Comments on: Holiday bonuses will inject $1.3 billion into Costa Rica economy

By: expatin paradise

expatin paradise — Tue, 11 Nov 2014 18:46:00 +0000

The aguinaldo is a mandatory Christmas Club forced on employers and employees, and another way for those earning big paychecks to take home a sizable chunk of income home tax free. The low earners don’t complain because they get a little “free money” with which they can enjoy modest Christmas celebrations. The country should do away with the aguinaldo and give everyone a one-time 8% raise, except in those cases where such a raise would exceed the maximum pay rate for public employees.

While they’re at it, the government should do away with mandatory pay raises and the law that allows a landlord to increase rent by as much as 15% per year. Both of these practices fuel inflation. A law permitting landlords to change the rental agreement unilaterally wouldn’t even be legal in most countries and was clearly written with the interests of the property owners in mind. If they won’t repeal this law outright, they should at least change it to permit increases not to exceed the rate of inflation for the preceding year.

By: disgusted

disgusted — Tue, 11 Nov 2014 15:21:00 +0000

1.3 billion dollars Divided by $1,000 for each person=? How many people here could get that? This Sunday we were trying to figure this out. watching a game and drinking beer did not help us. 12 zeros to a billion I think . 1,300,000,000,000 divide by $1000= How many people? We came up 13 million What ? Are we wrong? need a math guy. So if the population here is 4.5 million some ones making major $$$$ for their bonus. I figured about 1/4th to 1/3rd population even gets a bonus and working.

Any Math majors? We have a bet who is buying next Sunday.. hahaha!

By: Larry Worsham

Larry Worsham — Sun, 09 Nov 2014 21:47:00 +0000

Perhaps they’re also considering the mandatory vacation pay that’s to be paid if the employee decides not to take a vacation.

By: Ken Morris

Ken Morris — Fri, 07 Nov 2014 21:24:00 +0000

I am confused by the numbers. If the average Christmas bonus approaches $900, the average employee must be earning around $1000 a month (probably more, since many who receive the bonuses haven’t worked the full 12 months), yet other sources I see say that the average salary or wage in CR is more in the $500 – $750 range. Why is the average salary or wage higher according to this calculation?

One guess is that average salaries or wages are usually presented as medians, while the Christmas bonus is presented as a mean. Since means are sensitive to extreme scores, the Christmas bonus mean may just reflect the high incomes of a few workers. Another guess is that a segment of employees in the informal economy are usually included in wage and salary surveys but are excluded from the Christmas bonus because their employers don’t pay it. A third guess is that some calculations are of net incomes while this one is of gross income.

However, these are only guesses. Does anyone know why employees’ incomes seem higher when the Christmas bonus is calculated than they are by other calculations?

By: TJ

TJ — Thu, 06 Nov 2014 14:46:00 +0000

Alguinado = gov’t way of keeping the people quiet. Oh look I got a bonus! Pura vida! ……bullshit continues in Jan

By: Yeims

Yeims — Wed, 05 Nov 2014 23:05:00 +0000

Costa Rica, 8 days in the week (including mañana) and 13 months in a year (including alguinado). I guess it’s the new math, where 2 + 2 = 22.

By: prdatki

prdatki — Wed, 05 Nov 2014 16:02:00 +0000

There should be no bonus for any Government worker, in fact any Govt.worker making more that $2000 a month should pay back one months pay to go in the school system

By: HONEST MAN

HONEST MAN — Wed, 05 Nov 2014 02:07:00 +0000

I find it funny the public sector unions wants more money. Costa Rica is now Greece and maybe worse now. These public sector unions are now the mafia in Costa Rica. Pres Solis is now a puppet of the unions aka mafia. Look at the central bank money was stolen and they are already free. I guess its clear the wild west is now CR. Public sector should not get any bonus i understand private sector getting bonus but the lazy public sector in CR should get nothing. Shame on Pres Solis for wrecking everything and not having the guts to stand up for the private sector.

By: disgusted

disgusted — Tue, 04 Nov 2014 16:14:00 +0000

Tim, Do you know how much of that bonus is only government workers?? Reason I ask the government is borrowing almost 61% of their budget. However, IF Pres. Solis suspended bonuses here because no money there wold be chaos galore. So CR just keep on Borrowing your children’s future.