Panama Social Security reports 6.9% revenue growth alongside rising public sector delinquency

Panama's labor market experienced a 10 percentage point increase in layoffs during H1 2026 compared to H1 2025, indicating a cooling employment environment. Concurrently, the Caja de Seguro Social (CSS) reported a 6.9% revenue growth from employer-employee contributions for the same period, yet faces rising public sector delinquency, raising concerns about the long-term fiscal sustainability of the national pension and health system. The underlying drivers for the increased layoffs remain unspecified.