The leave policy in Ecuador protects employee welfare through entitlements such as paid annual leave, sick leave, maternity and paternity leave, and bereavement leave, all regulated by the nation's Labor Code.
A well-defined leave policy is not only a legal necessity but also directly affects talent retention, productivity, and business success. Effective HR solutions are essential for growing internationally, especially in a South American nation like Ecuador.
HR solutions like Employer of Record (EOR) will help you handle leave policies effortlessly while remaining compliant with local labor legislation. In this guide, we discuss the leave policy in Ecuador in its entirety and discover how the EOR platform can help.
Earned Leave in Ecuador
You must include the following paid annual leave, more popularly known as "earned leave", as part of your leave policy in Ecuador:
The Ecuadorian Labor Code does not prescribe stacking vacation days over several years and you may set up your own company leave policy in Ecuador or agreement. Further, you may refer to any collective bargaining agreements applicable to them for specific leave entitlement and associated provisions.
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Talk to an expertMaternity Leave in Ecuador
Ecuador maternity leave is a guaranteed right for women workers, providing paid leave for childbirth and recuperation. Here is an overview:
Parental Leave in Ecuador
Ecuador prescribes providing both parents with the ability to bond with and nurture their newborns. You can set up your leave policy in Ecuador for parental leave as follows:
- You may allow parents to have up to 9 months of unpaid leave upon maternity or paternity leave expiration.
- You may permit parents to stay at home for longer during the child's initial growth periods.
Paternity Leave in Ecuador
In Ecuador, leave for new fathers is a legally enforced benefit that enables them to take paid leave upon the birth of their child:
Adoption Leave in Ecuador
You may grant up to 15 days of leave to adoptive parents to support the adoption process and the integration of the child into the family.
Public Holidays in Ecuador
Ecuador's public holidays are distinct from yearly vacation leave and are normally given as paid days off. If a public holiday occurs on a weekend, it is generally not compensated with an extra day off during the week.
National holidays in Ecuador from February 2025 to January 2026 include:
- March 3-4: Carnaval
- April 18: Good Friday
- May 2: Ecuador Labor Day
- May 23-24: Battle of Pichincha (observed)
- July 25: Guayaquil Day
- Holidays of August in Ecuador— August 11: Independence Day (observed)
- October 10: Independence of Guayaquil
- November 3: Independence of Cuenca
- November 4: All Souls’ Day
- December 25: Christmas Day
- January 1: New Year’s Day
There are no holidays in June in Ecuador for 2025-2026. Furthermore, famous Ecuadorian holidays and traditions celebrate:
- Inti Raymi: An Incan celebration of the June solstice honoring the sun deity with music, dance, and ceremonies.
- Corpus Christi: A mixture of indigenous and Catholic traditions involving processions, fireworks, and sweets, notably in Cuenca.
- La Diablada de Píllaro: A January celebration where individuals dress up in devil masks and dance to celebrate Indigenous heritage.
- Day of the Dead: An ancestral tradition involving visits to the cemetery, sacrifices, and reminiscing.
Sick Leave Policy in Ecuador
You may grant sick leave in Ecuador per the following provisions:
Casual leave in Ecuador
There is no explicitly defined casual leave. However, you can include paid or unpaid time off for personal reasons under your company leave policy in Ecuador.
Unpaid leave in Ecuador
Unpaid leave is not legally required by labor laws, but you may negotiate with your employees according to your company policies. This type of leave is usually allowed for personal matters, extended holidays, educational goals, or individual projects. The conditions and duration of unpaid leave are open to negotiation.
Some of the prescribed unpaid leave in Ecuador include:
- Sabbatical leave policy in Ecuador: Staff members with over five years of service who are awarded a scholarship to study overseas in areas related to their profession can be allowed up to one year's leave, with six months being remunerated.
- Bereavement leave: In the case of the death of a family member, staff members can take three days of paid leave after a family member's death.
Easily Navigate the Leave Policy in Ecuador with Skuad
Handling global leave policies involves navigating mixed regulations regarding annual leave, sick leave, parental leave, and other leave. Ensuring compliance with an international workforce requires special knowledge and an efficient HR solution.
This is where Skuad makes it easy. Our international HR platform allows organizations to easily manage leave policies across more than 160 countries, fully complying with local labor laws.
With Skuad, you can hire full-time employees or contractors anywhere in the world, including Ecuador, without establishing a local entity. Our Employer of Record platform easily onboards new hires, securely provides benefits, and processes payroll.
Book a demo today with Skuad, and you won't have to worry about complicated regulations. We handle everything for you so you can concentrate on expanding your business.
FAQs
What is the employment law in Ecuador?
The employment law in Ecuador defines employee rights, working hours, and employer responsibilities. It prescribes a 40-hour workweek, 15 paid yearly leave days, and compulsory social security contributions. Employees have the right to sick leave, maternity and paternity leave and pay for overtime work beyond regular hours.
Foreign employers who employ people in Ecuador can use EOR services from Skuad to abide by local labor laws, upholding compliance with agreements, benefits, and taxation obligations.
What is the leave permission policy in Ecuador?
Employees are entitled to 15 days of paid yearly leave upon serving one year. Social Security (IESS) subsidizes sick leave. The employer contributes for the first three days, while IESS contributes 50% of the wage from the fourth day and after for up to two months. Some organizations might include extra leave benefits as part of their internal policy.
What is the notice period in Ecuador?
For contracts of indefinite duration, employers are normally obligated to give 30 days' notice or pay severance pay in the event of termination of an employee without just cause.
Employees must usually give at least 15 days' notice when they resign, although this may be adjusted according to company policy.
In the event of failure to give adequate notice, the employer is liable to pay the employee under Ecuadorian labor laws.
What is the work week in Ecuador?
You must provide a 40-hour work week or 5 hours a day in Ecuador. To manage compliance in your workforce, you can rely on EOR platforms like Skuad.
What is the biggest festival in Ecuador?
Carnival is one of Ecuador's largest celebrations. It's a vibrant celebration that occurs in February or March. The carnival is celebrated nationwide, and every region has its customs.