President José María Balcázar enacted a new law on Monday that provides significant benefits to workers under the Administrative Contracting Services (CAS) regime. This regulation will benefit approximately 350,000 public servants and is estimated to have a fiscal cost of S/ 2.8 billion annually, according to the Ministry of Economy and Finance (MEF).
The Law No. 32563 establishes that CAS workers will receive bonuses for National Holidays and Christmas, in addition to the Compensation for Time of Services (CTS). Each bonus will be equivalent to one monthly salary, while the CTS will be calculated based on 100% of the salary for each year of service and will be paid at the end of the employment relationship.
The regulation also defines three types of contracts for workers, including indefinite and fixed-term contracts, as well as trust contracts. Despite warnings from the MEF regarding the fiscal impact, the Executive moved forward with the enactment to meet the demands of public servants.
Additionally, Law No. 32566 was approved, allowing for the contract change of EsSalud’s support staff who worked under the CAS-COVID modality during the health emergency, benefiting those who meet certain requirements. The implementation of these provisions must be financed with internal resources, without affecting the national treasury.
