Definitive guide to hiring in Ivory Coast | Global Expansion (2024)

• 1 Hiring in Ivory Coast
• 02 Labor Laws in Ivory Coast
• 15 Ivory Coast Salary and Wages
• 05 Income Tax in Ivory Coast
• 06 Social Security in Ivory Coast
• 08 Immigration Ivory Coast
• 09 Value Added Tax (VAT) in Ivory Coast
• 11 Mandatory Benefits in Ivory Coast
• 11 Payments And Invoicing
• 13 Payroll Accrual in Ivory Coast
• 14 Accrued Benefits in Ivory Coast
• 15 Why use Global Expansion to hire in Ivory Coast

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Hiring in Ivory Coast

Hiring employees compliantly in Ivory Coast means doing it yourself or using an Employer of Record like Global Expansion. You should be careful using independent contractor agreements in Ivory Coast so that you don’t run afoul of employment laws. To hire an employee compliantly and offer them mandatory benefits and compliant agreements, you can:

(a) Establish your own new legal entity, banking, accounting and payroll service in Ivory Coast; or

(b) use an Employer of Record like Global Expansion who can handle all of the details for you.

Employee Probation Period

• Probation periods are allowed as follows:
  • hourly employees: 8 days
  • monthly paid workers: 1 month
  • supervisors, technicians, and similar: 2 months
  • engineers, managers, high-level technicians, and similar: 3 months

Annual Leave in Ivory Coast

• After one year of employment, employees are generally entitled to 26 days of paid annual leave.
• This increases to 27 days after 5 years of service.

Maternity Leave Ivory Coast

• Female employees are generally entitled to 14 weeks of paid maternity leave.

Paternity Leave Ivory Coast

• There is no paternity leave

Sick Leave in Ivory Coast

• Employees are generally eligible for at least 5 days of paid sick leave.

Working Hours in Ivory Coast

• In general, Côte d’Ivoire has a 40-hour work week of 5, 8-hour days

Overtime in Ivory Coast

• There is a 23.8% premium for overtime work.

Termination of Employment in Ivory Coast

A contract of employment can terminate, at the initiative of the employee, in certain circ*mstances, namely:

• • the expiration of a fixed-term contract;
  • mutual agreement;
  • major force.
• When an employee, signed with an open-ended contract for a specified period and for the temporary replacement of a worker, has been working for at least 6 months in the company, he/she can terminate the contract unilaterally.
• The period of notice is as follows:
  • 8 days, for those with up to 6 months of service in the undertaking;
  • 15 days, for between 6 months and 1 year of service;
  • 1 month, for between 1 and 6 years of service;
  • 2 months, for between 6 and 11 years of service;
  • 3 months, for between 11 and 16 years of service; and
  • 4 months, for over 16 years of service.
• Employees are generally eligible for severance as follows:
  • up to 5 years’ service: 30% of monthly wage
  • 6-10 years’ service: 35% of monthly wage
  • 10+ years’ service: 40% of monthly wage

Notice Period in Ivory Coast

• The period of notice is as follows:
• 8 days, for those with up to 6 months of service in the undertaking;
• 15 days, for between 6 months and 1 year of service;
• 1 month, for between 1 and 6 years of service;
• 2 months, for between 6 and 11 years of service;
• 3 months, for between 11 and 16 years of service; and
• 4 months, for over 16 years of service.

Severance in Ivory Coast

• Employees are generally eligible for severance as follows:
• up to 5 years’ service: 30% of monthly wage
• 6-10 years’ service: 35% of monthly wage
• 10+ years’ service: 40% of monthly wage

• The Ivory Coast taxes residents on their worldwide income.
• The general income tax (IGR) (which is levied on the sum of the categorical income of individuals, after deduction of the cedular taxes paid and various charges).
• The IGR applicable to salaries, wages, pensions and life annuities is withheld at source.
• Taxable income for a year is the total amount of net income realized, earned or made available by the taxpayer in the year.
• The tax is due by all natural persons having in Côte d'Ivoire a habitual residence.
• For the calculation of income tax, the rates applicable to the annual net taxable income are set, in a progressive manner, for each income bracket determined as follows:-

Value Added Tax (VAT)

• VAT is a non-cumulative tax levied on the sale of goods and services at the rate of 18%.
• A reduced rate of 9% is applicable on milk excluding yogurt and any other dairy product, pasta made from 100% durum wheat, solar energy production equipment, petroleum products, infant milk and hom*ogenized composite food preparations for infants, meat imported from outside the ECOWAS zone, luxury rice.
• The Ivory Coast is imposing VAT on digital services provided by nonresident companies.

