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Costa Rica

Employment Guide & Cultural Intelligence

Overview

Capital San José
Currency CRC
Language Spanish
Time Zone UTC-6
GDP per Capita $13,400
Work Week 48 hours

Employment Basics

Standard Work Week 48 hours
Notice Period 1-30 days based on tenure
Probation Period 3 months
Overtime Rules 50% premium standard; capped at 4 hrs/day
Termination Rules Notice + severance (cesantía) for most terminations; severance capped at 8 years
Minimum Wage CRC 358,609/mo (~€640) for unskilled (2024)

Statutory Benefits

12
Annual Leave Days
11
Public Holidays
23
Total Paid Days Off
Parental Leave 4 months maternity (full pay; CCSS reimburses 50%)
Sick Leave Days 1-3 by employer, then CCSS at 60%

Employer Cost Summary

26.67%
Employer Tax/Contribution Rate
Mandatory Insurance CCSS social security (health, pension), workers comp (INS)
Retirement/Pension CCSS public pension + ROP private; statutory age 65
Healthcare CCSS universal coverage + private supplementary common

Cultural Intelligence

Communication Style

Polite, friendly, indirect; pura vida culture (relaxed)

Hierarchy

Moderate; relationship and respect important

Meeting Norms

Generally punctual for international firms; relationship-friendly

Negotiation Approach

Patient, friendly; trust and personal connection important

Gift Giving

Welcome; modest quality items; coffee-related thoughtful

Taboos

Avoid Nicaragua tensions; respect environmental values strongly

Hiring Tips

1 Strong English — popular nearshoring destination for US companies
2 Aguinaldo (13th-month) mandatory by law in December
3 Employer tax burden (~27%) significant — total cost well above gross
4 Free trade zones offer attractive regimes for international firms
5 Cesantía is paid as deferred severance — accrues throughout employment
Quick Facts
  • Work Week 48 hrs
  • Annual Leave 12 days
  • Public Holidays 11
  • Employer Burden 26.67%
  • Probation 3 months
  • Currency CRC
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