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Fire Freeze

On December 26, 2011, Presidential Decree Nº 8.732, published in Official Gazette Nº 39.828, extended the fire freeze that protects workers of both the public and the private sector from the day of publication of the Decree up to December 31, 2012. Therefore, the workers covered by said Decree may not be dismissed or transferred, nor may their employment conditions be worsened, without a justified cause previously approved by the Labor Inspectorate of their jurisdiction.

 

The breach of such rule will entitle the dismissed worker to demand his/her reinstatement before the corresponding Labor Inspectorate, which may immediately order it as a preventive measure during the relevant proceeding, when there is a risk of harm to the worker or his/her family.  Also, it is expressly included that in addition to the salaries accrued and not paid, the dismissed worker may demand payment of the other benefits not received by him/her.


According to the new Decree, this fire freeze will protect i) employees with more than three (3) months rendering service to an employer; ii) employees who were hired for a specific period of time, but only during the period for which they were hired; and iii) employees who were hired to perform a specific work, only up to the time when the work concerned is completed.

 

The Decree will not apply to i) workers of direction; ii) workers of trust, and iii) casual or temporary employees. The exclusion of employees who earn salaries exceeding three (3) minimum salaries, contained in previous Decrees on this matter, was eliminated.


According to the rules of the Organic Labor Law, the Decree will be sent to the National Assembly, but it became effective upon its publication in the Official Gazette.


To access the Decree, please click here.

 

“NOTE: THIS INFORMATION SHOULD NOT BE CONSTRUED AS LEGAL ADVICE ON ANY SPECIFIC MATTER AND ITS CONTENT ARE INTENDED AS A MANAGEMENT ALERT AS TO CURRENT DEVELOPMENTS IN VENEZUELA, ANY SPECIFIC LEGAL QUESTIONS REGARDING THE POSSIBLE APPLICATION OF NEW OR PROPOSED LEGISLATION TO PARTICULAR SITUATIONS SHOULD BE ADDRESSED TO TRAVIESO EVANS ARRIA RENGEL & PAZ.”