New part-time employment law in Honduras

New part-time employment law in Honduras

The new Part-Time Employment Law of Honduras (Decree 45-2026) was published in The Official Gazzette on March 28, 2026, introducing a new hiring framework aimed at increasing labor market flexibility and promoting formal employment. The law entered into force upon its publication.

This regulation responds to the need to expand job opportunities, particularly for students, young individuals, and those with caregiving responsibilities, while also providing companies with tools to manage fluctuating operational demands.

 

 

 

What does the new law regulate?

The law establishes a framework for subordinated employment under reduced working hours, ranging from 18 to 32 hours per week. This model is expected to be particularly relevant for sectors with highly variable demand, such as retail, hospitality, and technical services.

It also allows employees to hold multiple jobs under this scheme, provided they remain within applicable legal limits.

 

Key labor protections

The decree introduces specific safeguards to prevent abuse and ensure adequate working conditions:

  • Proportional compensation: wages, vacation, and benefits (13th and 14th month bonuses) are calculated in proportion to hours worked, based on the applicable hourly minimum wage.
  • Mandatory social security: employees must be enrolled from the outset in the Honduran Social Security Institute (IHSS) and the Private Contributions Regime (RAP).
  • Protection against misclassification: unilateral conversion of full-time contracts into part-time is prohibited. Additionally, if an employee consistently exceeds 32 hours per week over a three-month period, the employment relationship is legally converted into full-time.

 

Employer obligations

The law establishes formal requirements that companies must comply with:

  • Employment contracts must be executed in writing.
  • Contracts must be registered with the Ministry of Labor and Social Security within a maximum period of 30 days.

Failure to comply with these obligations may result in significant consequences: the employment relationship may be reclassified as full-time and indefinite, exposing employers to severance liabilities and retroactive claims.

 

Recommended actions for employers

In light of these changes, companies should consider taking the following steps:

  • Review hiring structures and shift scheduling models.
  • Adjust payroll systems to ensure accurate hourly calculations.
  • Implement controls to prevent exceeding statutory working hour limits.
  • Strengthen documentation and labor registration processes.

Author

Melissa Ayala Avelar

Melissa Ayala Avelar

Senior Associate

Honduras