Labor Day in Panama is celebrated every year on May 1st. It is a national public holiday also known as International Workers' Day or Día Internacional de los Trabajadores. This holiday is dedicated to workers and the labor movement. It is a day when workers from all fields come together to celebrate their rights, freedoms, and achievements. Panama, along with many other countries, commemorates this day in honor of the laborers who work tirelessly towards the growth and development of the nation.

The origins of Labor Day date back to the 19th century labor movement in the United States when labor activists fought for better working conditions and an eight-hour workday. Over the years, the holiday has taken on global significance and is now observed in many countries around the world, including Panama. The day is often associated with protests and rallies where workers and labor unions voice their concerns and demands for better working conditions, higher wages and other labor-related issues.

In Panama, Labor Day is traditionally a day wherein political marches and street demonstrations are common, as workers' unions take this opportunity to air their grievances and make their demands known. Most businesses and schools are closed on Labor Day, and many people enjoy a day off from work. Despite the serious nature of the holiday, it also provides an occasion for families and friends to get together. Labor Day continues to be a significant holiday in Panama and a testament to the nation's respect and appreciation for the contributions of its workers.