A business is only as successful as the people behind the operation. For hiring an employee in Chile, it’s necessary to meet every employment compliance rule to ensure the business does not incur any hefty fines or get shut down. Here’s what a company needs to know about hiring employees in Chile.
Recruiting in Chile
Companies may choose to work with recruitment agencies or consider advertising their own positions online. This can be done by posting on job websites for free or paying for a premium listing that puts the open positions first. Large businesses will also publish available positions on their website.
It is also possible to pay for a classified ad in a local newspaper, such as El Mercurio. El Rastro is another popular option, as it’s a biweekly classified paper. If the goal is to hire expats, advertising on websites specifically catering to this group is recommended.
The job landscape has changed, with more people in Chile seeking temporary employment and freelancing jobs. Many locals will seek out jobs or work with a recruitment agency. This tendency means positions can be filled quickly but that the company will have to offer incentives to draw candidates away from other options.
Laws against discrimination in Chile
During the recruitment stage, any decisions not related to the requirements and qualities necessary for the job are considered discrimination and barred by law. It is not permitted to ask about race, sex, age, marital status, trade union membership, or anything else that is not necessary to know for the position.
It is recommended to keep a thorough paper trail during the recruitment process to ensure the company or the recruiter has relevant evidence of employment decision to defend against discrimination claims.
How to hire employees in Chile
The process starts with setting up a subsidiary or working with an Employer of Record to hire on your behalf. If a company with a registered entity in Chile wants to hire employees, it will need to extend a written employment contract in the local language that outlines whether the employee will receive a gross or net annual salary. Most salary negotiations are assumed to be in net monthly terms.
It should also outline other specifics of the employee’s compensation, benefits, and termination requirements. Compensation amounts should always be in pesos.
Chile employment laws
Chile has multiple employment laws that companies should be aware of before hiring employees in the country. These laws vary based on what kind of workers the company employs. Part-time employees can work up to 30 hours per week. Fixed-term employment agreements, whether part-time or full-time, go up to 12 months and can extend up to 24 months for employees with a technical position or a title from a nationally recognized educational institution.
Hiring international employees is slightly more complicated, considering a visa application will be required with the immigration authorities in Chile to get a temporary visa authorizing someone to live and work in Chile.
Onboarding in Chile
Once the employee is hired in Chile, the next step is to onboard them. The onboarding process is similar in almost every country. Start by reviewing the terms of the employment contract before the employee’s first day go over any other expectations for the job such as working hours, regular responsibilities, and more.
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