Panama regulates Law 126 on Telework

Under the current circumstances faced by our country and the entire world, the regular way of providing a service and the operation of companies in conjunction with their workforce has been affected.  For this reason, companies have been pushed to reinvent themselves and provide the necessary care and protection of their workers, which has led to Telework taking force in our country.

By virtue of this, workers can now carry out their work remotely, through technology, since there are regulations that guarantee all the rights and obligations established in the Labor Code, for both parties.

With the regulation of the Teleworking Law, relevant aspects have been made clear, such as the benefits, overtime hours, as well as professional risk recognition and working accidents that occur during the fulfillment of the employee’s work.

As regulated, both parties – the employer and the worker – must define an employment relationship, by means of an addendum to the employment contract, where it is established that the worker will provide his/her services through the teleworking modality, which at all times may be reversible by both parties, as long as deadlines and notices are respected.

Likewise, the obligations of the employer regarding the supply of tools, instruments, computer programs and equipment are detailed; the coverage of the expenses of said equipment, electricity and Internet bills, as well as the maintenance, repair and training of the provision of the service. In the same way, the worker is obliged to only use the above-mentioned equipment and utilities for the entrusted work activities, being responsible for the conservation and good condition of these.

In general, teleworking brings with it the use of new technologies and digital tools that allow workers to carry out their functions, and this regulation aims to strengthen the country’s economy by providing new options for companies.