South America: Employment and HR

La promulgación de la Ley 526 de 2026 en Panamá introduce obligaciones estrictas para las empresas que forman parte de grupos multinacionales y perciben rentas pasivas de fuente extranjera. Con la entrada en vigor fijada para el periodo fiscal 2027, las organizaciones rezagadas se exponen a una tarifa impositiva del 15% sobre su renta neta gravable de fuente externa si no logran demostrar una presencia operativa real dentro del territorio nacional. Ante este panorama normativo, delegar la administración contable y laboral en proveedores locales calificados deja de ser una alternativa de eficiencia para convertirse en un pilar de cumplimiento legal.

The enactment of Law 526 of 2026 in Panama introduces strict obligations for companies that are part of multinational groups and earn passive income from foreign sources. With entry into force set for fiscal year 2027, organizations that fall behind face a 15% tax rate on their net taxable foreign-source income if they fail to demonstrate a genuine operational presence within national territory. Given this regulatory landscape, delegating accounting and labor administration to qualified local providers is no longer merely an efficiency option, it has become a pillar of legal compliance.

Companies registered in Mexico's REPSE (Registry of Specialized Service Providers) face critical compliance deadlines for the first four-month period of 2026. Understanding the mandatory reporting requirements to IMSS and INFONAVIT, along with the potential consequences of non-compliance, is essential for maintaining valid registration and avoiding tax exposure.

The Puerto Rico Supreme Court has issued its first interpretation of Act 90, the island's workplace harassment prevention law, addressing what happens when employers fail to establish required internal complaint procedures. The decision clarifies whether employees can bypass administrative steps when their employer lacks a compliant harassment protocol, and establishes critical procedural requirements that affect both workers and businesses operating in Puerto Rico.

The Brazilian Supreme Court has fundamentally altered the landscape for obtaining free legal aid in labor disputes, replacing automatic approval based on worker declarations with a new income-based threshold system. This landmark ruling establishes concrete evidentiary requirements and shifts the burden of proof, creating significant implications for access to justice in employment litigation.

O Supremo Tribunal Federal estabeleceu novos critérios para a concessão de gratuidade de justiça na Justiça do Trabalho, determinando que a presunção de hipossuficiência passa a ser relativa e condicionada à renda do trabalhador. A decisão, que encerra controvérsia de longa data sobre a aplicação da Reforma Trabalhista de 2017, estabelece parâmetros objetivos baseados em faixas salariais e exige comprovação documental em determinados

Cross-border employee assignments create distinct compliance obligations under social security coordination and income taxation frameworks. Understanding how totalisation agreements and double tax treaties operate independently—rather than interchangeably—is essential for managing assignment costs and avoiding regulatory pitfalls.

Forbes magazine recognizes Las Terrenas in the Dominican Republic as an emerging paradise for international retirement and real estate investment, highlighting its strategic location, multicultural environment, and competitive advantages for North American investors. The article examines key factors driving this Caribbean destination's growth, including accessible migration processes, tax-exempt investment opportunities, and sustained infrastructure development in the Samaná region.

Following years in which deficits dominated discussions around defined benefit (DB) schemes, sponsors are increasingly focused on how to address schemes holding assets in excess of the amounts...

The Puerto Rico Supreme Court has issued its first interpretation of Act 90, the island's workplace harassment prevention law, addressing what happens when employers fail to establish required internal complaint procedures. The decision clarifies whether employees can bypass administrative steps when their employer lacks a compliant harassment protocol, and establishes critical procedural requirements that affect both workers and businesses operating in Puerto Rico.

Building a workplace where every employee feels safe, valued and respected is key to a successful and resilient business, and LGBTQIA+ inclusion is an important part of that. This video addresses the most common questions that employers have on the likes of names, pronouns and workplace policies, and discusses practical approaches to creating a more inclusive workplace in an area where legal approaches continue to evolve.

Tras la aprobación de la Ley 513 de 2026, el Órgano Ejecutivo emitió el Decreto Ejecutivo No. 1 de 31 de agosto de 2026, que reglamenta dicha ley con la finalidad de mejorar su cumplimiento y alcanzar sus objetivos.