Draft bill 120.

Awaiting committee adoption
  • TypeDraft bill
  • 120
  • FiledAugust 11, 2025

Summary.

The draft bill aims to set a maximum salary for magistrates in the Republic of Panama. It presents the limit as a measure concerning public spending and the remuneration of senior state officials. It applies to magistrates of the Supreme Court of Justice (Corte Suprema de Justicia), the Higher and Specialized Courts (Tribunales Superiores y Especializados), and the Electoral Tribunal (Tribunal Electoral), as well as any other magistrate designated by law. The salary limit applies to these positions regardless of the court to which they belong.

The gross monthly salary of magistrates covered by the draft bill could not exceed 10,000 balboas (B/.10,000.00). To apply that maximum, the text defines gross monthly salary as regular fixed remuneration and includes fixed representation allowances. It excludes duly justified travel allowances from that definition. The proposed maximum therefore covers both regular fixed remuneration and fixed representation allowances, while justified travel allowances are excluded from the amount counted as gross monthly salary.

The draft bill prohibits granting magistrates supplemental salaries, meeting fees, incentives, and advisory fees. The prohibition also covers any other form of increase intended to exceed, or resulting in an amount that exceeds, the salary limit. It thus covers both the payments expressly identified in the text and other increases that produce the same result in relation to the gross monthly maximum. The provision applies to magistrates covered by the draft bill.

Regarding retirement, retirement benefits, and pensions, the text provides that all related provisions concerning magistrates in the Republic of Panama and other judicial officials must be approved by law. This rule applies to a broader group than the salary limit: it also includes other judicial officials. The draft bill repeals Article 64 of the Judicial Code of the Republic of Panama; the repeal appears in both Article 6 and Article 8. Its transitional provision states that magistrates’ salaries exceeding the set amount will be adjusted as of January 1, 2026. The text also provides that the law will take effect on the day following its promulgation in the Official Gazette.

The draft bill concerns the Supreme Court of Justice, the Higher and Specialized Courts, the Electoral Tribunal, and other bodies with magistrates designated by law. It also concerns magistrates, other judicial officials, and the public administration responsible for their remuneration, retirement, retirement benefits, and pensions.

What it proposes.

  • Sets a maximum gross monthly salary for magistrates.
  • Prohibits payments that exceed that maximum.
  • Requires provisions on retirement, retirement benefits, and pensions for judicial personnel to be approved by law.
  • Repeals Article 64 of the Judicial Code.

Who it would affect.

  • Magistrates of the Supreme Court of Justice (Corte Suprema de Justicia).
  • Magistrates of the Higher and Specialized Courts (Tribunales Superiores y Especializados).
  • Magistrates of the Electoral Tribunal (Tribunal Electoral) and others designated by law.
  • Other judicial officials, with respect to retirement, retirement benefits, and pensions.

Key points.

  1. The draft bill seeks to establish a maximum salary for magistrates in the Republic of Panama.Art. 1
  2. The limit applies to magistrates of the Supreme Court of Justice, the Higher and Specialized Courts, the Electoral Tribunal, and others designated by law.Art. 2
  3. Gross monthly salary could not exceed 10,000 balboas (B/.10,000.00).Art. 3
  4. Gross monthly salary includes regular fixed remuneration and fixed representation allowances but excludes duly justified travel allowances.Art. 3
  5. Supplemental salaries, meeting fees, incentives, advisory fees, and other increases that exceed the salary limit are prohibited.Art. 4
  6. Provisions on retirement, retirement benefits, and pensions for magistrates and other judicial officials would have to be approved by law.Art. 5
  7. Article 64 of the Judicial Code of the Republic of Panama is repealed.Art. 6