Labor Update: New Procedure for Authorization and Registration of Furloughs
On May 23, 2020, the notice related to the Employment Protection Fund was jointly published by the Ministry of Labor and Social Welfare and the Ministry of Economy, through which a new electronic procedure was implemented for the registration, control and authorization of total suspensions (individual or collective) of employment contracts. This new procedure is linked to the National Registry of Persons -RENAP- and the Superintendency of Tax Administration -SAT- in order to verify the beneficiaries’ information.
Both, the companies that have already obtained the corresponding approval and those that are in the approval process, must carry out this new procedure so that the employees can continue receiving the funds.
Said provisions are temporary and of exclusive application while the circumstances and effects that derive from the COVID-19 pandemic persist.
The application for registration and authorization of total suspension of employment contracts, in the different modalities, must be made through the form enabled by the Ministry of Labor on its website (https://suspensiones.gob.gt/nueva- registered-company).
For this purpose, the following steps must be followed:
REGISTRY Employer must register the company and download the suspension form, enter data, sign it and upload it to the platform.
ACCOUNT ACTIVATION The company’s legal representative will receive an email with a code to activate the account. It is important to enter a valid email which the person doing the process has access to.
ENTRY Confirmed the account, the company enters a list of suspended employees. Must include: full name, # DPI and worker's phone. For foreign worker check the corresponding box.
APPROVAL Once approved by the Ministry of Labor, it automatically passes to the Ministry of Economy for approval of the disbursement.
UPDATE Every first business day of each fortnight, the employer must update the list of employees, indicating if they are still suspended, so that they can receive the next disbursement.