PAYMENT OF EMPLOYEES SHARE IN PROFITS

The distribution of profits or payment of workers’ share in profits (PTU) as it is colloquially known, is a right that all workers have with the following exceptions:

  1. Directors, administrators and general managers.
  2. Shareholders 
  3. Casual workers who have worked less than 60 days per year in which the profit is paid.
  4. Advisors, professionals, technicians and others who, through payment of fees, render their services without a subordinate working relationship.
  5. Domestic workers.

Workers are entitled to receive at least 10 per cent of the profits earned from the previous year’s enterprise. It is also important to know that employers are responsible for making and submitting the annual declaration where the payment of workers’ share in profits is contemplated.

The deadline for the payment of employees’ share in profits (PTU) is 30 May 2021 for legal entities and 29 June 2021 for natural persons.

Employees who have worked in the year 2020 and who are currently no longer active employees are entitled to profit-sharing, if they do not show up to collect it, the employer shall retain payment of the amount until one year has elapsed from the day after the obligation to pay was incurred by the PTU.

It should be recalled that on 23 April 2021 the amendment to the Federal Labour Act was published in the Federal Labour Act, specifically in section 127, section VIII. Where a maximum limit is established on the participation of workers in the profits of the companies of three months of salary or the average of the participation received in the last three years, which more favors the worker.

Applicable legislation LFT Articles 117 to 131, LISR Article 9.

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