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7. Labor and employment: Guatemala

Labor and employment in Guatemala: how a hire is contracted and registered, the two month probation period, the 48 hour week and the 50 percent overtime premium, the minimum wages fixed each year by government agreement for two economic regions and three activity groups, the Q250 monthly incentive bonus, the annual Bono 14 and the aguinaldo, vacations and maternity leave, contributions to the social security institute (IGSS) plus the IRTRA and INTECAP payroll levies, dismissal indemnity of one month of salary per year of service, the 30 business day claim deadline and the cap on foreign staff, each tied to the official text. For staff moving between Argentina and Guatemala, the Argentine side of labor and payroll rules is covered in The Argentine Thread guide.

Investor view. A single labor code with fixed formulas, regional minimum wages that are lower outside the capital and in export and maquila activity, and employer social charges of about 12.67 percent of payroll let employers price a hire and an exit in advance, which supports hiring and growth.

• Employing people in Guatemala: contracts, minimum wage, bonuses, IGSS contributions, dismissal indemnity and the foreign staff capGuatemala's Labor Code of 1961 presumes every contract is indefinite, requires most contracts in writing and filed with the labor ministry within 15 days, treats the first two months as probation and

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