Seychelles Employer of Record
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The Republic of Seychelles is an island nation off the east coast of Africa. The country is comprised of more than 100 islands. Its capital is Victoria, which is also the country’s largest city. Seychelles boasts a high-income economy designation from the World Bank and has a robust tourism industry. Seychelles is business friendly and offers a world-class financial center that operates without traditional foreign exchange restrictions.
Employment Contracts
Employment contracts in Seychelles should be in writing and can be in either English, French or Creole. An employment contract must include the following details:
- Name of the employer and employee
- Nature of employment
- Period of probation if applicable, which cannot exceed six months
- Duration of contract
- Place of work
- Working hours
- Pay
- Overtime
Employment contracts can be for a fixed or indefinite period. The duration of a fixed-term contract must be for at least three months. Seychelles also recognizes part-time employment and casual work contracts. Part-time employment contracts cannot exceed 25 hours a week. Casual work employment contracts are for employees engaged in day-to-day employment and are commonly used to fill a position temporarily until a permanent employee can be hired. Casual work employment contracts do not need to be in writing and have a maximum duration of three months.
Public Holidays
- New Year’s Holiday
- Good Friday
- Easter Monday
- Labour Day
- Corpus Christi
- Constitution Day
- Independence Day
- Assumption Day
- All Saint’s Day
- Immaculate Conception Day
- Christmas Day
Compensation
Employees in Seychelles are entitled to an hourly minimum wage for all employee categories, except casual workers, which is slightly different. A 13th month bonus is mandatory and is to be paid on Dec. 31. Many employers also elect to pay performance-based bonuses to their employees.
Working Hours
The standard work period is 60 hours a week and eight hours a day over six days, with a mandatory rest period of 24 hours each week. Overtime is capped at 15 hours per week, or 60 hours per month. Overtime is paid at 150% of the basic rate if performed on a weekday and at 200% of the basic rate if work is performed on a rest day or holiday. Shift workers are paid overtime at 150% of the basic rate and at 300% of the basic rate if performed on a public holiday.
Vacation Leave
In addition to public holidays, full-time employees are entitled to 24 days of paid annual leave after one year of service. If employed for less than a year, the employee receives two days of vacation per month. Part-time workers receive leave on a prorated basis. The date that leave can be taken is decided by mutual agreement between the employer and employee. Accrued leave does not roll over into the next year and employers cannot provide pay in lieu of leave. However, any accrued but unused vacation is paid upon separation of service. Employees also receive up to four days of annual compassionate leave.
Sick Leave
Employees receive 21 days of paid sick leave. Employees receive an additional 30 days of paid sick leave and 60 days of unpaid sick leave if required.
Maternity / Paternity Leave
Female employees receive 16 weeks of paid maternity leave. At least 12 weeks of maternity leave must be taken after birth. Female employees also receive an additional four weeks of unpaid leave that can be taken either before or after birth. Employees must provide three months’ notice to employers of the expected due date.
Male employees receive paid paternity leave of at least 10 days. To be eligible for paternity leave, the employee must be the father and acknowledge paternity and take leave within four months of the birth. Male employees must notify their employer of the intent to take paternity leave at least eight weeks before the birth and of the specific dates of leave two weeks in advance. If the mother dies during childbirth or shortly after, the father can extend paternity leave in the amount of unused maternity leave. Maternity and paternity benefits are paid by Seychelles’ social security scheme. Employers pay the difference between social security maternity benefits and the employee’s full salary.
Employment Termination / Severance
An employment contract can be terminated by an employer with notice following disciplinary procedures. The employee must be informed in writing if it is a serious offense and given the opportunity to respond. The disciplinary action can include termination without notice. In this instance, the termination must be in writing and a copy must be provided to the employee’s union representative, if applicable.
An employer and employee can terminate an employee contract with notice in the following cases:
- During the probation period if the employee’s performance is unsatisfactory
- During the training period if the trainee does not successfully complete the training
- Pursuant to a change in employment terms to which the employee does not consent
- Change of ownership of the business
- Casual or part-time work
The notice period is:
- One day in the case of a casual worker
- Seven days for an employee on probation
- One month for all other workers, other than non-Seychelles employees
- One month or the notice period specified in the contract for a non-Seychelles employee
Employers are required to give notice of termination to employees who are under fixed-term contracts, as well as to employees who are reaching the legal age of retirement. This notice period must be at least one month. Payment in lieu of notice is acceptable.
Employers are responsible for compensation and wages upon termination, except in cases where an employee is dismissed for disciplinary reasons. Employees are also entitled to compensation upon resignation (other than while on suspension or following disciplinary proceedings) or upon retirement after at least five years of service.
Employees can terminate an employment contract without providing notice if the employer has breached the employment contract, is in violation of the labor law, or the employee is laid off. The employee must notify the employer in writing.
Health Insurance Benefits
The state offers universal health coverage to its citizens, however private health insurance is recommended.
We understand that local laws and regulations change and sourcing an accurate reference guide is not easy. Our data is researched and verified by our team of local international Employment Attorneys, HR and Benefit Professionals and Tax Accountants through our Expandopedia team and consultants, to ensure information up-to-date and accurate.
Partnering with Elements Global Services when expanding into Seychelles, can dramatically reduce the standard brick and mortar processes of doing business in foreign markets and allow you to focus on what you do best, growing your company! To discover more about how Elements can simplify your ability to expand globally, please feel free to contact us.
Other Solutions To Simplify Global Expansion:
- Value Add of EOR Services
- Administrative Services Outsourcing (ASO) Solutions
- Business Process Outsourcing (BPO) Solutions
- Entity Formation & Management Services
- Business Consulting Services