Article 203 of the Labour Code (as amended by Law 20,399/2015) provides that companies with 20 or more female employees of any age or marital status must have daycare facilities in the workplace, which must be separate from the work area. The daycare facilities must be available for the children of employees under two years of age. Mothers must be able to feed their children and leave them in the daycare facilities while working.

An employer is understood to have fulfilled its obligations under Article 203 if it directly pays the daycare expenses of employees entitled to this benefit. The daycare centre must be approved by the National Directorate of Children's Care Centres. According to the final paragraph of Article 203, this benefit is extended to male and female employees that, by court order, have obtained custody of a child.

In a recent ruling (Ord 1646/031, March 21 2016), the Labour Department interpreted the last paragraph of Article 203 to mean that it applies not only to employees who have obtained the permanent custody of a child, but also to those who have obtained custody of a child under a court order, even if custody is temporary.

For further information on this topic please contact Maria Luz Ríos at Montt y Cia SA by telephone (+56 22 233 8266) or email ( The Montt y Cia SA website can be accessed at

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