The Hardest Market · Chile

Chile's HR data

The rules and costs of employing people in Chile (Santiago), from official sources, in English and Japanese.

31.6%women in management (2022, ILO)

1.09×employer's total cost on CLP$2,500,000 a month, as a multiple of salary

16public holidays (2026)

Take-home pay calculator Japan take-home pay

Employment rules

Statutory annual leave	15 working days
Public holidays (2026)	16 days
Notice of dismissal	30 days for company-needs dismissal
Severance required by law	30 days/year, max 11 years (90 UF cap)
Typical negotiated exit	No official benchmark
Probation	None by law; fixed-term first contract common
Working hours	42 h/week (from 26 Apr 2026)
How hard is dismissal?	Moderate: statutory grounds; company needs with severance

Employer contributions

Unemployment insurance (AFC), employer	2.4%	up to CLP$66,920,155 a year
Disability and survivors' insurance (SIS)	1.78%	up to CLP$44,547,440 a year
Employer pension contribution (Ley 21.735)	3.5%	up to CLP$44,547,440 a year
Work-accident insurance (Ley 16.744), basic rate	0.9%	up to CLP$44,547,440 a year

Employee contributions

Pension (AFP), 10% + average commission	11.11%	up to CLP$44,547,440 a year
Health (Fonasa)	7%	up to CLP$44,547,440 a year
Unemployment insurance (AFC), employee	0.6%	up to CLP$66,920,155 a year

Take-home pay and employer cost by monthly salary

Monthly salary	Employee contributions	Income tax	Take-home	Employer cost	Cost ÷ salary
CLP$1,500,000	CLP$280,715	CLP$9,810	CLP$1,209,476	CLP$1,628,700	1.09×
CLP$2,500,000	CLP$467,858	CLP$42,324	CLP$1,989,818	CLP$2,714,500	1.09×
CLP$4,000,000	CLP$696,455	CLP$138,741	CLP$3,164,804	CLP$4,325,419	1.08×
CLP$7,000,000	CLP$705,915	CLP$643,877	CLP$5,650,208	CLP$7,363,260	1.05×

Employee in Santiago, Chilean national and tax resident, single with no dependants, indefinite contract, salary only paid evenly as monthly pay (no gratificación, bonus or benefits), October 2026 rates annualised. Pension: AFP system, 10% plus the simple average of the seven AFPs' commissions (1.1143%); health: Fonasa 7% (an Isapre plan would cost at least 7%); unemployment insurance (AFC) 0.6%. Contribution caps of 90 UF and 135.2 UF a month converted at the UF of 31 October 2026 (CLP 41,247.63), the value used for October 2026 pay. Impuesto único de segunda categoría from the SII table for October 2026 (UTM CLP 72,151), applied monthly; the UTM and UF move monthly, so peso thresholds drift by about 3%–4% a year.

Sources: [1] [2] [3] [4] [5] Checked 2026-11-08; 2026 rates.