The phrase refers to the calculation of employee benefits in the Dominican Republic. This calculation determines the monetary compensation owed to employees upon termination of employment, resignation, or retirement, as mandated by Dominican labor laws. It encompasses various components, such as severance pay (cesanta), compensation in lieu of notice (preaviso), and accrued vacation pay (vacaciones acumuladas). For instance, upon dismissal without just cause, an employee who has worked for a company for five years is entitled to severance pay equivalent to a certain number of days’ salary per year of service, as well as payment for any unused vacation days.
This computation is crucial for ensuring fair treatment of workers and maintaining labor peace. Proper adherence to legal requirements protects both employers and employees from potential disputes and litigation. Historically, deficiencies in benefit calculations have been a significant source of conflict between employers and employees, leading to the enactment of comprehensive labor laws to standardize procedures and guarantee employee rights. Accurate and transparent calculations contribute to a stable and productive workforce.