The National Salary Committee of the Labor Ministry of the Dominican Republic, approved an increase of 21% to the Minimum Wage applicable to Dominican Free Zones employees on December 2^nd, 2021, for the amount of Thirteen Thousand Nine Hundred Fifteen Dominican Pesos (DR$13,915.00, approx. 243 USD) effective from the first of January of 2022.

The most relevant provisions of Resolution No.3-2021 include:

(i) Fixing the minimum wage of industrial free zone employees in RD$$13,915.00.00 (approx. 243 USD).

(ii)   Calculation of the minimum wage of a partial time employee should be made by dividing said salary between 23.83, and dividing the result thereof between 8.

(iii)  Part time work is understood as rendering services that does not exceed 29 hours a week, and in no case being able to work above that limit or provided services in extra hours of work.

(iv) Payment of trainees’ minimum wage should be made pursuant to the provisions of the Labor Code, and based in the training hours of the business where services are rendered.

(v)  Employees with a salary higher than the minimum shall not enjoy increases thereto, unless the parties agree otherwise.

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ABOUT THE AUTHOR: Felipe Castillo is a Partner leading the Foreign Investment, Real Estate & Tourism areas at Arthur & Castillo Advisers and Consultants in the Dominican Republic. He specializes in foreign investment, real estate and international business (Master in International Business, Entrepreneurship and Finance Studies from Georgetown University in Washington, D.C. & Masters in International E- Business in Universitat Pompeu Fabra in Barcelona) with more than 20 years of experience in Foreign Investment, Free Trade Zones, International Business and Cross Border Real Estate practice. He is a Certified Business Bankruptcy Expert and English and Spanish Interpreter.

Email: fcastillo@aclaw.com

Disclaimer: This publication is not intended to provide advice or suggest a guaranteed outcome as individual situations will differ and the situation may have changed since publication. For specific advice on the information provided and related topics, please contact the author.

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