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Puerto Rico does not have a local WARN statute. In which circumstances may an employer dismiss an employee without notice or payment in lieu of notice?
Puerto Rico is not an employment-at-will jurisdiction. However, employers are allowed to terminate employees at will during an initial probationary period. The probationary period in Puerto Rico used to be limited to ninety (90) days, provided the agreement was in writing.
'Summary dismissal' is dismissal without notice and is only allowed for 'gross misconduct'. This is where a situation is serious enough for your employer to dismiss you without warning (for example, for violence).
You can dismiss an employee without a written warning. But these are normally related to instant dismissal like gross misconduct and illegal activity. However, providing a written warning can be beneficial if your dismissal is challenged in a court.
Puerto Rico is not an 'employment at will' jurisdiction. Thus, an indefinite-term employee discharged without just cause is entitled to receive a statutory discharge indemnity (or severance payment) based on the length of service and a statutory formula.
From an employment law perspective, this means federal statutes such as Title VII, FLSA, ADA, ADEA, FMLA, USERRA, OSHA, ERISA, COBRA, among others, apply to Puerto Rico.
Does the WARN Act apply to Puerto Rico and other territories of the United States, such as Guam? Yes. Territories of the United States are subject to U.S. laws.
Section 403 of PROMESA modified Section 6(g) of the Fair Labor Standards Act (FLSA) to allow employers to pay employees in Puerto Rico who are under the age of 25 years a subminimum wage of not less than $4.25 per hour for the first 90 consecutive calendar days after initial employment by their employer.