Managing employee leave in Costa Rica requires a clear understanding of the country's labor laws, which stipulate specific entitlements for vacation, public holidays, sick leave, and various other types of absence. Employers operating in Costa Rica, whether through a local entity or an Employer of Record, must ensure compliance with these regulations to maintain fair labor practices and avoid potential legal issues.
These legal frameworks define the minimum benefits employees are entitled to, ensuring they receive adequate rest, time off for illness, and support during significant life events. Adhering to these policies is crucial for operational compliance and fostering positive employee relations within the Costa Rican workforce.
Annual Vacation Leave
Employees in Costa Rica are legally entitled to paid annual vacation leave. The minimum entitlement is two weeks of paid vacation for every 50 weeks of continuous work. This accrual is based on the length of service with the same employer.
Vacation time is typically taken after completing 50 weeks of service, but employers and employees can agree to different arrangements, provided the minimum entitlement is met. The timing of vacation is usually determined by mutual agreement, considering the needs of both the employee and the business.
| Service Duration | Minimum Vacation Entitlement |
|---|---|
| Every 50 weeks worked | 2 weeks (14 calendar days) |
Payment for vacation is calculated based on the employee's average ordinary salary earned during the 50 weeks preceding the vacation period.
Public Holidays and Observances
Costa Rica observes several mandatory paid public holidays throughout the year. Employees are generally entitled to a paid day off on these dates. If an employee is required to work on a mandatory public holiday, they are typically entitled to double pay for the hours worked on that day.
The following are the standard mandatory paid public holidays in Costa Rica:
| Date | Holiday |
|---|---|
| January 1 | New Year's Day |
| April 11 | Juan Santamaría Day |
| May 1 | International Workers' Day (Labor Day) |
| July 25 | Annexation of Nicoya |
| August 15 | Mother's Day |
| September 15 | Independence Day |
| October 12 | Cultures Day (Día de las Culturas) |
| December 25 | Christmas Day |
Note that Holy Thursday and Good Friday (dates vary annually based on Easter) are also mandatory paid holidays. Some other dates are observed as holidays but may not be mandatory paid days off unless specified by collective agreements or employer policy.
Sick Leave Policies and Pay
Employees in Costa Rica are entitled to sick leave when they are unable to work due to illness or injury. To be eligible for paid sick leave, employees must present a medical certificate issued by a doctor registered with the Costa Rican Social Security Fund (Caja Costarricense de Seguro Social - CCSS).
The payment for sick leave is typically shared between the employer and the CCSS, depending on the duration of the absence:
| Duration of Absence | Payer(s) | Payment Rate (of ordinary salary) |
|---|---|---|
| Days 1-3 | Employer | 50% |
| Day 4 onwards | CCSS (primarily) and potentially Employer | CCSS pays 60%, Employer pays 40% |
The CCSS is the primary provider of sick pay for longer absences, covering a significant portion of the employee's salary, with the employer often required to supplement this amount up to a certain percentage of the regular wage. The specific duration for which the CCSS pays can extend for several months, depending on the medical condition.
Parental Leave
Costa Rican labor law provides specific entitlements for parental leave, primarily focusing on maternity leave but also including provisions for paternity and adoption leave.
Maternity Leave
Pregnant employees are entitled to paid maternity leave. The standard duration is four months (approximately 120 days), divided into one month before the expected delivery date and three months after the birth.
Payment during maternity leave is shared between the employer and the CCSS:
| Period | Payer(s) | Payment Rate (of ordinary salary) |
|---|---|---|
| 1 month before delivery | Employer + CCSS | 100% (split 50/50) |
| 3 months after delivery | Employer + CCSS | 100% (split 50/50) |
The employee must present a medical certificate confirming pregnancy and the expected delivery date to initiate maternity leave.
Paternity Leave
While not as extensive as maternity leave, Costa Rican law grants fathers a short period of paid leave upon the birth of a child. The standard entitlement is two days of paid leave.
Adoption Leave
Similar to maternity leave, employees who adopt a child are typically entitled to paid leave. The duration and conditions are generally comparable to maternity leave, allowing the adoptive parent time to bond with the child.
Other Types of Leave
Beyond the primary categories, Costa Rican labor law and common practice recognize other types of leave, although entitlements may vary or be subject to employer policy or collective agreements.
- Bereavement Leave: While not explicitly mandated by law for a specific duration, many employers grant a few days of paid leave in the event of the death of an immediate family member.
- Study Leave: Leave for educational purposes is not a general legal entitlement for all employees but may be granted based on specific industry regulations, collective bargaining agreements, or employer discretion, sometimes on an unpaid basis.
- Sabbatical Leave: Sabbatical leave is not a statutory entitlement in Costa Rica. It may be offered by employers as a benefit, typically for long-serving employees, and the terms (paid or unpaid, duration) are determined by company policy.
- Leave for Civic Duties: Employees are generally entitled to time off to fulfill mandatory civic duties, such as serving on a jury or voting.
Employers should consult the specific provisions of the Labor Code and any applicable collective agreements to ensure full compliance with all leave requirements.
