New deadlines for withdrawing medicines from the market and applying new ceiling prices

Botes de medicinas y el logo de CorralRosales

Through Resolution No. STFP-04-714-2022, published on May 3, 2022, the Board of Medicines Prices Regulatory Authority provided:

  1. Until November 17, 2022, the medicines whose secondary packaging are marked with selling prices according to Appendix B of Resolution No. 10-2015 issued on August 19, 2015 (hereinafter, “Appendix B”), which was repealed by Resolution No. STFP-07-706-2021 published on November 22, 2021, shall be withdrawn from the market.
  2. By November 18, 2022, the medicines affected by the repeal of Appendix B must be sold at the new ceiling prices.

Mario Fernández - Boletín CorralRosales - Derecho Corporativo - Contratación Pública - Sector Eléctrico - Ecuador

Specialist in Corporate Law
Mario Fernández, senior associate at CorralRosales
mfernandez@corralrosales.com
+593 2 2544144

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NOTE: The above text has been prepared for informational purposes. CorralRosales is not responsible for any loss or damage caused as a consequence of acting or not acting on the basis of the information contained in this document. Any additional determined situation requires the specific opinion and concept of the firm in Quito / Guayaquil, Ecuador.

CORRALROSALES

Extension for the submission of financial statements

Edificio circular blanco más el logo de CorralRosales

By Decision No. SCVS-INPAI-2022-00003228 dated on April 22, 2022, the Superintendent of Companies, Securities and Insurance resolved to extend the deadline for the submission of financial statements and corresponding reports for fiscal year 2021 to May 31, 2022.

Foto cuadrada de Milton Carrera, asociado senior de CorralRosales

Specialist in Corporate Law
Milton Carrera, senior associate at CorralRosales
mcarrera@corralrosales.com
+593 2 2544144

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NOTE: The above text has been prepared for informational purposes. CorralRosales is not responsible for any loss or damage caused as a consequence of acting or not acting on the basis of the information contained in this document. Any additional determined situation requires the specific opinion and concept of the firm in Quito / Guayaquil, Ecuador.

CORRALROSALES

Job security for alternate union leaders

Edificio de cristal con el logo de CorralRosales

In Resolution 02-2022 -published in Official Gazette 40 on April 11, 2022- the National Court of Justice invoked the principles of equality, freedom of association/trade union freedom, and progressive development of rights, issuing a mandatory jurisprudential precedent:
 
The alternate leaders of workers’ associations have the same guarantees as the [workers’ associations’] official leaders, in accordance with Article 187 of the Labor Code” (emphasis added).
 
This means that alternate union leaders enjoy job security that prevents them from being fired by their employers. In the event that they were to be fired, such matter would be considered ineffective dismissal, with the consequences that this entails. Specifically, the employer in question would be obliged to reinstate the individual to their job and pay them any unpaid wages plus a 10% surcharge; or alternatively, pay additional compensation equivalent to 12 months of remuneration to effectively terminate the employment relationship.

Edmundo Ramos

Specialist in Labor Law
Edmundo Ramos, partner at CorralRosales
eramos@corralrosales.com
+593 2 2544144

Marta Villagómez

Specialist in Labor Law
Marta Villagómez, associate at  CorralRosales
mvillagomez@corralrosales.com
+593 2 2544144

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NOTE: The above text has been prepared for informational purposes. CorralRosales is not responsible for any loss or damage caused as a consequence of acting or not acting on the basis of the information contained in this document. Any additional determined situation requires the specific opinion and concept of the firm in Quito / Guayaquil, Ecuador.

CORRALROSALES

Payment facilities for the tourism sector due to COVID-19

Edificio de cristal con el logo de CorralRosales
Trough Resolution C.D. 645 -published in the Official Gazette of April 13, 2022- the Board of Directors of the Ecuadorian Social Security Institute (hereinafter, “IESS” or “Social Authority”) issued the “Regulation of Payment Facilities for the Tourism Sector, in application of the Organic Law for Economic Development and Fiscal Sustainability after the COVID-19 Pandemic” (hereinafter, the “Regulation“).
  1. Scope of application

Employers registered in the National Tourism Registry shall be eligible for the benefits contemplated in the Regulation.

