Peru labor informality excludes millions from holiday benefits

In Peru, high rates of labor informality present a significant challenge to the effectiveness of national holidays. While the country recognizes 16 holidays per year, recent data from the National Institute of Statistics and Informatics (INEI) indicates an informality rate of 69.8%.

Of the approximately 17.6 million workers in the country, roughly 12.3 million operate within the informal sector. These individuals are excluded from the legal benefits of holidays, such as paid rest or increased wages. For many, a holiday represents a choice between losing a day's income or working heavy shifts without legal protection.

The government has addressed the management of these holidays. While initial legislative drafts suggested reducing the number of holidays to foster productivity, officials including the President, Labor Minister Juan Sheput, and Economy Minister Elmer Cuba have clarified that the strategy focuses on relocating holidays to the nearest Monday rather than reducing their total count.