate of Direct Contributions. When the contract is terminated, the foreigner will be required to leave and can be expelled from the country in case of non-compliance. The temporary stay of a foreign national can be extended by sending a request 1 month before the expiration of the work permit to the Ministry of the Interior. The total temporary stay cannot exceed 5 years.

Paid Annual Leave

In El Salvador, employees are entitled to receive up to 16 weeks of paid maternity leave.

The employee must use 10 weeks of maternity leave after the birth of the child. In case of any complications, the leave can be extended in the prenatal period. Employees who have made at least 12 weeks of contributions and remained with the same employer for at least 6 months are eligible for maternity benefits paid by the Social Security System. Maternity benefits are equal to 75% of the employee's basic salary for the duration of maternity leave.

Working Hours

Per the Labor Code, the working time in El Salvador cannot exceed 8 hours in a day or 44 hours in a week. All work done over this limit is considered overtime and must be remunerated at 200% the ordinary salary.

If a job requires the completion of dangerous or unhealthy work during the day, working time cannot exceed 7 hours a day or 39 hours a week. For jobs that require the completion of dangerous or unhealthy work during the night, working hours cannot exceed 6 hours a day or 36 hours a week.

Teleworking is strictly voluntary for both the employee and employer and there must be a written agreement between the parties where the terms and conditions are established. 

Maternity Leave

In El Salvador, employees are entitled to receive up to 16 weeks of paid maternity leave.

The employee must use 10 weeks of maternity leave after the birth of the child. In case of any complications, the leave can be extended in the prenatal period. Employees who have made at least 12 weeks of contributions and remained with the same employer for at least 6 months are eligible for maternity benefits paid by the Social Security System. Maternity benefits are equal to 75% of the employee's basic salary for the duration of maternity leave.

Minimum Wage

The labor law of El Salvador guarantees a minimum wage for all employees. The minimum wage rates vary by sector and entered into force on August 1, 2021. The most prominent sectoral minimum wages are:

Textiles and clothing maquila sectors - USD 11.81 (United States dollars) daily, USD 359.16 monthly 

Industry, commerce and services sectors, sugar mills, and other agribusiness activities - USD 12.00 daily, USD 365.00 monthly

El Salvador's labor laws do not specify the frequency of wages. Weekly, bi-weekly, or monthly pay is common in different industries.

Country Profile

The GPS Country Profile contains detailed information on over 60 topics related to labor law compliance within El Salvador.
  • Type of Employment Relationship
  • Permanent Employment
  • Fixed-Term or Specific-Purpose Contracts
  • Temporary Employment Contracts
  • Part-time Employment
  • Young Worker Employment
  • Vendors and Independent Contractors
  • Types of Contracts
  • Probationary Period
  • Termination of the Contract of Employment
  • Grounds for Termination
  • Notice of Dismissal
  • Fair Dismissal
  • Redundancy
  • Unfair Dismissal
  • Suspension of Contract of Employment
  • Severance Benefits
  • Hours of Work
  • Work Week and Timekeeping
  • Night Work and Shift Work
  • Overtime
  • Remote Work
  • Required Time Off
  • Public Holidays
  • Annual Leave
  • Sick Leave
  • Maternity
  • Other Forms of Leave
  • Social Insurance and Retirement
  • Social Security Contribution
  • National Retirement Scheme
  • Dependents’/Survivors Benefit
  • Life and Disability Insurance/Benefit
  • Statutory Allowances
  • Compensation and Benefits
  • Minimum Wage (Basic Wage)
  • Bonuses, Profit Sharing and Other Compensation
  • Medical Insurance
  • Work Environment
  • Workplace Safety and Health
  • Prohibition of Discrimination
  • Prohibition of Harassment
  • Data Protection and Privacy
  • Whistleblowers and Retaliation
  • Workers’ representation in the organization
  • Freedom of Association
  • Registration and Recognition of Unions
  • Trade Union Personality
  • Collective Bargaining and Agreements
  • Disputes and Settlements
  • Strikes and Lockouts
  • Unfair Labor Practices
  • Taxation of Compensation and Benefits
  • Income Tax
  • Taxation of Employee Benefits
  • Tax Filing and Payment Procedures
  • Double Tax Relief and Tax Treaties
  • Visas and Work Permits
  • Visas
  • Work Permits and Residence Permits

 Country Snapshot

Get the full Country Snapshot with 25 sections of information about labor law in El Salvador.