Employment
Fragmented regimes with severance capped at 12 salaries
Private-sector employment is governed principally by Decreto Supremo 003-97-TR. Dismissal without a lawful ground entitles the worker to compensation of one and a half salaries per year of service, capped at 12 salaries. Workers receive two annual gratificaciones (July and December) and a CTS deposit twice yearly as a severance fund.
Key rules
- Jurisdiction — National, enforced by labour courts and SUNAFIL
- Deadline — Gratificaciones: paid in the first fortnight of July and December
- Deadline — CTS: deposited in May and November
- Deadline — Annual leave: 30 calendar days; claims limitation four years
Governing law
- Decreto Supremo 003-97-TR - Ley de Productividad y Competitividad Laboral
- Decreto Supremo 001-97-TR - Compensación por Tiempo de Servicios
- Ley 29783 - Seguridad y Salud en el Trabajo
In practice
Peruvian employment law is notably fragmented, with distinct regimes for micro and small enterprises, agriculture, construction and the public sector, so the applicable rules depend heavily on employer size and activity. The Constitutional Court has additionally allowed reinstatement rather than compensation for dismissals it classifies as null or fraudulent, creating a remedy that sits outside the statutory cap.