Ivory Coast: A Guideline to Payroll and Employer of Record

Establish your presence globally with Neeyamo as we help you go beyond borders to manage your international payroll and hire new talent in Ivory Coast.

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Overview

Ivory Coast, also known as Côte d’Ivoire, is a country located in southern West Africa. It is bordered by Guinea, Mali, Burkina Faso, Liberia, and Ghana. The country has a coastline on the Gulf of Guinea on the north Atlantic Ocean. The capital city is Yamoussoukro, but the largest city and de facto capital is Abidjan.

Neeyamo assists with the onboarding and management of employees in the Ivory Coast, along with the processing of a firm's payroll, compliance, benefits, and more.

Tools And Instances

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Global Payroll

Neeyamo’s global payroll solution covering 180+ countries

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Global Work

A tech-based EOR solution to manage your extended workforce

Facts And Stats

Capital

Yamoussoukro

Currency

West African CFA Franc (XOF)

Official Language

French

Fiscal Year

03 January - 31 December

Date Format

DD/MM/YYYY

Country Calling Code

225

Time Zone

UTC 00:00 Greenwich Mean Time

Global Payroll

Overview

Handling payroll for a widespread workforce can pose a significant challenge for any organization, and the added complication of compliance can make things worse. If companies spend more time processing payroll, it directly impacts day-to-day operations and their overall productivity.

Over the years, Neeyamo has observed these complexities and strived to provide a global payroll solution through a single technology platform - Neeyamo Payroll

Payroll Taxes

Payroll tax is the percentage amount retained from an employee's salary and paid to the government to invest in the general population's welfare. These are statutory in nature and are levied from both the employer and employee. Additional statutory contributions are made by employers towards aiding both short-term and long-term benefits for their employees.

Employee Taxes

Employees must contribute 6.30% towards Pension/Retirement Contributions with a monthly salary cap set at 2,700,000 XOF

Employer Taxes

Employers must make the following contributions:

  • 5.75% - Social Security (Caisse Nationale de Prevoyance Sociale CNPS) – family allowance: monthly salary cap set at 70, 000 XOF per month
  • 1.00% - 5.00% - Social Security (CSS) – work injury and disability, with a monthly salary cap set at 70,000 XOF
  • 7.70% - Pension/Retirement Contribution – with a monthly salary cap set at 2,700,000 XOF

Payroll Cycle

Overview

Undoubtedly, payroll is a critical process for any organization. Pay cycle refers to the period for which an organization pays its employees, and this can vary depending on the pay frequency that the organization chooses to adopt.

Frequency

The payroll frequency in Ivory Coast is monthly.

13th Month Cycle

There is no statutory requirement to provide a bonus or 13th salary in The Ivory Coast.

Global Work

Overview

An Employer of Record (EOR) service provider helps you eliminate the hassle of handling complexities while onboarding a new employee in an international location. They help bridge the gap that otherwise mandates organizations to have a local registered entity and a local bank account, prior to making a job offer to an international hire.

An EOR service provider acts as a legal employer, facilitates salary payments, and manages other statutory requirements such as health insurance, payroll taxes, and employee benefits ensuring compliance with local tax laws and regulations.

This allows organizations to focus on collaborating with the employee in Ivory Coast for operational tasks, with the knowledge that they have a cost-effective solution support their global payroll & HR requirements, as they continue their global expansion.

HR Mandates and Practices

Minimum Wage

The minimum wage in Ivory Cost is 75,000 CFA.

Overtime

An employee is entitled to overtime pay for any hours worked in excess of the legal maximum. Overtime pay is calculated as follows:

  • 115% for hours worked between the 41st and 48th hour
  • 150% for hours worked after the 48th hour
  • 175% for hours worked at night, as well as during the day on Sundays and public holidays
  • 200% for hours worked at night on Sundays and public holidays

Data Retention Policy

According to the Ivory Coast’s Law 2013-450 on the Protection of Personal Data, data must be kept for a period not exceeding the period necessary for the purposes for which they were collected or processed.

Employers are required to maintain payroll and payment records, either manually or electronically.

Hiring and Onboarding Requirements

Hiring

Ivory Coast legally requires employers to use an employment contract to hire employees, whether it’s fixed or indefinite. Fixed-term contracts must be in writing and can get renewed without any limit for up to two years. Indefinite-term contracts also must be written in the local language and include everything from statutory benefits to termination requirements. Any contract or offer letter should also include compensation amounts in West African CFA francs.

