Benin Republic Employer of Record (EoR) Services
Benin Republic payroll, hiring, talent management, and compliance requirements for your employees and independent contractors.
Benin Republic Employer of Record
Workforce Africa simplifies hiring, payroll, talent management as well as your compliance needs for employees and independent contractors in Benin Republic. No need for a subsidiary or entity setup. From contracts and onboarding to taxes, payroll, and admin tasks, partnering with us — the Employer of Record in Benin Republic will help you focus on growth for greater levels of success.
Major Cities
Port Novo
Employment Contract Termination
A probationary period of three months is customary. Nonetheless, an alternative term may be agreed upon between the employer and employee.
Work Permit Required for Expats
Yes
Currency
West African CFA Franc (XOF)
Minimum Wage
F CFA 52,000 monthly
Official Language
French
How Employer of Record (EoR) in Benin Republic Works
Workforce Africa makes it hassle free to hire and manage your remote staff in Benin Republic without having to first set up a subsidiary or entity in the country. We handle staff contract management and onboarding, payroll, compliance, taxes, and other administrative matters. With Workforce Africa, you can now focus more on strategic activities and growing your business. These items include >>
Employment Contracts in Benin Republic
Workers must enjoy a rest period of at least twenty-four consecutive hours every seven days.
The length of employment increases the annual leave duration. Two days will be added after twenty years of continuous service, four working days after twenty-five years, and six working days after thirty years in the same organization. The leave may not be taken for more than 30 working days in total during a 12-month employment period; it can continue in the following twelve months.
There is no statutory requirement to pay the 13th or 14th month salary.
Working Hours in Benin Republic
The typical work hours are forty hours per week (8 hours a day). In contrast, the average work hours in the agricultural sector are 46 hours per week (2400 hours of labour annually).
Observed National Holidays and Vacation
There are thirteen paid holidays in Benin Republic:
New Year’s Day (January 1)
Traditional Day (January 10)
Workers’ Day (May 1)
National Independence Day (August 1)
Assumption Day (August 15)
All Saints’ Day (November 1)
Christmas Day (December 25)
The dates for these holidays are liable to change every year:
Easter Monday;
Ascension Day;
Pentecost/Whit Monday;
Korite/Ramadan’s Day
Tabaski Day (Feast of Sacrifice), and
Maouloud’s Day (Birthday of the Prophet
Muhammad, PBUH)
Expats, Visas & Work Permits
A Benin visa is an official document issued by the government that enables travelling to the nation. It is something that foreigners need to get from an embassy or consulate in the form of a stamp or sticker on their passport.
To remain compliant, employees must get a work permit and business visa. Most of the visas are valid for 30 or 90 days. Foreign nationals cannot obtain visas after they arrive in Benin; they must apply in advance.
A Republic of Benin employer of record can help foreigners get these permits to compliantly do business in the country.
Paid Leave
After a year of employment, full-time employees in Ghana are entitled to 15 working days of paid annual leave.
Annual Leave: After completing a year of continuous service, a worker is entitled to 24 working days of paid yearly leave (at the rate of two working days each month of employment).
Maternity Leave: Maternity leave starts eight weeks following the anticipated delivery date and six weeks before. A woman’s maternity leave may be extended by an additional four weeks if she has complications following childbirth. The employee is still entitled to finish her fourteen weeks of maternity leave, as previously estimated, even if the birth occurs earlier than anticipated. The employee is entitled to continue it eight weeks after the birth, even if the delivery happens later.
Paternity Leave: Although the Labour Code does not mention paternity leave, dads may use the three days the Collective Labour Agreement grants after births as paternity leave.
Sick Leave: The provision for paid sick leave is in the Labour Code. The duration of sick leave is contingent upon the length of service. For a duration of service shorter than 24 months, it is 06 months; for a period of service equal to or longer than 24 months, it is 12 months.
Statutory Deductions
Social Security Contribution: Employees: 3.6% of their Gross salary is contributed to social security.
Employers: Social Security Contribution is 16.4% – 19.4% of gross salary (Details: Contribute, 6.4% for pensions, and 9% for family allowance, The risk rate (for industrial injury support) varies between 1% and 4%, for industry and transport sectors the risk rate is 4%).
Employees Tax (ITS): Grill rate
Salary Range (XOF)- Annual
- Less than 60,000
- 60,001 - 150,000
- 150,001 – 250,000
- 250,001 - 500,000
- More than 500,001
Tax Rate (%)
- 0
- 10
- 15
- 19
- 30
Employers Tax (VPS): 4% gross salary
VAT: 18% (goods and services)
Corporate Tax Rates: 30% (in general)
Health Insurance
A Republic of Benin employer of record/PEO can help employers make provision of health insurance policy for employees and their dependents.
Law No. 2020-37 of February 3, 2021 on the protection of people's health in the Republic of Benin, requires all employers to subscribe to health insurance for all their staff, in both the public and private sectors.
Additional Compensation and Benefits
Overtime work during the day is compensated at the following rates – 112% of a regular hourly rate for the 41st to the 48th hour and 135% of the hourly rate beyond the 48th hour.
The Labour Code has no clause mandating businesses to pay compensation bonuses to their night workers.
However, employees are paid at a premium rate of 150% of the regular wage rate for hours worked during the workday if they are required to work overtime during nighttime, which is between 21:00 and 5:00. Workers who work overtime on Sundays, the weekly rest day, and public holidays are paid a premium rate that is 200% of their regular pay rate.
During maternity, an employee is qualified for required benefits in kind and accessible healthcare.
Termination/ Severance in Benin Republic
Termination: Either party in a labour agreement may end an employment contract. An employer may terminate a contract with an indefinite duration for these reasons: employee’s health, incapacity to work, competence, or behaviour (personal reasons); or the needs of the business, such as organizational or technological changes, financial hardship, or business closure (economic reasons). The employer must give written notice if the dismissal is for personal reasons. The dismissal letter must state the grounds for termination and other related details.
Notice: Depending on the employee’s service length, an employer may need to give a reasonable notice period before ending the employment relationship. The notice time for ending an indefinite-term contract is as follows: one month for employees, workers, and labourers; three months for supervisors, executives, and equivalents; fifteen days for hourly workers. The minimum notice time under the law is equivalent to the probation period. The worker still works under the same terms and circumstances during the notice period, except having two days per week to look for a job.
Severance: On termination of employment (due to redundancy or any other reason other than lack of capacity or misconduct), employers may be obligated to pay a severance allowance.
According to the law, severance pay is due in the event of a breach of the employment contract at the following rates: 30% of the annual salary for each of the first five years, 35% of the annual salary from the sixth to the tenth year; and 40% of the annual salary after the tenth year.
Severance compensation rates for economic reason terminations are 35 per cent, 40 per cent, and 45 per cent, respectively.
If an employee’s gross misconduct results in the termination of his employment contract, he is not entitled to severance pay.
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