All About Remote Work in Panama
Learn about hiring employees in Panama for remote work and how Justworks EOR can make managing employees abroad easier.
Building a Remote Team in Panama
With a central location, dollar-based economy, and growing tech infrastructure, Panama is an excellent destination for U.S. businesses that want to hire top talent. Justworks helps you hire in Panama without the complexity of managing labor compliance alone.
Here’s what we handle for you:
- Paying your team and managing tax obligations
- Navigating labor law and remote work policies with expert guidance
- Offering competitive, locally aligned benefits
- Supporting your team from onboarding to offboarding
Benefits of Hiring Remote Workers in Panama
Remote work is becoming increasingly more common, thanks to Panama’s connected workforce and growing regulatory support for digital employment.
Skilled and Educated Workforce
Panama has a bilingual, service-oriented labor force with growing experience in technology, finance, customer service, and logistics. Additionally, many professionals are familiar with U.S.-style business operations. Panama’s time zone aligns well with North America, making collaboration across countries easier.
Evolving Legal Framework
Panama has teleworking legislation under the Law 126 of February 18, 2020. Under this law, employers should define the work location, hours, and equipment terms to avoid disputes in remote work contracts. Remote work can also be structured as a flexible alternative under standard labor contracts.
Infrastructure and Connectivity
With widespread access to high-speed internet and a growing innovation economy, Panama supports remote collaboration. Its location, infrastructure, and reliable connectivity make it a natural fit for companies building international teams.
Employee Rights for Remote Workers
General Remote Work Guidelines
Health and Safety
This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, legal or tax advice. If you have any legal or tax questions regarding this content or related issues, then you should consult with your professional legal or tax advisor.
Ready to Hire Confidently in Panama?
Justworks makes building your global team seamless by helping you hire and onboard talent in Panama and beyond. Save yourself the time and hassle of international hiring today.