๐Ÿ‡ณ๐Ÿ‡ฎ Americas

Nicaragua

Nicaragua scores 1.24/6.0 on the OECD employment-protection strictness index.

OECD EPL
1.24 OECD EPL strictness (0โ€“6)
OECD EPL โ†’

Nicaragua scores 1.24/6.0 on the OECD employment-protection index - below the OECD average of about 2.0. Data is compiled from 1 official source (OECD EPL), covering statutory notice periods, severance pay, and dismissal procedures.

Nicaragua - the verdict

Nicaragua scores 1.24/6.0 on the OECD employment-protection index - below the OECD average of about 2.0.

1.24/6
OECD EPL strictness

Sources: OECD EPL. Higher = stronger statutory protection.

Nicaragua is a low-protection labor market by OECD standards, scoring 1.24/6.0 on the overall EPL index, well below the OECD average of about 2.0.

What the Data Shows for Nicaragua

Americas. Covered by 1/3 tracked datasets. The OECD EPL overall strictness index is 1.24/6.0, where higher values indicate stricter rules on individual and collective dismissal.

Detailed tenure-based notice and severance data is not published for Nicaragua in the current release, so readers should rely on the aggregate scores above and consult national statutes for specifics.

All figures on this page are sourced from official ILO, World Bank, and OECD datasets with explicit citations next to each table. Re-check this page when new releases are published, as indicators can shift year over year.

How to read the three measurement scales

These figures draw on three different measurement traditions, so read each one on its own terms before comparing across countries. The ILO EPLex composite condenses statutory termination rules into a single index from zero to one, where higher numbers mean stronger legal protection against dismissal. The World Bank Business Ready 2025 labor score runs from zero to one hundred and blends the quality of regulation with how well public services and dispute processes actually work in practice. The OECD employment protection index uses a zero to six scale and only covers member economies, but it offers the longest historical series, which makes it the better choice for tracking reform over time. A country can score strictly on paper yet still process dismissals quickly, so always weigh the statutory index against the practical estimates. Where a country appears in fewer than all three datasets, treat the missing measures as not yet collected rather than as a sign of weak protection, and revisit this page when new releases are published because indicators can shift year over year.

Data Sources

1

ILO / WB / OECD coverage

Region

Americas

Geographic grouping

Latest Year

2014

Most recent indicator update

ILO EPLex
-
No data available
B-READY 2025
-
No data available
OECD EPL
1.24
out of 6.0 ยท Rank #70



Frequently Asked Questions

What are the employment protections in Nicaragua?

OECD EPL overall: 1.24/6.0. (1 source.)

How does Nicaragua compare to the OECD average?

OECD EPL 1.24/6.0 (below the ~2.3 average).

What notice period and severance pay does Nicaragua require?

No notice/severance data for Nicaragua yet.

What data sources cover Nicaragua's employment laws?

1 source: OECD EPL.

How strict are dismissal protections in Nicaragua?

No dismissal strictness data for Nicaragua yet.

How does Nicaragua handle labor disputes?

No dispute-resolution data for Nicaragua yet.

What to do with this

Use Nicaragua's scores as a comparison benchmark, not legal advice.

  • See where Nicaragua lands among all rated countries on each protection index. View the rankings
  • The three indices measure different things on different scales, compare Nicaragua side by side with another country before drawing a conclusion. Compare Nicaragua
  • Read Nicaragua against its regional peers, the Americas averages reveal the structural pattern. Americas overview

These indices reflect the law as written, not how it is enforced, recent amendments, or the facts of any individual case. For a real decision, confirm the current statute and consult a qualified employment lawyer, see our disclaimer.

Related

Data sourced from official OECD, ILO, and World Bank employment-protection datasets. See our methodology for details. Retrieved and formatted by PlainEmploy Editorial

Disclaimer: This information is provided for informational purposes only and does not constitute professional advice. Data is sourced from OECD, ILO, and World Bank labor market databases. Consult a qualified professional before making decisions based on this data.

Primary sources: ILO EPLex, World Bank B-READY, OECD EPL.

PlainEmploy is rendered directly from the OECD Employment Protection Legislation indicators, the ILO EPLex database, and the World Bank B-READY labor pillar, no number is typed in by an editor. This country's composite scores and comparisons are computed directly from the underlying OECD/EPLex/B-READY tables, no figure is typed in by an editor. See our editorial standards & corrections policy, the methodology behind these numbers, or report a data error. Data current as of 2026-07-06.