Overview
Chile's Path to a Shorter Workweek
Chile doesn't yet have an official 4-day work week — but it is on a legally mandated path to 40 hours by 2028, with provisions allowing employers and employees to compress those hours into four days.
In April 2023, the Chilean Congress passed the 40-Hour Work Law, amending the labor code to reduce the maximum standard workweek from 45 to 40 hours over five years. The law was designed to protect small and medium-sized businesses by phasing the change gradually, while still delivering a meaningful improvement in work-life balance for Chilean workers.
Legislative Timeline
The 40-Hour Law: Phase by Phase
Law Passed by Congress
The 40-Hour Work Law is approved, amending Chile's labor code. President Gabriel Boric calls it a "pro-family project that promotes the well-being of all citizens."
Maximum Hours Reduced to 44 / Week
The first reduction takes effect. Companies that move early receive the voluntary Sello 40 Horas (40-Hour Seal) certification from the Dirección del Trabajo.
Maximum Hours Reduced to 42 / Week
The second phase of the reduction is now in effect, continuing the gradual shift toward the 40-hour target.
Maximum Hours Reach 40 / Week
The final reduction. From this date, employers may distribute working hours across four, five, or six days — opening the door to a formal 4-day workweek.
Key Aspects
What the Law Actually Changes
Flexible Working Days
From April 2028, employers can distribute 40 hours over four, five, or six days. A 4-day schedule of 10 hours per day becomes legally possible.
Managerial Exemptions
Managers, administrators, and attorneys with administrative powers remain exempt from standard working hour limits.
Remote Workers Included
Prior exemptions for remote workers, salespeople, and off-site roles are removed — extending standard hour protections to a wider workforce.
Informal Sector Excluded
The law does not apply to Chile's informal economy, which makes up over a quarter of the workforce.
Dispute Resolution
The Labour Inspectorate can rule on disputes over employee classification, with decisions appealable to a Labour Judge.
Direct Employer-Employee Agreements
The law enables direct agreements on 4-day arrangements — especially significant given Chile's relatively low union density.
Challenges
Obstacles to Widespread Adoption
Despite its potential, implementing a 4-day workweek in Chile faces real structural hurdles.
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Contractual Adjustments Every employment contract must be reviewed and potentially renegotiated to align with the new 40-hour standard — a significant administrative burden for employers of all sizes.
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Cultural Shift in Time Tracking Under Article 22 of Chile's labor code, many employees — especially professionals — have not been required to clock in and out. Moving to stricter hour tracking represents a significant cultural change.
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SME Capacity Constraints Small businesses face disproportionate costs in adapting operations, scheduling, and payroll systems. SENCE and the Department of Labor are providing targeted support.
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Informal Economy Exclusion Over 25% of Chile's workforce operates in the informal economy and is not covered by this legislation, limiting the law's overall reach.
Trials & Pilots
Sello 40 Horas Programme
Sello 40 Horas (40-Hour Seal)
Organised by: Dirección del Trabajo · Started April 2024
A voluntary certification programme recognising companies that implement the 40-hour workweek ahead of the legal deadline. Participating companies gain recognition for early adoption and signal a commitment to worker well-being. Over 421 companies had been certified as of 2025.
Work Statistics
Chile by the Numbers
Work Culture
Vacation, Overtime & Remote Work
🏖️ Vacation Policy
After completing one year of service, Chilean employees are entitled to 15 paid vacation days. At least 10 must be taken consecutively, with the rest scheduled by agreement.
Workers in southern regions — Aysén, Magallanes, and Palena — receive a minimum of 20 days. Employees also earn one extra vacation day every three years after a decade of service, regardless of employer changes.
⏱️ Overtime
Overtime is triggered by any work exceeding 45 hours per week or 10 hours per day (Article 30, Chilean Labor Code). Employers must compensate via:
💻 Remote Work
Law No. 21,220 (introduced during COVID-19) formalised remote work in Chile, distinguishing between telework (technology-enabled, from any location) and distance work (home-based). Either party can revert to an office arrangement with 30 days' notice.
As of a June 2023 survey, 12.4% of Chilean workers reported working remotely — though this figure varies considerably by sector, age, and gender.
⏳ Part-Time Employment
Part-time work in Chile is defined as any role under 35 hours per week. Unlike many countries, Chilean law does not create a separate legal status for part-time employees. Approximately 16% of workers were employed part-time in 2022 (OECD).
FAQ
Frequently Asked Questions
Does Chile have a 4-day work week?
What is Chile's 40-Hour Work Law?
How many vacation days do workers get in Chile?
How is overtime paid in Chile?
What is the Sello 40 Horas programme?
What is the 100:80:100 model being explored in Chile?
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