Introduction
The Labor Bureau amended the doctrine on “historic benefits” in Ordinary Letter No. 2238/29 issued May 11, 2018, in accordance with Law 20,940.
Historic Benefits
According to the Labor Bureau, historic benefits are benefits that have been granted prior to the signature of a collective bargaining agreement.
Amendment to the Labor Bureau’s doctrine
Previously, the Labor Bureau held that historic benefits became part of the union’s equity if they were contained in a collective bargaining agreement, and they could not be granted to the remaining workers if they had not been granted prior to that agreement.
Its new doctrine says that even though historic benefits have been negotiated in collective bargaining and included in the respective agreement, if they were granted prior to the collective bargaining, they must continue to be granted to workers in the terms and for the amounts agreed in individual employment contracts.
Contact Us
Should you require further information on this subject, please contact Claudia Godoy at cgodoy@jdf.cl or Alfred Sherman at asherman@jdf.cl.
