Venezuelan Worker Wages: Fair Pay, Tips, and Productivity

Tips as Part of Wages

If an employee receives tips according to local custom or usage, these shall be considered part of wages. A value representing the right to receive them is estimated by collective agreement or by agreement between the parties. In case of disagreement between the employer and the worker, the estimate will be made by judicial decision.

Single Paragraph: The value the worker is entitled to receive for tips is determined by considering the quality of service, professional and worker productivity, the category of the local establishment, and other elements derived from custom or usage.

Equal Pay for Equal Work

Article 135

In the same work, performed in the same place, hours, and conditions of equal efficiency, equal pay should be granted. To this end, the ability of the worker in relation to the type of work performed will be considered.

Article 136

The preceding article does not exclude the possibility of granting social premiums on account of age, seniority, family responsibilities, economy of raw materials, and other similar circumstances, provided that such premiums are general for all workers in similar situations.

Productivity and Wages

Article 137

Increases in productivity in a company and the improvement of production cause higher wages for workers.

To this end, the company and its employees will agree on plans and programs, in relation to production processes in a department, section, or workplace, aimed at improving both product quality and productivity. They will also consider incentives for participants as their contribution.

Fair Wages and Adjustments

Article 138

Wages should be fairly paid and sufficient to sustain the worker and their family. Increases and adjustments will preferably be agreed upon.

In case of disproportionate increases in the cost of living, the National Executive, after hearing the workers’ union representative, the most representative organization of employers, the Central Bank of Venezuela, and the National Economic Council, may order wage increases deemed necessary to maintain the purchasing power of workers.

In exercising this authority, the National Executive may:

a) Enact wage increases for all workers, by category, by geographical region, by industry, or by taking into account a combination of these elements;

b) Agree that wage increases can be attributed to those received within three (3) months before the term of the decree and agreed to be implemented within three (3) months after the same date.

Tips as Part of Wages

If an employee receives tips according to local custom or usage, these shall be considered part of wages. A value representing the right to receive them is estimated by collective agreement or by agreement between the parties. In case of disagreement between the employer and the worker, the estimate will be made by judicial decision.

Single Paragraph: The value the worker is entitled to receive for tips is determined by considering the quality of service, professional and worker productivity, the category of the local establishment, and other elements derived from custom or usage.

Equal Pay for Equal Work

Article 135

In the same work, performed in the same place, hours, and conditions of equal efficiency, equal pay should be granted. To this end, the ability of the worker in relation to the type of work performed will be considered.

Article 136

The preceding article does not exclude the possibility of granting social premiums on account of age, seniority, family responsibilities, economy of raw materials, and other similar circumstances, provided that such premiums are general for all workers in similar situations.

Productivity and Wages

Article 137

Increases in productivity in a company and the improvement of production cause higher wages for workers.

To this end, the company and its employees will agree on plans and programs, in relation to production processes in a department, section, or workplace, aimed at improving both product quality and productivity. They will also consider incentives for participants as their contribution.

Fair Wages and Adjustments

Article 138

Wages should be fairly paid and sufficient to sustain the worker and their family. Increases and adjustments will preferably be agreed upon.

In case of disproportionate increases in the cost of living, the National Executive, after hearing the workers’ union representative, the most representative organization of employers, the Central Bank of Venezuela, and the National Economic Council, may order wage increases deemed necessary to maintain the purchasing power of workers.

In exercising this authority, the National Executive may:

a) Enact wage increases for all workers, by category, by geographical region, by industry, or by taking into account a combination of these elements;

b) Agree that wage increases can be attributed to those received within three (3) months before the term of the decree and agreed to be implemented within three (3) months after the same date.