Legal requirement to pay workers an additional salary at the end of the calendar year
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A thirteenth salary, or end-of-year bonus, is an extra payment sometimes given to employees at the end of December. Although the amount of the payment depends on several factors, it usually matches an employee's monthly salary and can be paid in one or more installments (depending on the country). The thirteenth salary is most prominent in Latin America, where this payment is mandatory in most countries.[1] In countries where the bonus is required by law, all employees usually receive it if they have worked for the company for a certain required amount of time. However, freelancers and contract workers are often not entitled to the 13th-month pay. Employees who have not worked for the company for a year often receive a prorated amount.[2]
^"Revisiting 13th and 14th Month Bonus Rules in Latin America, Europe, Africa and Asia | Human Capital Solutions Insights". radford.aon.com. Retrieved 25 April 2023.
^"13th Month Pay: What International Businesses Need to Know". CXC Global. 25 October 2022. Retrieved 25 April 2023.
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