Crew employed in Panama work under the Código de Trabajo: a written contract, probation of up to three months, paid overtime, 30 days' vacation per 11 months, the décimo tercer mes and Caja de Seguro Social (CSS) cover. No law sets a yacht-crew pay rate. You agree your pay, but never below the legal minimum.
Which law covers your job
The law that covers you depends on who employs you and the boat's flag:
- A Panamanian employer, a local boat. A day-charter company, a fishing operator or a resident owner who hires you in Panama is bound by the Código de Trabajo. That covers most marineros, stews and captains on Panama City, Bocas and Chiriquí boats.
- A Panamanian-registered ship. Decreto Ley 8 of 1998 governs work at sea and on navigable waters. It covers naves de registro panameño in international and interior service, and it is the law behind the seafarer's contrato de enrolamiento.
- A foreign yacht in transit. Your contract and the flag state's law usually govern. Panamanian labour law comes in once a Panamanian employer hires you here.
Panama also approved the ILO Maritime Labour Convention 2006 through Ley 2 of 2009. It applies to ships that are ordinarily engaged in commercial activities, which leaves out a purely private yacht. Hours and rest are covered in crew fatigue and conduct rules.
The written contract
Article 67 of the Código says the employment contract must be in writing and signed at the start, in three copies. The employer keeps one, you get one, and the third goes to the Dirección General de Trabajo at MITRADEL. Article 67 has exceptions, including short jobs of up to three months, so a one-week delivery may have nothing on paper. Ask for it anyway.
Article 68 lists what the contract must contain. On a boat it should cover:
- Both parties' details, and the employer's company and registry details.
- The job (marinero, stew, captain), the boat or fleet, and where you work, for example Flamenco Marina.
- Whether it is indefinite, fixed-term or for one specific job.
- The length of the working day and how it is split.
- Your wage, and how, when and where it is paid.
- Where and when it was signed, and both signatures.
Ask for four more items in writing: the tips policy, who pays for AMP licence renewals and medicals, the alcohol and drug rules, and how long charter days are handled.
Probation: up to three months
Article 78 allows a probation clause of up to three months for work that needs particular skill. The clause only counts if it is written into the contract. During probation either side can end the job without liability. A probation clause is not valid if the same company rehires you for a job you held before.
A paid trial day before you sign is common. It is still work, so expect to be paid for it.
Pay, overtime, vacation and the décimo
No official rate exists for yacht crew. Panama sets minimum wages by decree, by region and activity. Ask MITRADEL which minimum applies to your job. Anything above the minimum is negotiated, and we have not found a reliable survey of crew wages in Panama. The yacht crew jobs pillar explains where the work is.
| Item | What the Código says |
|---|---|
| Normal hours (Art. 31) | Day shift: 8 hours, 48 a week. Night: 7 and 42. Mixed: 7½ and 45 |
| Overtime surcharge (Art. 33) | 25% by day, 50% at night, 75% when it extends a night shift |
| Overtime cap (Art. 36) | No more than 3 hours a day or 9 a week |
| Vacation (Art. 54) | 30 days for every 11 months of continuous work |
Décimo tercer mes. You earn a thirteenth month: one twelfth of what you earned, paid in three instalments around 15 April, 15 August and 15 December. It is a legal right, separate from tips.
CSS. The employer registers you with the Caja de Seguro Social and deducts your share each month. The employee rate is 9.75%. Ley 462 of 2025 raises the employer rate in steps, as reported by TVN. Check your payslip, and look yourself up on the CSS system to confirm the payments are being made.
Maritime specifics: the contrato de enrolamiento
On a Panamanian-registered ship, Decreto Ley 8 of 1998 adds rules of its own:
- Contract and crew list. The contrato de enrolamiento can be indefinite, fixed-term or for a voyage. It is copied into, or attached to, the rol de tripulación. You get the chance to read it, or have it read, before you sign.
- Contents (Art. 35). It must state the vessel, your position, pay and currency, food and accommodation, vacation, how the contract ends, and the employer's duties if you are injured, fall ill or die, naming the insurer.
- Overtime (Art. 68). Ordinary hours are fixed in the contract, and overtime pays at least the basic hourly rate plus 25%.
- Repatriation (Arts. 36–38). The shipowner must return you to the place you were hired or where you joined. It pays for transport, lodging and wages on the way home after a shipwreck, an unjustified dismissal, or an injury or illness on duty that was not your fault.
The decree is written for cargo, passenger and commercial vessels. Whether it covers a particular charter yacht depends on the boat's registration and service, so check that with the AMP or a maritime lawyer.
When the job ends
After probation, the rules on notice, indemnity and the seniority premium generally favour the worker, and they depend on the contract type and the reason for ending it. Do not sign a resignation letter or a finiquito (final settlement) that you do not understand. Ask for a breakdown of unpaid vacation, the proportional décimo and any overtime owed. If you disagree, MITRADEL handles labour complaints. A labour lawyer can tell you whether the figure is right.
The Florida comparison is in yacht crew contracts and pay.
Your practical starting checklist
- Find out who your employer is: a Panamanian company or owner, or a foreign yacht.
- Ask for the written Spanish contract and keep your signed copy.
- Check it for job, boat, hours, wage, pay day, probation and tips policy.
- Make sure any probation clause is in writing and no longer than three months.
- Confirm your CSS registration and look up your contributions after the first payday.
- Keep a log of your hours on charter days, so overtime can be checked.
- Mark 15 April, 15 August and 15 December for décimo instalments.
Frequently asked questions
What is the minimum pay for yacht crew in Panama?
No minimum is set specifically for yacht crew. The general minimum wage, set by decree by region and activity, is the floor; ask MITRADEL which rate applies. Anything above it is negotiated.
Does a deckhand in Panama get the décimo tercer mes?
Yes, if they are an employee. Any employee in Panama is owed it, paid in three instalments around 15 April, 15 August and 15 December.
Can my employer keep me on probation for six months?
No. Article 78 of the Código de Trabajo caps probation at three months, and the clause must be written into the contract.
Are long charter days overtime?
Hours beyond the normal working day are overtime, paid with a surcharge of 25% to 75% depending on when they are worked. Overtime is capped at 3 hours a day and 9 a week, so rosters for long days should be planned in advance.
¿Qué debe incluir un contrato de tripulante en Panamá?
Datos de las partes, el cargo y la nave, el lugar de trabajo, la duración, la jornada, el salario y la forma de pago. Debe firmarse por escrito en tres ejemplares (artículo 67 del Código de Trabajo); pida también por escrito la política de propinas y quién paga la licencia de la AMP.
The next question to answer
Where the crew work is and how hiring happens. Read Yacht crew jobs in Panama.
The employer's side: MITRADEL, CSS and trial days. Read Hiring yacht crew in Panama City.
The 10% and 15% caps and MITRADEL permits. Read Foreign crew work permits.
Same topic in Florida: coming from the US? Compare Crew Contracts and Pay Arrangements.
Official resources
Use the relevant Panamanian authority for current requirements and fees. These resources are the next place to check; a practical recommendation is not an agency determination.
- Código de Trabajo de Panamá, arts. 31, 33, 36, 54, 67, 68, 78 (Órgano Judicial copy) ↗
- Decreto Ley 8 de 1998, trabajo en el mar y las vías navegables (Panama Ship Registry copy) ↗
- Ley 2 de 2009, aprueba el Convenio sobre el trabajo marítimo 2006 (Órgano Judicial) ↗
- TVN: cuota patronal, aumento escalonado (Ley 462 de 2025), Mar 2025 (secondary, press) ↗
- Finiquito Justo: décimo tercer mes en Panamá (secondary) ↗