Bill 658.

Negado
  • TypeBill
  • 658
  • FiledJuly 29, 2026

Summary.

The bill proposes to replace Article 9 of Law 7 of 1975, which governs hearings before the Conciliation and Decision Boards. A hearing would take place on the scheduled date and at the scheduled time with the parties who attend. If it is postponed or cannot be held because of an unjustified absence, Article 967 of the Labor Code (Código de Trabajo) would apply. Upon appearing in the proceeding, each party would have to provide a home or office address for service of notices, as well as telephone details and an email address, either their own or a family member’s as permitted by the provision. The Board’s presiding officer would open the proceedings, safeguard equality between the parties and the right of defense, and reject evidence or requests intended solely to delay the case. A record would summarize the proceedings and evidence taken. Parties could appear on their own behalf regardless of the amount at issue or the nature of the case.

The amendment to Article 10 would organize the hearing into stages. The parties would first have an opportunity to resolve the dispute by agreement. If they reach one, its principal terms would be entered in a record; once signed, the Board would approve the agreement and give it the effect of a judgment. Without an agreement, the evidentiary stage would begin. The claimant would submit documentary, witness, expert, report, judicial inspection, or other lawful evidence allowed under the Labor Code. The opposing party could accept or object to that evidence, stating specific grounds. The respondent would then submit its evidence, and the claimant would have the same opportunity to respond.

The Board could order evidence it considers necessary to establish the material truth of the case. Its presiding officer would rule orally on the admission or rejection of evidence and arrange for it to be taken in the prescribed order. If evidence remained outstanding, the hearing would be suspended and a date and time set for its continuation. A party who did not attend would be notified by email, by telephone call or text message, or through a notice posted on the tribunal’s board for 48 hours, in the order specified.

After the evidence has been taken, the Board would decide by majority vote and issue a written judgment; in the stated circumstance allowing later issuance, it would have three (3) business days. Judgment would be served by email or in person if a party appears before the email is sent. It would also identify available appeals and their deadlines. The bill addresses when the right to challenge the decision begins, when the case file may be forwarded after an appeal is announced, and officials’ duty to respect the parties’ right to present grounds for appeals and objections. Those officials include personnel of the Ministry of Labor (Ministerio > de Trabajo) and the Sectional Labor Courts (Juzgados Seccionales de Trabajo). Finally, the bill confirms the amendments to both articles and provides for commencement on the day after promulgation. Its provisions concern those public bodies, as well as workers, employers, and professionals involved in labor proceedings in Panama (Panamá).

What it proposes.

  • Hearings before the Conciliation and Decision Boards.
  • Settlement, evidence, and judgments in labor proceedings.
  • Service of notices and appeal procedures.

Who it would affect.

  • Parties to proceedings before the Conciliation and Decision Boards.
  • Labor jurisdiction officials.
  • Workers and employers involved in those proceedings.

Key points.

  1. A hearing would proceed on the scheduled date and at the scheduled time with the parties present; an unjustified absence would be addressed under Article 967 of the Labor Code.Art. 1
  2. Parties would provide address, telephone, and email details for service of notices and could appear on their own behalf regardless of the amount at issue or the nature of the case.Art. 1
  3. The hearing’s first stage would seek an agreement between the parties; a signed settlement would be approved and given the effect of a judgment.Art. 2
  4. Absent an agreement, each party would submit evidence, and the opposing party could accept or object to it on specific grounds.Art. 2
  5. The Board could order additional evidence; its presiding officer would rule orally on admissibility and direct the taking of evidence.Art. 2
  6. If evidence remained outstanding, the hearing would be continued on a set date and the absent party notified through the prescribed means.Art. 2
  7. The Board would decide by majority vote and issue a written judgment, served by email or in person and identifying any available appeals.Art. 2
  8. The bill amends Articles 9 and 10 of Law 7 of 1975 and provides for commencement on the day after promulgation.Arts. 3-4