Hiring Talent And Managing Payroll In Haiti

Agreements

Onboarding Process

• Employers should provide new hires with a job offer letter that includes the details of their employment, such as job title, start date, salary, and working hours.
• Employers should collect necessary documentation from new hires, including a copy of their national identification card, social security card, and proof of education and work experience.
• Employers should provide new hires with an orientation that includes an introduction to the company culture, policies and procedures, and safety protocols.
• Employers should assign a mentor or buddy to new hires to help them acclimate to their new role and workplace.
• Employers should ensure that new hires receive any necessary training, such as health and safety training or job-specific training.

Minimum Wage

Payroll Cycle

Annual Bonus

Health Benefits

Working Hours and Overtime

• Work hours: The work week in Haiti is of 48 hours, with 6 days of working and a maximum of 8 hours per day
• Break:The standard workday is typically from 8 am to 5 pm, with a one-hour lunch break from noon to 1 pm.
• Overtime: Overtime work is compensated at a higher rate than standard hours, typically 50% more than the employee's regular hourly wage. The legal limit for overtime is 80 hours in a quarter.

Social Security

Taxes for Employees

• Social Security contribution/National Old Age Insurance: 6% is the employee contribution.
• Maternity and sickness insurance: Employees' contribution is 3%.
• Payroll tax: An employee has to contribute 2% towards the payroll tax.
• The income tax: The rate of income tax for employees is based on a progressive scale ranging from 0% to 30%

  • 0% for those earning up to 60,000 HTG per year
  • 10% for the earning between 60,001 HTG and 240,000 HTG per year
  • 15% for the earning between 240,001 HTG and 480,000 HTG per year
  • 25% for the earning between 480,001 HTG and 1,000,000 HTG per year
  • 30% for those earning more than 1,000,001 HTG per year

Termination

• Mutual agreement between the employer and employee.
• Termination for cause, such as serious misconduct or violation of the company's policies and rules.
• Expiration of a fixed-term contract or the completion of a specific project.
• Redundancy or downsizing of the company due to economic or business reasons.
• Health reasons or permanent disability of the employee.
• Retirement of the employee.

Severance Pay

• The amount of severance pay is equal to 15 days' pay for each year of service, up to a maximum of 8 years.
• If the employee has more than 8 years of service, the severance pay is capped at 120 days' pay.
• Severance pay is not required if the employee is terminated for serious misconduct or voluntarily resigns.

Employees or Contractors

• In Haiti, an employee is defined as an individual who works for an employer and is paid a salary or hourly wage. They are subject to the direction and control of the employer and are entitled to benefits such as health insurance, vacation time, and sick leave.
• A contractor, on the other hand, is a self-employed individual or business entity that provides a service or product to a client under a contract. They are not considered employees and are responsible for their taxes and benefits.
• Misclassifying employees and contractors in Haiti can lead to significant fines. According to the Haitian Labor Code, employers who classify employees as independent contractors are subject to fines of up to 10,000 gourdes per employee. Additionally, employers may be required to pay back wages, overtime, and other benefits due to misclassification. In some cases, criminal penalties may also be imposed

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