Unemployment figures in Panama have increased alarmingly, which is why the newly inaugurated Government of Panama has launched an aggressive program through which a 2019 Law is regulated, which at the time created the “Learning by Doing” project without major impact on the offer of first jobs for young people in the private sector.
Thus, the DE 27 of 2024 promulgated in the first Cabinet Council of the Executive Branch, decrees in 7 chapters the mechanisms for the registration of Participating Companies, the Scholarships for the beneficiaries and the Tax Incentive that would be the equivalent of twice the minimum wage that each young participant receives during the fourth, fifth and sixth month of the contract, not including overtime.
The development of this program is under the tutelage of the Ministry of Labor and Labor Development (MITRADEL) and is aimed at young people from 17 to 24 years of age who have an academic level of secondary education (Baccalaureate), university or vocational education, including technical training, without any previous work experience.
Companies interested in benefits must also complete an official form electronically for registration, including general employer data, available positions, the expected start date of work and the data of the worker in charge of the apprentice. They will then sign an agreement with MITRADEL to regulate the relationship between the apprentice and the company.
The Program foresees 3 phases of execution, which include:
1. Phase 1: Training (30 hours in 5 days)
2. Phase 2: Internship (3 months)
3. Phase 3: Obtaining Worker Status (Post-Internship)
For more information or interest in joining the program, do not hesitate to contact us at ARIAS Panama at Regulatorio-Arias@ariaslaw.com
Siaska SSS Lorenzo
Managing Partner
siaska.lorenzo@ariaslaw.com
MarÃa Paula Orsini
Associated
maria.orsini@ariaslaw.com
