The ELA is proud to welcome our newest member firm: LOGOS  in Iceland!
The ELA is proud to welcome our newest member firm: LOGOS  in Iceland!


Employee Dismissal and Suspension Ban and Presumption of COVID-19 as an Occupational Disease are Both Extended Again


Enrique M. Stile - partner - Labor & Employment
Jorge Manuel Rovillard - associate - Labor & Employment

Submitted by Firm:
Marval, O'Farrell & Mairal
Firm Contacts:
Enrique M. Stile
Article Type:
Legal Update

On June 28, Presidential Decree No. 413/2021 (the “Decree”) was published in the Official Gazette, extending the prohibition against dismissals without just cause and the prohibition against ordering dismissals and suspensions on grounds of insufficient or decreased work and force majeure until December 31, 2021.

Exempt from the prohibition are suspensions made pursuant to section 223 bis of the Labor Contract Law.

Any dismissals and suspensions that conflict with the provisions of the Decree are null and void; thus, they have no effect and the existing employment relations and their current conditions remain in force.

These prohibitions do not apply to contracts made after the entry into force of Decree No. 34/19.

Likewise, the Decree extends, until December 31, 2021, the presumption that the COVID-19 infection caused by the SARS-CoV-2 virus is an unlisted occupational disease with respect to dependent employees who have rendered their service at their usual place of work, outside their place of residence.