The observance of New Year’s Day on January 1 is regulated throughout the region as follows:

Costa Rica: Under Article 148 of the Labor Code, January 1 is declared a compulsory payment holiday. An employer who has a weekly payment method (non-commercial activity), in which only the days worked are compensated must add the payment of this day if it is not worked.

If the employer has a biweekly or monthly payment method, an employee who does not work the day will only be paid as already included in the monthly salary.

In either case, the employer must pay an employee who works the holiday double-time.

Guatemala: January 1 is a compulsory payment day, which is applicable from noon on December 31 and all day on January 1. If an employee works from noon on December 31 or at any time on January 1, the payment must be made, with a double bonus on his ordinary salary, as stipulated in the Labor Code, articles 127, 128 and 129

Honduras: January 1 is considered a national holiday. An employee who agrees to work the day will be paid double the salary of an ordinary day in proportion to the time worked, without prejudice to the right of the worker to any other rest day in the week.

El Salvador: According to Article 190 of the Labor Code, January 1 is a compulsory paid national holiday and must be compensated with the basic salary, without an employee’s obligation to work.

An employee who, in agreement with the employer, work this day, will earn an extraordinary salary composed of the ordinary salary plus a 100% bonus. If the work includes overtime, the calculation for the extra pay will be based on the extraordinary salary established for the holiday.

Employees of companies dedicated to public service or essential to the community, as well as those dedicated to fun and recreation, sale of basic necessities, hotels, restaurants, and work that for technical or practical reasons require continuity, are required to work the day of rest in the number designated by the employer. In this case, the employees will maintain their right to extraordinary remuneration for work done during the day off.

Nicaragua: The Labor Code establishes January 1 as a paid holiday; the employee working this day is paid twice the ordinary salary.