Onboarding

Companies should onboard employees using a process that best fits their culture and goals. Since Ivory Coast has strict laws related to probation periods, termination, and entitlements, It is recommended to review these parts of an employment contract while onboarding employees. Employers should also provide job training that will make employees more comfortable in their new positions.

Probation

The length of the probation period is based on the payment cycle and ranks as follows:

  • Eight days for daily or hourly paid workers;
  • One month for monthly paid workers;
  • Two months for supervisors, technicians, and similar workers; or
  • Three months for engineers, managers, high-level technicians, and similar workers.

It is possible to renew these periods once, and each renewal must be stated in writing.

Leave

National Holidays

Employees are entitled to 14 days of public holidays. Holidays falling on weekends are lost (except for August 7, when it falls on a Tuesday or Friday, then the day before or the day after is also considered a holiday).

  • Jan. 1: New Year's Day
  • Apr. 10: Easter Monday
  • Apr. 18: Laylat al-Qadr
  • Apr. 22: Eid Al-Fitr
  • May 1: Labor Day
  • May 18: Ascension Day
  • May 29: Whit Monday
  • Jun. 29: Aid el-Kebir
  • Aug. 7: Independence Day
  • Aug. 15: Assumption of Mary
  • Nov. 1: All Saint's Day
  • Nov. 15: National Peace Day
  • Dec. 25: Christmas

Annual Leave

Employees are entitled to a minimum of 26 working days of paid annual leave once one year of service has been completed. One period of 14 consecutive days must be used each year.

The number of days increases in accordance with the length of service,

  • After five years of service, an additional day
  • After 15 years of service, an additional two days
  • After 20 years of service, an additional four days
  • After 25 years of service, an additional six days
  • After 30 years of service, an additional eight days

Sick Leave

Employees receive five days of paid sick leave annually. Employees may also be eligible for benefits through the social security system in the amount of 100% of the last month’s earnings for up to six months. Benefits may be extended for a total of 12 months.

Maternity Leave

Female employees are generally entitled to 14 weeks of paid maternity leave. With six weeks to be taken before the birth and eight weeks taken after the birth. Two additional weeks are provided for multiple births. Leave can be extended by up to 11 weeks in the event of pregnancy or childbirth-related illnesses, and up to 12 months if the child is hospitalized."

Termination

Notice Period

employers are required to give notice of termination except in cases of gross fault negligence. The minimum notice period is related to the employee’s tenure as well as their category and is as follows:

For employees paid by the hour or by the day:

  • 0-6 months: 8 days
  • 6 months – 1 year: 15 days
  • 1 year – 6 years: 1 month
  • 6 years – 11 years: 2 months
  • 11 years – 16 years: 3 months
  • Over 16 years: 4 months

Termination by mutual consent does not require any notification.

The employer may allow the employee not to serve the notice period. However, in such a case, the indemnity in lieu of notice is still owed to the employee. The employee is free to start a new job during the notice period.

Severance Pay

When the employer terminates the employment, the employer must observe the notice period and provide the employee with severance pay. The employee must have worked for the company for at least one year and not have committed gross misconduct to be eligible for severance pay.

The amount of severance pay is calculated based on a percentage of the employee’s total monthly salary for the 12 months before dismissal, multiplied by the number of years they have worked for the company. The percentage is determined based on the employee’s seniority level and is as follows:

  • Up to and including year five: 30%
  • From year six to year 10: 35%
  • Thereafter: 40%

Visa

Overview

Permits for work in Ivory Coast are issued by the Ministry of Security and should be applied for before entering the country. Work permits for Ivory Coast come packaged with residence permits, and usually last for no longer than one year, after which they must be renewed. After it has been renewed once, an application for a new work permit must be submitted.

In order to obtain a permit to work in Ivory Coast, evidence must be provided of secured work in the country for which the prospective employer will be required to submit copies of proposed contract and employment forms to the Ivory Coast Labor Office. In some cases, these may need to be translated into French.

Requirements

Several documents are required in addition to the application. These documents include:

  1. A passport with at least six months of validity and one blank page.
  2. Four copies of the foreign worker’s employment contract.
  3. A copy of the employee’s resume.
  4. A police background check from the employee’s country of residence.
  5. A medical certificate including proof of immunization against yellow fever.
  6. Professional references, such as the employee’s diploma and any relevant certifications.

Employee Background Checks

Legal and Background Checks

In the Ivory Coast, candidates can be screened for their education and criminal records. However, they are only permitted to submit an address that is linked to a valid ID document. Additionally, identity checks must be carried out before any other checks can be performed.

Last updated on July 18, 2023

If you have any queries or suggestions, reach out to us at irene.jones@neeyamo.com

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