Understanding Employee Leave Policies in Uruguay: A Comprehensive Guide for International HR

Uruguay offers a robust framework of employee leave entitlements that reflect the country's commitment to worker welfare. For HR professionals managing international teams, understanding these regulations is crucial for compliance and effective workforce management.

Annual Leave (Licencia Anual)

Uruguayan labor law guarantees paid annual leave for all employees, with accrual based on the calendar year from January 1 to December 31. After completing one year of service, employees typically receive 20 days of paid vacation.

An important feature of Uruguay's system is the progressive increase in leave entitlement. Starting from the fifth year of employment, workers gain one additional day for every four years of service. This means employees receive 21 days in their fifth year, 22 days in their ninth year, and so on.

Key considerations for annual leave include:

Leave must be taken within the calendar year and cannot be carried forward or exchanged for cash compensation
Vacation periods must be continuous, excluding Sundays and public holidays
Employers may negotiate splitting the leave into two 10-day periods
Payment calculations vary based on compensation structure (monthly, daily, or variable pay)

Sick Leave Provisions

Uruguay's social security system provides comprehensive sick leave coverage through the Social Security Bank (BPS). Benefits typically commence from the fourth day of absence, though hospitalization triggers immediate coverage from day one.

Eligibility requirements include:

Temporary workers: 75 working days in the preceding year
Monthly employees: 3 months of effective work within the previous year
Self-employed individuals: 3 months of contributions before illness
Pregnant women receive coverage regardless of minimum work requirements

Benefits amount to 70% of average taxable earnings from the previous 180 days, capped at approximately 60,973 UYU (2024 values). For work-related injuries, the National Insurance Bank (BSE) covers two-thirds of regular wages, with BPS supplementing the remainder.

Special Leave Categories

Uruguay provides numerous specialized leave types that demonstrate the country's progressive labor policies:

Study Leave

Employees with six months of service qualify for study leave at recognized institutions. Entitlement ranges from 6 to 12 days based on weekly working hours, with leave typically taken in maximum three-day increments around examination periods.

Maternity and Paternity Benefits

Female employees receive 14 weeks of maternity leave, with at least 15 days taken pre-delivery. Benefits include 100% of average salary from the previous six months, paid through BPS. Fathers receive 10 days of paternity leave plus the birth day and two subsequent days.

Parental and Adoption Leave

Parents can reduce working hours by half for six months following childbirth, with the option to alternate between parents. Adoption grants six weeks of continuous leave to one parent, plus 10 working days to the other.

Additional Leave Types

Marriage leave: 3 paid days, including the wedding date
Bereavement leave: 3 days for immediate family members
Medical screening: 1 day annually for cervical or breast cancer checks
Pregnancy-related appointments: 4 hours monthly for expectant parents
Union activities: Paid leave as regulated by collective agreements

Public Holidays in Uruguay

Uruguay observes 20 public holidays annually. The 2025 calendar includes:

Holiday	Date
New Year's Day	January 1
Epiphany	January 6
Carnival	March 3-4
Holy Week	April 13-20
Landing of the 33 Patriots	April 19
Labour Day	May 1
Battle of Las Piedras	May 18
Birthday of José Gervasio Artigas	June 19
Constitution Day	July 18
Independence Day	August 25
Day of the Race	October 12
All Saints' Day	October 31
Day of the Dead	November 2
Christmas Day	December 25

Under Laws 16,805 and 17,414, movable holidays falling on Tuesday-Thursday shift to adjacent Mondays, while fixed holidays maintain their original dates.

Practical Considerations for International Employers

Navigating Uruguay's leave regulations requires careful attention to documentation requirements, payment calculations, and compliance deadlines. SailGlobal's expertise in international employment can help organizations streamline their Uruguay operations while ensuring full regulatory compliance. Proper management of these benefits contributes significantly to employee satisfaction and retention in the Uruguayan market.

Uruguay Employee Leave Guide: Annual, Sick, Maternity & Public Holidays 2025