Djibouti
Employ in Djibouti without an entity.
A contract under Djibouti's labour code, pay in francs, and social security and salary tax handled every month. One contact and one invoice.
The facts of employing in Djibouti.
Paid in francs, every month.
Wages are paid in legal tender, whatever the contract says.
A 48-hour week.
With 24 hours of rest each week, normally on Friday.
30 working days of annual leave.
Two and a half working days for each month of service.
A minimum wage of DJF 35,000.
No one can be hired below it, since 1 January 2018.
What employing in Djibouti involves, in plain words.
Each is handled for everyone you employ through Global Kinect EOR.
- Contracts
Written for an open-ended contract, for a fixed term over a month, and for every foreign employee.
- A fixed term is allowed only in listed cases, for up to 12 months, renewable once.
- Trial period: 15 days for hourly staff, a month for monthly staff, three months for supervisors and managers.
- CNSSSocial security
Family benefits, work accidents, pension and health, through the Caisse Nationale de Sécurité Sociale.
- 15.7% from the employer and 6% from the employee.
- Pension on all pay. The other branches on pay up to DJF 400,000 a month.
- ITSSalary tax
Withheld by the employer each month, on pay after the employee's social contributions.
- 2% up to DJF 30,000 a month, rising through 12%, 15%, 22%, 25%, 30% and 35% to 45% above DJF 2,000,000.
- Leave
Two and a half working days for each month of service, 30 a year.
- Maternity leave: 26 weeks on full pay, 7 before the birth and 19 after.
- Ending employment
Notice of 15 days for hourly staff, a month for employees, three months for supervisors and managers.
- The code sets no severance payment.
- A dismissal without real and serious cause costs up to 2, 4 or 6 months' pay, by the size of the firm.
Hiring in Djibouti, step by step.
You choose the person
And agree the role and the salary in francs.
The contract is put in place
Under Djibouti's labour code, with a work permit where one is needed.
They are paid monthly
In francs, with social security and salary tax handled.
You get one invoice
With every other country you hire in.
Questions about employing in Djibouti
What does an employer pay into social security in Djibouti?
Employers in Djibouti pay 15.7% of pay to the CNSS: 5.5% for family benefits, 1.2% for work accidents, 4% for pensions and 5% for health. Employees pay 6%: 4% for pensions and 2% for health. Pension contributions are due on all pay. The other branches stop at DJF 400,000 a month.
Can we employ a foreign national?
Is there statutory severance?
Employing in Djibouti, worked through in full.
The guide goes further than this page.
- Hiring in Djibouti: the work authorisation, the contract and a salary worked through, step by step
How you hire in Djibouti without an entity of your own: the work authorisation step by step, moving someone already in Djibouti, who a role is open to, the contract, the employee test, what a salary costs and pays, leave, and what changed this year.
9 min read
