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In an effort to become more competitive in the face of a flagging economy and to become an attractive jurisdiction for establishing businesses and creating employment opportunities—and to increase talent acquisition and retention locally—Puerto Rico is overhauling its employment law regime through the enactment of the Labor Transformation and Flexibility Act.
Puerto Rico's new governor, Ricardo Rosselló, signed the act into law on the morning of Jan. 26. The act dramatically alters the currently very employee-friendly labor and employment landscape in Puerto Rico, making it both more attractive for employers, while also increasing flexibility for employee schedules.
Key changes include:
Diana J. Nehro and Ryan J. Correia are attorneys with Ogletree Deakins in Boston. Enrique A. Del Cueto-Perez is an attorney with Ogletree Deakins in Miami. © Ogletree Deakins. All rights reserved. Reposted with permission.
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