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Puerto Rico has enacted the Minimum Wage Act, Act No. 47-2021, increasing the Island's minimum wage from $7.25 to $8.50 effective January 1, 2022.
The Puerto Rico Working Mother's Act provides a minimum of 8 weeks of paid leave to women who experience pregnancy. The act provides full pay and benefits so employers must continue to provide employees who take maternity leave with full benefits and pay.
Senate Bill 1524 also would revert the minimum vacation leave accrual for all eligible employees to 1.25 days per month, for a total of 15 days per year (currently, depending on years of service, an employee can accrue from five to 15 days a year).
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.
Employment law in Puerto Rico is covered both by U.S. labor law and Puerto Rico's Constitution, which affirms the right of employees to choose their occupation, to have a reasonable minimum salary, a regular workday not exceeding eight hours, and to receive overtime compensation for work beyond eight hours.
Effective on 8 August 2020, Puerto Rico's Governor Wanda Vazquez Garced signed into law Bill No. 2424, expanding maternity leave benefits to female employees adopting a child age 6 years or older. These working mothers are now entitled to five employer-paid weeks of leave.
Section 29 CFR 825.105(b) of the FMLA regulations states that the FMLA applies only to employees who are employed within any State of the United States, the District of Columbia or any Territory or possession of the United States. Territories or possessions of the United States include Puerto Rico, the Virgin Islands
Nope. With the exception of Title VII, ADA and ADEA, employment laws do not apply to U.S. citizens working outside the country, even if they are working for an American company. So, a U.S. national loses FMLA protection once he steps off U.S. soil.
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.