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Congress Approves Law Restructuring Immigration System

December 10, 2020

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  • ChileChile

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At a Glance

  • The Chilean Congress has approved an immigration law which will create a new immigration framework and restructure Chile’s current visa categories.
  • Under the new law, there will be stricter rules regarding in-country change of status, a new short-term work authorization process, the expansion of Temporary Residence categories and work authorization for dependents, among others.  
  • In order for the law to go into effect, the Ministry of Interior must first draft and publish implementing immigration regulations, which are expected to take at least one year.

The situation

The Chilean Congress approved a new immigration law creating a new immigration framework and restructuring Chile’s current visa categories.  

A closer look

Notable reforms include the following:

New Rule Current Rule Impact
  • In-country change of status restricted. Foreign nationals who entered Chile as tourists will no longer be able to change to residence status in-country. 

Foreign nationals can currently apply for a visa or residence through a consular process or by entering Chile as a tourist and applying through an in-country process.

Foreign nationals seeking to work and reside in Chile will need to remain outside the country while completing their work and residence process. The new rule will make it harder for foreign nationals to enter on a tourist visa and remain in the country without obtaining work and residence documents.

  • New short-term work authorization process. Under the new law, in order to perform short-term work, foreign nationals will need to apply for a Special Work Authorization. Foreign nationals will likely be able to apply for this short-term work authorization both through a consular process and in-country.  

Foreign nationals seeking short-term work in Chile currently enter as tourists and apply for a Special Work Permit for Tourists which allows them to work for up to 30 days and is renewable.

It is likely that foreign nationals seeking to perform short-term work will now be able to apply for work authorization abroad which will allow them to start work immediately upon arrival in Chile; currently, foreign nationals  have to enter Chile and wait for their work permit to be issued, which can take up to 10 days. Further information is expected to be forthcoming in the immigration regulations on how the Special Work Authorization process differs from the current Special Work Permit for Tourists.

  • Expanded Temporary Residence category. All foreign nationals seeking to reside and work in Chile will obtain a Temporary Residence Visa. The Temporary Residence Visa category has been expanded to include 13 subcategories, including for: workers (both self-employed or employed by a company) performing remunerated work; seasonal workers; and foreign nationals seeking job opportunities, among others.
  • Additionally, the government will be able to create new subcategories as needed.
  • This category allows certain subcategories of foreign nationals to work in Chile without being sponsored by an employer.

Currently, foreign nationals directly employed in Chile obtain a Work Contract Visa, which allows them to work only for that employer unless they go through a formal change of employer process. Other foreign nationals, including intracompany transfers, professionals, Mercosur nationals or those with family ties to a Chilean national or permanent resident, among others, obtain a Temporary Residence Visa.  

The Temporary Residence Category will allow the government flexibility in creating new subcategories quickly in response to labor market needs. Additionally, the new law better safeguards employees’ rights in the workforce by allowing certain individuals to work in Chile without being bound by a specific employment relationship.

The conditions and requirements of each Temporary Residence subcategory remain uncertain until further regulations are released.

  • Work authorization for dependents. Dependent family members of temporary residence holders will automatically receive work authorization.

Dependents are currently not work authorized based on their dependent status.

Chile may become a more attractive destination for foreign nationals as dependent family members will be able to contribute to their family’s income.

  • Maintenance of permanent residence status relaxed. Permanent residents will be able to remain outside Chile for up to two years without losing their status.   

Currently, permanent residents cannot remain outside Chile for more than one year.

Permanent residents will be able to take assignments outside of Chile for longer periods of time and will not need to return each year to maintain their permanent residence status. 

  • Regularization process. Foreign nationals who entered Chile legally before March 18, 2020 but who are currently in an irregular status will have 180 days after the new law is published (expected next week) to regularize their status and obtain work authorization; those who entered Chile illegally will have 180 days to depart Chile without facing any penalties.

Currently, foreign nationals who entered the country legally but currently hold irregular status have a 10-day grace period (after paying a fine) to either depart the country or file a residence application if eligible under an existing residence category.

There are currently no amnesty provisions for foreign nationals who enter Chile illegally.

Eligible foreign nationals will benefit from being able to regularize their status and legally work and reside in Chile. No further details of this process have been released at this time.

Those who remain in Chile illegally will be subject to deportation.

 

Background

  • History of immigration reforms. Since 2013, there have been numerous attempts at reforming the immigration system. In 2013, President Piñera submitted an immigration law to Congress which never advanced past Congress’s first stage of review and was therefore never implemented. Subsequently, in 2017 President Bachelet submitted a new immigration law to Congress and again, the law was never approved. President Piñera came back into power in 2018 and submitted a revised proposal to Congress in 2018, where it finally received approval in December 2020 due to growing concerns over a potential post-COVID-19 influx of foreign nationals. The law will now move to the Ministry of Interior to provide implementing regulations.
  • Need for reform. According to the government, the new immigration law will modernize the current immigration system, set up in 1975, by providing a more organized and controlled migration system. Over the past decade, the percent of immigrants in Chile has increased to 7% in 2020 from 2.5% in 2014, largely due to the stable political and economic situation in the country relative to others in the region.

 

Looking ahead

Implementation of the law will take at least one year while the Ministry of Interior drafts and publishes the new immigration regulations.

This alert is for informational purposes only. If you have any questions, please contact the global immigration professional with whom you work at Fragomen or send an email to [email protected].

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