Pablo Gáleas
In this article, we provide an overview of the key aspects and legal requirements you need to know so that we can advise you on how to apply for your residence or permit that will allow you to work formally and legally in El Salvador, either as an employee of a company or as part of a foreign investment project. Understanding the requirements of the applicable regulatory framework in advance will be essential to avoid immigration setbacks or penalties and ensure legal permanence in the country.
I- Executive Summary
Currently, Salvadoran law requires that all non-Central American foreigners who wish to work in the country must have a temporary residence with authorization to work, in addition to a work permit issued by the Ministry of Labor. Both procedures must be handled with the intervention and support of the employer and the worker, as they require compliance with specific requirements by both the foreigner and the contracting company.
In this article, we provide a practical overview of the procedure, the differences between work authorization and a work permit, and certain key documents required for the process. Finally, we discuss the compliance criteria that companies must observe when hiring foreigners, per the current Salvadoran immigration and labor framework.
II- Work authorization
Companies wishing to hire non-Central American foreigners as part of their workforce and ensure that this hiring is legal must bear in mind that Salvadoran law currently requires such foreigners to have temporary residence with work authorization and a work permit issued by the Ministry of Labor and Social Welfare.
III- Temporary residence
We carry out the immigration process before the General Directorate of Migration and Foreigners (hereinafter “DGME”), advising the employing company, as it must be initiated by the company and not directly by the future worker. The formal application is submitted together with the job offer letter. For their part, foreign workers will be required, among other requirements, to submit their criminal records from the country where they have resided for the last two years.
Once this stage has been approved, the foreigner will obtain from the DGME a temporary residence with authorization to work, which allows them to stay legally and work in El Salvador.
It should be noted that, although the DGME’s decision entitles them to work immediately, non-Central American foreigners must also obtain a work permit issued by the Ministry of Labor and Social Welfare (hereinafter the “Ministry”). The purpose of this permit is to verify that the company complies with the percentages established in the Labor Code, particularly that:
- at least 90% of the personnel hired are Salvadoran nationals; and that
- at least 85% of the total wages are paid to Salvadoran nationals.
To calculate the above percentages, nationals of Costa Rica, Guatemala, Honduras, and Nicaragua are also considered “Salvadoran.”
IV- Key differences between work authorization and work permits
It is important to distinguish between the two procedures before the DGME and the Ministry:
- The authorization to work is incorporated into and forms part of the temporary residence resolution issued by the DGME.
- The work permit, on the other hand, is an independent labor procedure in which the Ministry validates that the employing company complies with the legal provisions and hiring percentages.
Consequently, Central American citizens only require immigration authorization with the authorization to work. On the other hand, non-Central American foreigners must obtain both procedures (temporary residence and work permit) to be legally hired.
V- Relevant Documentation
In our recent experience, the work permit process with the Ministry of Labor usually takes more business days than legally stipulated, as they are counted from the date of receipt of all the required documentation by the Ministry. In addition to the basic hiring documents and general information about the worker and the company, it is essential to submit the following:
- Academic credentials.
- Recent company payrolls.
Academic credentials, and all documents issued abroad, must be duly apostilled and legalized under Salvadoran regulations.
VI- Conclusion
Hiring foreign personnel in El Salvador requires careful management of the applicable immigration and labor requirements. Having the proper documentation from the outset is essential to ensure the legality of the employment relationship and avoid setbacks with the authorities.
For specific inquiries or advice on individual cases, please contact us directly at the following email addresses: gvega@consortiumlegal.com and migraciones@consortiumlegal.com.sv