Honduras is a country in Central America situated between Guatemala and El Salvador to the west, and Nicaragua to the south and east. The Honduran constitution states, “The cities of Tegucigalpa and Comayagüela, jointly, constitute the Capital of the Republic.” More than 3/4ths of the land area of Honduras is mountainous. Honduras has had one of the highest economic growth rates in Latin America over the past few years. Its top industries are sugar processing, coffee, woven and knit apparel, wood products, and cigars.
*Please note that the official currency is the currency of remuneration when employed through WorkMotion in Honduras.
Tegucigalpa and Comayagüela
Honduran Lempira (HNL, L)
Languages spoken :
9.57 million (2022 est.)
Minimum wage 2022 :
Monthly HNL 7,408 to 14,347.45
Cost of Living index :
$$ (82 of 139 countries)
Payroll Frequency :
VAT - standard rate :
GDP - real growth rate :
-12.5% (2021 est.)
The approximate time for sharing the contract with an employee in Honduras is 14 business days assuming no special requests or changes to our standard employment contract. Any such requests or changes would need to undergo internal and external review, directly leading to a time delay.
NOTE: This number is subject to change and is only an estimation of the Contract Sharing Time. The estimated Contract Sharing Time begins from the moment that WorkMotion has received all required information from both the client and the employee.
In general terms, the ordinary day of work may not exceed eight hours per day and 44 hours per week. The ordinary timings of night work may not exceed six hours a day and 36 hours a week.
The effective work that is executed outside the limits of the ordinary working day, or that exceeds the limits of the working day, agreed by the parties, constitutes extraordinary working hours, and must be remunerated, as follows:
|Daytime Period||25% surcharge on the daytime salary|
|Night Period||50% surcharge on the daytime salary|
|Extraordinary shift as an extension of night shift||75% surcharge on the night shift salary|
The trial period, which cannot exceed 60 days, is the initial stage of the employment contract and is intended, on the employer’s part, to assess the worker’s aptitudes, and on their part, the convenience of working conditions. This period is remunerated, and if upon termination neither party expresses its willingness to terminate the contract, it will continue indefinitely.
The termination period notice is as follows:
|Condition||Service Period||Termination Notice Period|
|Suspension of work for more than 120 days in certain conditions specified||No liability||Not applicable|
|Liquidation or definitive closure||30 days’ notice||Not applicable|
|Indefinite employment contract||Less than 3 months||24 hours|
|3 to 6 months||1 week|
|More than 6 months to 1 year||2 weeks|
|More than 1 year to 2 years||1 month|
|More than 2 years||2 months|
The period of paid vacations, to which every worker is entitled after each year of continuous work in the service of the same employer, has the minimum duration of the following:
|Continuous Employment Service||Annual Leave in Business Days|
|Up to 1 year||10|
|More than 1 to 2 years||12|
|More than 2 to 3 years||15|
|More than 4 years||20|
In the case of an illness that prevents the employee from attending to their duties, if the worker is the victim of a disease that is not professional or caused by work accidents, they have the right to the corresponding suspension of their employment contract for up to six months. Except for what is said in special provisions or if the case is protected by the social security law, the only obligation of the employer is to give the worker leave, until their total restoration, provided that this prevails within the indicated period, and is in accordance with the following rules:
|Employment Service||Pay During Sick Leave|
|More than 3 to 6 months||50% of salary for 1 month|
|More than 6 to 9 months||50% of salary for 2 months|
|More than 9 months to 5 years||50% of salary for 3 months|
|More than 5 years||30 days’ salary for every year of service|
The cash sickness benefit is paid when beneficiaries have at least two months of contributions in the four months before the incapacity began.
All pregnant women enjoy 10 weeks of rest, paid in the same way as their work, during the four weeks preceding the delivery and the six that follow, and retain their employment and all rights corresponding to their employment contract. 100% of the insured’s earnings in the last three months is paid for 42 days before and 42 days after the expected date of childbirth (The Social Security Institute pays 66% of the cost and the employer pays the remaining 34%).
There is no statutory provision for paternity leave in Honduras.
The worker who is designated to represent the country in congresses or international conferences related to work, approved by the respective Ministry is entitled to leave not exceeding 10 days, or 20 days if abroad.
The Labor Code provides leave for a maximum of two days at a time and of 15 days in a year for attending the funeral of a colleague, and in times of a serious calamity.
There are no provisions for unpaid leave in the Labor Code.
Employers pay 5% and employees pay 2.5% of their monthly covered earnings. The insured person’s contributions also finance work injury benefits. Social Security Institute health facilities provide medical services directly to patients. Benefits include general and specialist care, surgery, hospitalization, necessary medicine, laboratory services, appliances, dental care, and maternity care.
The employer is obliged to cover compensation for accidents suffered by workers as a result of work, and for professional diseases that they contract in the work they perform, or in the exercise of the profession they perform.
The employer pays 4% of monthly covered wages to the mandatory individual account. The beneficiaries are entitled to severance benefits upon unemployment, which is different from severance pay due to dismissal.
The pension age is 65 for men and 60 for women. Employers contribute 3.5% and employees contribute 2.5% of their monthly covered earnings while the mandatory individual accounts are paid 1.5% by both employer and employee. Old-age benefits are paid for pension, old-age settlement, old-age benefit, disability pension and settlement, survivors’ pension and settlement, and funeral grant.
There are no other statutory benefits. Family allowances are paid as cash transfers through government assistance schemes.
The information contained in this Country Guide is provided for informational purposes only and should not be construed as legal advice on any subject matter. The contents of this Country Guide contain general information and may not reflect current legal developments or address your situation. You should not act or refrain from acting on the basis of any content included in this Country Guide without seeking the advice or representation of a licensed attorney. WorkMotion Software GmbH disclaims all liability for actions you take or fail to take based on any content included in this Country Guide.
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