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Employees receive paid annual leave of at least 2 weeks after 50 weeks of service, or 1 leave day per month if they have worked for less than 1 year. Employees are paid their regular wages during annual leave.

If there is a good reason for which an employee cannot enjoy their annual leave, they can accumulate the leave allowance up to 3 times and agree to take payment in lieu of leave. Annual leave can be divided into a maximum of 2 parts.

Part-time employees are also entitled to annual leave.

There is no provision for sick leave in Costa Rica. In case of occupational illness, employees who have paid social security contributions for 6 months in the 12 months prior to the start of sickness are entitled to receive 50% of their salary for the first 3 days of sickness. The Social Security Institute pays the other 50%. From the fourth day, employees receive 60% of their salary for 45 days of sickness with funding from the Social Security Institute. The employee must submit a medical certificate to the Social Security Institute to receive payment. After 45 days, employees whose salary is less than CRC 100 (Costa Rican colones) per day receive 100% of their remuneration, and employees with a salary higher than CRC 100 per day are eligible to receive 67% of their salary. This benefit is paid for a maximum of 2 years. After 2 years, an assessment of permanent disability is made and payment of temporary disability benefits is suspended.

When an employee is not entitled to the benefits, but has contributed up to 2 installments and becomes disabled due to illness, they will receive financial assistance for up to a maximum period of 12 weeks.

Costa Rica's Labor Code provides 4 months of paid maternity leave to pregnant employees: 1 month before and 3 months after childbirth. To benefit from this leave, an employee must submit a medical certificate stating that the delivery will probably occur within 5 weeks from the certificate's date of issue.

The benefit amount for the entire duration of maternity leave is equal to the employee's salary. Benefits are funded equally by the employer and Costa Rica's Social Security Fund.

An employee who adopts a minor is also entitled to 3 months' paid leave immediately following the arrival of the child.

Costa Rica grants 2 days of paid paternity leave per week to biological fathers for the first 4 weeks after the birth of their child. In case of death of the mother during childbirth, the remaining maternity leave is transferred to the father.

Pension

There is a compulsory insurance scheme for employees in the private and government sectors in Costa Rica. The legal age for retirement is 65 years with pension eligibility if at least 240 contributions have been paid. If not 240, but at least 180 installments have been paid, employees become eligible for a partial pension proportionate to the number of contributions paid relative to 240. There are two types of pensions: Basic Pension and Mandatory Individual Account. The Basic Pension is calculated based on the average of the best 300 monthly salaries of the employee. An annual bonus equal to one month’s salary is also paid in the first year. There are provisions for early retirement with a reduced pension. Mandatory pension is a supplementary pension that depends on the total amount of contributions made by the insured and employer in a pension fund of their choice. The benefit is paid as long as the fund lasts.

There is a non-contributory pension scheme for Costa Ricans above 65 years of age or disabled people under 65 who are not registered with the contributory pensions scheme and are in a state of extreme poverty. The amount of monthly pension is CRC 82,000 (Costa Rican colones).

The contributions for social insurance are paid by employers, employees, and the government.

Dependents/Survivors Benefits

A mandatory social insurance scheme provides benefits to survivors after the death of the insured employee. The benefit applies if the deceased was a pensioner for old age or disability, made at least 180 contributions, and contributed for at least 12 months in the 24 months before death. Their spouse, children, parents, grandparents, and siblings are eligible for benefits.

If the deceased employee had paid at least 12 monthly contributions but was not eligible for a pension, their survivors are entitled to indemnity payment equal to 1 month's salary for each month of contribution. The pensions from the Mandatory Complementary Pension Scheme (ROPC) are also transferred to the survivors in the same manner as the basic pension regime.

Monthly benefits are paid to survivors by the employer for a maximum of 10 years (though premiums are paid to the National Insurance Institute) in case of death due to occupational risk.

Invalidity Benefits

The social insurance scheme in Costa Rica provides insurance benefits for disability to employees who have lost at least 2/3rd of their ability to perform their profession and have contributed at least 180 monthly contributions. There are two types of pensions: basic and mandatory. The Basic Pension is calculated based on the average of the employee's best 300 monthly salaries and the number of contributions made. Mandatory Pension is a supplementary pension that depends on the total amount of contributions made by the insured and the employer. Pension is paid as long as the fund lasts.

There is a non-contributory pension scheme for disabled nationals of Costa Rica who are under 65 years of age, not registered with the contributory pensions scheme, and in a state of extreme poverty. The amount of monthly pension is CRC 82,000 (Costa Rican colones).

Benefits are paid by the employer (through premiums paid to the National Insurance Institute) for disability caused due to occupational risks, depending on the type and degree of disability.

The legal minimum age of employment in Costa Rica is 15 years. Persons between the ages of 12 and 15 can only enter into employment contracts if signed by their legal representative. It is prohibited to employ persons above the age of 15 years and below 18 years in work that requires a workday lasting longer than 7 hours or a workweek longer than 42 hours. Children under the age of 15 years can be employed in light work with the authorization of their guardians or parents. Daily working hours for persons between the ages of 12 and 15 must not exceed 5 hours a day or 30 hours a week. Work for minors must not interfere with their compulsory education.

Persons below 18 years of age cannot be employed to carry out work that is unhealthy or dangerous to their physical or moral health. It is prohibited to employ children under the age of 18 years in night work or in hostels, clubs, canteens, bars, and in all outlets serving alcohol for immediate consumption. Minors above 16 years of age may be granted the right to work night shifts under special circumstances.