One of the biggest misconceptions I see online is this idea that you can just move to Panama and work any job you want.
That’s not how it works.
Panama has very clear labor laws that protect jobs for Panamanians, and there is a specific list of forbidden jobs for foreigners regardless of whether you have residency.
If you’re thinking about relocating, retiring, or working remotely from Panama, this is something you must understand before you make any big moves.
Let’s break it down in simple terms.
Why Does Panama Have Forbidden Jobs for Foreigners?
Panama’s labor laws are designed to:
- Protect employment opportunities for citizens
- Control the local job market
- Limit competition in certain professions
This is very common in many countries Panama is not unique in this.
Even if you:
- Have permanent residency
- Are married to a Panamanian
- Have lived in Panama for years
Some jobs are still legally off-limits.
What Are “Forbidden Jobs” in Panama?
Forbidden jobs are professions that are reserved exclusively for Panamanian citizens.
Foreigners cannot legally work in these roles, even with a work permit or professional degree.
List of Common Forbidden Jobs for Foreigners in Panama
Here are some of the most important categories people ask me about all the time:
1. Medical & Healthcare Professions
Foreigners cannot work as:
- Doctors
- Surgeons
- Dentists
- Nurses
- Pharmacists
- Veterinarians
- Physical therapists
Healthcare professions are strictly protected.
2. Legal Professions
Foreigners cannot work as:
- Lawyers
- Judges
- Notaries public
Even if you’re licensed elsewhere, you cannot practice law in Panama.
3. Engineering & Architecture
These professions are also restricted:
- Engineers
- Architects
- Surveyors
Foreign credentials generally cannot be validated for these roles.
4. Education (Public Sector)
Foreigners cannot work as:
- Public school teachers
- University professors in public institutions
Private international schools are a separate category and may hire foreigners legally.
5. Accounting & Finance
Restricted professions include:
- Accountants
- Auditors
These roles require Panamanian certification and citizenship.
6. Psychology & Social Work
- Psychologists
- Social workers
These professions are reserved for citizens due to licensing regulations.
7. Trades & Skilled Labor
Foreigners cannot legally work as:
- Electricians
- Plumbers
- Carpenters
- Mechanics
- Barbers
- Cosmetologists
This surprises many people, but skilled trades are protected jobs.
8. Journalism & Media
Foreigners cannot work as:
- Journalists
- Editors
- Media correspondents
9. Law Enforcement & Public Service
Completely restricted roles include:
- Police officers
- Customs officers
- Immigration officers
- Government employees
- Security guards
These jobs are strictly for Panamanians.
Can Foreigners Work at All in Panama?
Yes but only in allowed categories and with the proper visa and work permit.
Foreigners can legally work in:
- Multinational companies
- Specialized technical roles
- Executive or management positions
- Tourism and hospitality (in certain roles)
- International schools
- NGOs
- Multinational headquarters (SEM visas)
There is also a 10% foreign worker cap for most companies (15% for technical roles).
What About Remote Work?
This is where many people get confused.
If you:
- Work remotely for a foreign company
- Are paid outside Panama
- Do not offer services to Panamanian clients
You are not competing in the local job market, which is why options like the Digital Nomad Visa exist.
This is completely different from working locally.
What Happens If You Work a Forbidden Job Illegally?
Working illegally in Panama can result in:
- Heavy fines
- Visa cancellation
- Deportation
- Future immigration issues
Panama does enforce labor laws especially if complaints are filed.
What I Always Tell People:
I always say this in my videos and consultations:
Panama is an amazing place to live but it’s not the place to come and “figure it out later” when it comes to work.
Understanding forbidden jobs upfront helps you:
- Choose the right visa
- Avoid legal problems
- Set realistic expectations
- Plan your move properly
Best Alternatives for Foreigners in Panama
Many foreigners in Panama:
- Work remotely
- Own businesses (without working in restricted roles)
- Retire under the Pensionado Visa
- Invest in real estate
- Consult or freelance internationally
Panama works beautifully when your income is foreign-sourced or your role is legally permitted.
Full post here on: Jobs Foreigners Can Do in Panama (Guide + Best Industries to Target)
Thinking About Moving to Panama?
If you’re unsure whether:
- Your profession is allowed
- You need a work permit
- A digital nomad or residency visa makes more sense
- Panama is even the right fit for you
You can book a 1-on-1 consultation or join one of my Relocate With Shevy Tours to get real, honest guidance.
Final Thought
Panama offers incredible opportunities but only when you understand the rules.
Knowing which jobs are forbidden for foreigners is not meant to discourage you it’s meant to help you move smarter, safer, and legally.