Selection order for dismissals and layoffs in detail

Dismissals must be carried out in the following order of priority:

  • The most junior employees within the various labour categories must be dismissed first.
  • Thereafter, Panamanian employees must be given preference over foreign employees.
  • Unionised employees must prioritised over those that are not unionised.
  • More efficient employees must be prioritized over those that are less efficient.
  • Pregnant employees must be the last to be dismissed, even if they do not fall within the categories above.
  • Finally, after applying the above, employees with ‘union immunity’ have preference over those without it.
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Author: Arosemena Noriega & Contreras

Date: December 2019