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El Salvador - Avenues for redress (penalties, remedies) and litigation procedure for individual complaints

Avenues for redress (penalties, remedies) and litigation procedure for individual complaints - El Salvador - 2010    

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Compensation for unfair dismissal - free determination by court: No

  • Art. 58 LC.

Compensation for unfair dismissal - Legal limits (ceiling in months or calculation method):
1) In case of unjustified dismissal (despido de facto) of a worker under a contract of indefinite duration, the employer has to pay a compensation of 30 days' basic wages per year of service or in proportion for any fraction thereof. However, this compensation shall not be less than 15 days' basic wages. No salary exceeding four times the minimum legal daily salary will be considered for the effects of calculating the compensation.
In addition, the employee is entitled to recieve back pay which shall accrue from the date of the complaint until the court decision. However it shall not exceed 35 days' wages (increased by max. 20 days if the case goes to appeal or cassation)

2) When a FTC worker is dismissed without just cause before the expiration of the contract, the employer has pay compensation which shall amount to the wages the worker would have been entitled to until the expiry of the FTC.

  • See art. 58 and 59 LC.
    On back pay, see art. 420 LC.

Reinstatement available: No

  • The Labour Code does not provide for the reinstatement of workers who have been unfairly dismissed.

Preliminary mandatory conciliation: Yes

  • Only in dismissals that lead to judicial procedure. Art. 385 LC.

Competent court(s) / tribunal(s): labour court

  • Art. 369 LC - "los jueces laborales" in first instance and "las Cámaras de lo Laboral" in second instance.

Existing arbitration: No

  • Arbitration is only foreseen for the settlement of collective disputes. due to economic or interest reasons. (Art. 480 and 500-514 LC).

    Note that art. 24 Conciliation, Mediation and Arbitration Act excludes labour disputes from its scope of application.