On May 14, 2025, the Organic Law Reforming Several Laws regarding Age Discrimination in the Labor System was enacted in Official Gazette No. 38, with the main purpose of eradicating age discrimination in the labor market and promoting equal opportunities.
Among the amendments introduced to the Labor Code, the following stand out:
Mandatory Training: Employers must provide at least 10 hours of training to their workers on issues related to the eradication of age discrimination.
Over 40 Employment Quota: Companies with at least 25 employees must hire at least one worker over 40 years of age. In companies with larger payrolls, 4% of the workforce must be composed of personnel over 40 years of age.
Penalties for non-compliance: Employers who fail to comply with the quota for hiring people over 40 years of age will be subject to daily penalties ranging from USD 10 to USD 20.
Prohibitions: Age restrictions in job advertisements, requiring insurance policies as a prerequisite for hiring, and termination of employment contract on the grounds of age are prohibited.”
Quito, D.M. / Guayaquil, May 2025