Quevedo & Ponce - Noticias Legales
No severance compensation for public servants in cases of voluntary retirement to benefit from retirement: New binding jurisprudential precedent for Ecuador
- February 6th, 2025
- Quevedo & Ponce
The Resolution No. 03-2025 of the National Court of Justice of Ecuador, issued on January 29, 2025, establishes the impropriety of severance compensation in cases of voluntary retirement for the public sector.
According to the ruling, “a worker who has decided to terminate their employment relationship through voluntary retirement to benefit from retirement cannot receive the severance compensation provided for in the second paragraph of Article 184 of the Labor Code,” arguing that they would be benefiting twice from the termination of the employment relationship.
What is severance?
This legal concept arises when the worker notifies the employer in writing of their intention to terminate the employment relationship. The law also considers severance when both the worker and the employer mutually agree to the termination in writing.
How is severance compensation calculated?
When a worker terminates their employment through severance, the employer must pay them a bonus equal to 25% of their last monthly salary for each year worked. The employer has 15 days to pay this bonus and other rights owed to the worker.
At Quevedo & Ponce, we advise public servants to ensure compliance with legal provisions and protect their labor rights. Contact us for guidance on this important precedent and its impact on the labor field.
Más Artículos
Traditional Specialties Guaranteed (ETG) in Ecuador: Protecting Tradition with Legal Recognition
Within the framework of Ecuador’s intellectual property system, Traditional Specialties Guaranteed (TSG) represents a strategic legal mechanism for the protection of agri-food products with proven cultural value and traditional heritage. This tool provides official recognition of the authenticity of traditional production methods, without requiring a specific territorial link.
Arbitration in Ecuador: An Effective Alternative for Dispute Resolution
Arbitration in Ecuador is an effective alternative for resolving disputes, highlighting benefits such as celerity, confidentiality, and the ability to choose expert arbitrators, making the process more efficient and specialized than ordinary courts.
The Superintendence of Personal Data Protection (SPDP) Issues New Key Criteria on the Use of Biometric Data and the Appointment of DPOs
The Superintendency of Personal Data Protection (SPDP) has issued recent statements regarding the use of biometric data for workplace attendance control and the obligation to appoint a Data Protection Officer (DPO) in savings and credit cooperatives. These criteria reinforce the need to protect sensitive data, require impact assessments, ensure free consent, and establish that cooperatives must immediately appoint a DPO to comply with current regulations and avoid sanctions.
Protect Your Business and Avoid Sanctions! New Legal Obligation in Contracts: Personal Data Protection Clauses
Since April 30, 2025, in Ecuador the inclusion of specific personal data protection clauses is mandatory in all contracts involving the processing of personal data pursuant to Resolution No. SPDP-SPD-2025-0006-R. This new legal requirement applies to both public and private entities and non-compliance may result in severe sanctions.
The Frisby Case: A Key Lesson in International Trademark Protection
Frisby, one of Colombia’s most popular fast-food chains, is currently facing a complex legal dispute in Europe that has garnered the attention of businesses, media, and the general public.
