When an employee is unjustly laid-off in Honduras, she/he has a right to compensations (prestaciones laborales).
These compensations consist of: preaviso (notice), auxilio de cesantía (severance pay), vacations, décimo tercer mes or aguinaldo (13 month pay) and decimocuarto mes or catorceavo (14th month pay).
The employee becomes entitled to these compensations if he/she is fired unfairly, with the employer’s responsibility, and in other cases stipulated by law.
Preaviso (notice) is the time period given by the employer to the worker for she/he to to find another placement. If this notice is not given, the employer must pay the equivalent in cash for every day.
The Auxilio de Cesantía (severance pay). It’s the right that corresponds to the employee when he/she has been unfairly dismissed. The amount in cash should be equivalent to one month for every year or work.
Decimotercer mes or aguinaldo (13th month pay). It’s a complementary annual salary. The employee has a right to a 13th full month salary in December. This right he/she acquires for every year of work.
Decimocuarto mes or catorceavo (14th month pay). It’s complementary annual salary. Since 1995 the Honduran employee has a right to a 14th salary for every year of work. It is paid in June.
Vacations are the days of rest from work earned by the employee for every year of labor.
For specific cases, it is recommended to visit the nearest office of the Secretaría del Trabajo (Secretariat of Labor). Here they will give us the official calculation of the prestaciones (compensations).
The Ley Laboral website has a section in English language about legal labor matters in Honduras.
For further illustration, please consult the Labor Code [es], especially in Chapter VIII Title II, on Termination of Employment Contract and Chapter III Title IV, on Vacations. In addition, the Law of Seventh Day and 13th month pay [es], and the Decree and Regulations for the 14th month pay. [es].
If you want to know more about Honduran Labor Law check the book Honduras Business Law Handbook at Amazon.