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PANAMA – Executive Decree Clarifies Basis for Cancelling Work Permits

, 07/06/2018

On 31 May 2018, the Ministry of Labour published an executive decree setting out possible grounds for the cancellation of work permits.

The national immigration authority has in recent weeks cancelled a number of residence permits issued to foreign nationals on the basis of fraudulent documentation, and the Ministry of labour’s decree aims to create a legal basis for the cancellation of work permits issued to these foreign nationals.

What grounds for cancellation are established?

Work Permits may be cancelled in the following conditions:

For loss or cancellation of the corresponding residence permit;
For carrying out work prohibited or protected by Panamanian laws;
By declaration of the falsity of any document submitted with the application.

Work permit cancellation can be challenged by the applicant within five days of the cancellation being notified.

Action Items

Employers should contact an immigration specialist if they are concerned that this decree may affect any of their foreign national work permit holders.