VA Works

Aguinaldo / Christmas Bonus Policy

Last Revised: October 1, 2025

1. Policy Overview

This Christmas / Aguinaldo Policy ("Policy") is published by VA WORKS, LLC ("Consultant") and forms part of the Governing Policies referenced in the Master Service Agreement ("MSA"), the MSA Terms and Conditions (https://vaworks.com/MasterServiceAgreement), and any applicable Scope of Work Terms and Conditions (https://vaworks.com/SOWSelection). In the event of conflict, priority shall be determined in accordance with the MSA.

2. General Requirement

Many countries in which Consultant provides Employer of Record ("EOR") services require an additional year-end payment commonly referred to as a Christmas bonus or "Aguinaldo." This payment is mandated under foreign labor laws and is designed to provide employees with supplemental financial support at the end of the calendar year.

3. Client Invoicing

Where applicable, Company will see these mandatory payments reflected as pass-through expenses in the relevant year-end invoice. Consultant administers these obligations in compliance with the applicable foreign labor laws and ensures proper calculation and disbursement.

4. Country-Specific Information

Because requirements vary by jurisdiction, including eligibility, calculation methods, and deadlines, Company should refer to Consultant's resource page for details: https://vaworks.com/SOWEmployeeOfRecord.

5. Acknowledgment

By engaging Consultant under an MSA, Company acknowledges that such year-end obligations may apply and agrees that Consultant will invoice and remit payments in accordance with the governing laws of the foreign jurisdiction.

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