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ShareJanuary 1st Holiday in Costa Rica - New Year and Labor Regulations
In Costa Rica, January 1st marks the celebration of New Year’s Day, a civil holiday that signifies the beginning of the annual calendar and is one of the country’s most important national holidays. This date is recognized as a mandatory paid national holiday under Article 148 of the Labor Code, guaranteeing workers the right to a paid day of rest. If the nature of the activity requires work to be performed on this holiday, prior agreement must exist, and compensation must be granted in accordance with current labor regulations. The January 1st holiday must be observed on the exact calendar date and may not be moved to another day.
History
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Historical context:
January 1st marks the celebration of New Year’s Day, a civil holiday that signifies the beginning of the annual calendar. Its recognition as a national holiday in Costa Rica reflects a tradition widely adopted worldwide, associated with the closing of one cycle and the beginning of another, carrying strong social and cultural symbolism.
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Evolution of the celebration:
Over time, New Year’s Day in Costa Rica has evolved into a primarily family-oriented and social celebration. The date is commonly accompanied by gatherings, shared meals, and rest periods, becoming a moment for reflection, planning, and strengthening personal relationships.
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Traditions and customs:
Common traditions include celebrations on the night of December 31, the exchange of good wishes, symbolic rituals, and rest on January 1st. These practices are part of contemporary Costa Rican culture and reinforce the value of family time and personal well-being.
Labor legislation:
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Official date:
Thursday, January 1st, 2026.
Date of observance:Thursday, January 1st, 2026.
Type of holiday:Mandatory paid holiday.
Law:January 1st is recognized in the Costa Rican Labor Code as one of the mandatory paid national holidays. This provision guarantees workers the right to a paid day of rest, due to the civil and social relevance of the date.
Regulations:
"January 1st is a mandatory paid holiday; therefore, workers are entitled to enjoy the day off with pay, regardless of their employment arrangement."
"If the holiday is worked, double pay applies for the regular working day. Any overtime hours must be paid at triple rate, in accordance with current labor legislation."
"Companies that pay wages on a weekly, biweekly, or monthly basis must include this holiday as part of the ordinary salary, even if the employee does not perform services on that day."
"The Labor Code establishes that any waiver of mandatory paid holidays is null and void; therefore, employers are legally obligated to respect this right."
Source: Ministry of Labor and Social Security (MTSS) website
How can Asicon Consulting support you?
At Asicon Consulting Costa Rica, we support you in the correct application of New Year’s Day holiday pay, salary calculations, double pay or overtime, as well as the review of withholdings and labor charges, ensuring compliance with current labor regulations.
Our support includes specialized advisory services, process validation, and period-close assistance, enabling companies to manage the New Year’s Day holiday in an orderly, transparent manner and in full compliance with Costa Rican labor law.
