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The Active Population in Figures

Working Conditions

Legal Weekly Duration

45 hours

Retirement Age

The age is 60, with a minimum contribution of 240 months to Social Security.

Working Contracts

The majority of the Guatemalan workers do not have a work contract, they are part of the informal sector. For the remainder, there are 3 types of written contracts which have to be signed in triplicate: one copy for the employee, one copy for the employer and one copy has to be remitted to the administrative department of labor.  See Ministry of Labor (in Spanish)website (in Spanish).

- Open ended contract
- Temporary contract
- A contract for a specific project or the length of the contract is dependent on the completion of a specific project.

There are also verbal contracts which are valid for domestic services, labor in fields and temporary work not exceeding 60 days, however, the employer has to provide a document with the date of commencement  of work and the salary amount.
Refer to the Labor Code

Labour Laws

Consult Doing Business Website, to obtain a summary of the labor regulations that apply to local entreprises.

Cost of Labour

Minimum Wage

Guatemala’s minimum wage for 2026 varies by sector and region (e.g., approximately GTQ 4,002.28 per month in Economic District 1 non-agricultural jobs as of 1 January 2026 - approx. USD 520), established by Government Agreement No. 256-2025 published by the Ministry of Labor and Social Welfare.

Average Wage

Guatemala has an average annual income of 5,780 USD.

Social Contributions

Social Security Contributions Paid By Employers: 10.67%
Social Security Contributions Paid By Employees: 4.83%

Social Partners

Employer Associations

CCG - Guatemalan Chamber of Commerce
ASOPYME - Association of SMEs
HKTDC - Hong Kong Trade Development Council

Social Dialogue and Involvement of Social Partners

The two most representative Unions are: The Central Agricultural Workers, Guatemala Confederation of Syndicate Unity  (CUSG) and the Central Guatemalan Workers (C.G.T.G.), Guatemalan Workers Union Syndicate (UNSITRAGUA).

Labour Unions

Guatemala unions website

Unionisation Rate

It has to be noted that the unions do not have a lot of power; only 8% of employees in the formal sector belong to a union.

Labour Regulation Bodies

Ministry of Labor and Social Security