  1. Payment facilities

Employers that comply with the requirements and have not paid the obligations hold with the Social Authority during the period between January 2020 and December 2021, may submit to the Social Authority a request to pay the outstanding obligations within a term of up to 48 months. 

IESS will eliminated interest, fines and surcharges that were generated during the aforementioned period, provided that the employer complies on time with the payment of the installments. In case of non-compliance, interest, fines and surcharges will be paid in accordance with applicable regulations.

The debtor may request early payment of the debt to the Portfolio Management Units of  the Social Authority.

  1. Payment default

Breach on the payment agreement will be reflected on the certificate of compliance of the Social Authority.

  1. Documents that must be attached to the request
  • Inscription in the National Registry of Tourism.
  • The updated Single Annual License of Operation, granted by the Municipality in which the tourist establishment operates.
  • Titles of credit of the periods from January 2020 to December 2021 are unpaid.

Edmundo Ramos

Specialist in Labor Law
Edmundo Ramos, partner at CorralRosales
eramos@corralrosales.com
+593 2 2544144

Marta Villagómez

Specialist in Labor Law
Marta Villagómez, associate at  CorralRosales
mvillagomez@corralrosales.com
+593 2 2544144

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NOTE: The above text has been prepared for informational purposes. CorralRosales is not responsible for any loss or damage caused as a consequence of acting or not acting on the basis of the information contained in this document. Any additional determined situation requires the specific opinion and concept of the firm in Quito / Guayaquil, Ecuador.

CORRALROSALES

Living wage 2021

Edificio de cristal con un montón de ventanas + el logo de CorralRosales

On March 18th, the Ministry of Labor – by Ministerial Agreement MDT-2021-087- set the living wage for 2021 and established the payment procedure.

  • Living wage

The value of the monthly living wage for 2021 was set at US$447.41.

  • Economic compensation calculation period

To calculate the economic compensation of the living wage, employer shall consider income received by the employee from January 1st to December 31st, 2021.

If employees worked for a shorter period than the aforementioned, calculation will be proportional to the time worked.

  • Procedure to calculate economic compensation

The economic compensation to which workers whose monthly income is not less than the living wage are entitled, is the difference between the living wage for the year 2021 and the monthly income that the worker received during 2021.

To calculate employee´s monthly income, the following amounts received during the calculation period must be added and divided by 12:

  • Salary
  • Thirteenth remuneration
  • Fourteenth remuneration
  • Commissions or incentives paid by the employer.
  • Profit sharing
  • Additional benefits paid in cash by the employer
  • Reserve funds

In the case of part-time employees, economic compensation will be calculated proportionally to the hours worked. The ordinary workday is 240 hours per month.

  • Payment deadline

The economic compensation shall be paid until March 31, 2022.

  • Registration before the Ministry of Labor

Once the employer registers the labor profit sharing form of year 2021, the Ministry of Labor’s platform will generate the payroll of the employees entitled to the economic compensation to reach the living wage.

Edmundo Ramos

Specialist in Labor Law
Edmundo Ramos, partner at CorralRosales
eramos@corralrosales.com
+593 2 2544144

Marta Villagómez

Specialist in Labor Law
Marta Villagómez, associate at  CorralRosales
mvillagomez@corralrosales.com
+593 2 2544144

Would you like to receive our newsletters with information like the one you have just read?
Click here and subscribe.

NOTE: The above text has been prepared for informational purposes. CorralRosales is not responsible for any loss or damage caused as a consequence of acting or not acting on the basis of the information contained in this document. Any additional determined situation requires the specific opinion and concept of the firm in Quito / Guayaquil, Ecuador.

CORRALROSALES