National contribution (CN)

• 80% of gross income is taxed as CN at progressive rates from 1.5% to 10%, based on varying tax brackets as shown below.

• Employees must contribute to the social security system (Caisse Nationale de Prevoyance Sociale or CNPS) together with the employer.
• The employees only pay 6.3% for the CNPS Retirement Fund and the employer pays 7.7% of the taxable salary to the CNPS Retirement Fund (total 14%).
• The other contributions are paid by the employer (i.e. family allowances 5.75%, work injury from 2% to 5%).
• The monthly ceiling for the CNPS Retirement Fund is XOF 1,647,315, and the monthly ceiling for the other contributions is XOF 70,000.

Immigration Ivory Coast

• The Ivory Coast has a specific process for foreign nationals who wish to enter the country for various purposes. The main types of visas are as follows:
  • Short-term visa: valid for up to three months
  • Long stay visa: valid for a maximum of one year
  • Work contract visa: validity depends on the duration of the work contract
• The work contract visa is the appropriate choice for foreign employees
• The first requirement for foreign nationals is to obtain a job from a company in Côte d’Ivoire.
• Having a job with an established company is essential because the employer will play a role in the application process.
• Several documents are required in addition to the application.
• These documents include:
  • A passport with at least six months of validity and one blank page
  • Four copies of the foreign worker’s employment contract
  • A copy of the employee’s resume
  • A police background check from the employee’s country of residence
  • A medical certificate including proof of immunization against yellow fever
  • Professional references, such as the employee’s diploma and any relevant certifications
  • In some cases, the employee’s documents may need to be translated into French.
• An employee’s nearest consulate or embassy will be able to provide information regarding specific requirements, including the potential need for additional documents.

Value Added Tax (VAT) in Ivory Coast

• VAT is a non-cumulative tax levied on the sale of goods and services at the rate of 18%.

Mandatory Benefits in Ivory Coast

• These are mandatory benefits as postulated by law
• These include probationary period, annual leave, public holidays, sick leave, maternity leave, overtime pay, notice period, and severance pay
• Statutory benefits also include social security benefits

Mandatory Benefits overview

Payments And Invoicing

• The taxable period in the Ivory Coast is the calendar year.
• Employers must calculate and withhold taxes due by employees, and they must file monthly IS returns for both employee tax and the employer’s payroll tax.
• Adjustment declarations are filed annually by 30 June for companies’ subject to audit requirements and 30 May for the others.
• Employees are not required to file and pay the payroll tax when their employer is not in the country.
• Filing of IGR single return for individuals is suspended until an effective reform to modernize this tax.
• A husband and wife are taxed separately.
• The husband’s salary is taxed with regard to the relevant deductions for dependents (marriage and children).
• Employed women are also taxed with regard to the same deductions for dependents (marriage and children) as their husbands'. Husband and wife, however, may also file jointly.

Description

Employees must contribute to the social security system (Caisse Nationale de Prevoyance Sociale or CNPS) together with the employer. The employees only pay 6.3% for the CNPS Retirement Fund and the employer pays 7.7% of the taxable salary to the CNPS Retirement Fund (total 14%). The other contributions are paid by the employer (i.e. family allowances 5.75%, work injury from 2% to 5%). The monthly ceiling for the CNPS Retirement Fund is XOF 2,700,000, and the monthly ceiling for the other contributions is XOF 70,000.

Why use Global Expansion to hire in Ivory Coast

Establishing a branch office or subsidiary in Ivory Coast can be time-consuming, expensive and complex. With such a robust labor market in place, one must pay great attention to detail when structuring employment because Ivory Coast labor laws are complex.

The company also has a responsibility to comply with specific employment practices dictated by Ivory Coast law to maintain its good standing as an equal opportunity employer.

Global Expansion makes it easy for you to expand into Ivory Coast. We'll help you hire your candidate of choice, handle HR matters and payroll, and ensure that you comply with local laws without the burden of setting up a foreign branch office or subsidiary. In addition, you'll have complete control and direction over your employees.

We enable you to stay in control of everything. Our Ivory Coast Global Professional Employer Organization (PEO) and Employer of Record (EOR) solution provides you with peace of mind to focus on running your company and the security to enter new markets.