New Law for Uruguayan Companies to Build Inclusive Companies

July 27, 2019

Uruguay passed a law requiring companies with more than 25 employees to gradually hire disabled individuals. The rule, which will come into force on November 17th this year, also provides for discounts on employers’ taxes.

Creating adequate conditions in the work environment, adopting accessibility measures and other necessary adjustments for the performance of duties will be up to each employer. (Photo internet reproduction)

Approximately 210,000 people in the country have some form of disability, according to information from the local National Institute of Statistics. The figure represents roughly six percent of the total of 3.5 million inhabitants.

Nearly 5,000 private Uruguayan companies fall under the new rule because they employ more than 25 people. The law encourages hiring through a reduction in the employer’s tax rates for these new contracts.

The government will gradually subsidize taxes, to encourage hiring and promote employment for this population group. For each disabled worker that the company hires, the employer will pay a quarter of the relevant taxes during the first year. Taxes will only be paid at full rate after the fourth year of employment.

According to the criteria defined by the new legislation, companies should have at least four percent of their payroll taken up by disabled individuals. This percentage should be achieved gradually.

Creating adequate conditions in the work environment, adopting accessibility measures and other necessary adjustments for the performance of duties will be up to each employer.

Individuals interested in a position are required to enroll in the National Register of Persons with Disabilities, part of the Ministry of Social Development of Uruguay. Once hired, they will gain access to all employment benefits.

The country’s Minister of Labor and Social Security, Ernesto Murro, said that there are currently public bodies, such as the State Insurance Bank (BSE), meeting the four percent quota of employment of disabled individuals.

Source: The Rio Times