InstitutionalNewsMinimum wage increase in Free Trade Zones of the Dominican Republic

December 17, 2021

By José Jeréz, Associate.

On December 7, 2021, the National Salaries Committee announced the approval of a 21% increase in the minimum wage for employees in the free trade zone sector. The new minimum wage will be RD$13,915.00, effective 1 January 2022.

The increase of minimum wage in free trade zones in the Dominican Republic shall be calculated by hours of work, dividing the monthly salary by 23.83 and the result of this operation by dividing it by 8, for workers that render part-time services in industrial, commercial or service companies.

Part-time work is defined as providing services for a period not exceeding 29 hours per week, but in no case may work in excess of this limit or provide services during overtime hours.

The minimum wage increase applies to employees who as of the date of the resolution earn wages below the new minimum wage amount. Employees who at the date of the resolution earn a salary equal to or higher than the new adjusted salary of RD$13,915.00 will continue to receive the same salary, although such salary may be improved by agreement between the parties.

For more information on this resolution on minimum wages in the free trade zone sector, please contact us at [email protected].

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