Key Insights on Hiring in Liberia

Here are some important details to consider when hiring in Liberia

1. Employment Contracts

Understanding Types of Employment Contracts in Liberia

In Liberia, employment relationships are governed by the Decent Work Act, 2015, which requires that every employment agreement be documented in writing, especially if the employment lasts 30 days or more, or involves more than 10 hours of work per week.

Employment contracts must include key terms such as job description, wages, working hours, leave entitlements, and termination conditions.

Types of employment contracts recognized in Liberia include:

  • Indefinite-Term (Permanent) Contracts
  • Fixed-Term Contracts
  • Temporary/Casual Employment
  • Part-Time Contracts

2. Probationary Periods

Understanding Probationary Periods in Liberia

Probationary periods are legally recognized under the law. The maximum probationary period is up to three (3) months, and during probation, either party may terminate the employment with reduced notice, or employees are still entitled to protection against unfair treatment or discrimination.

3. Rights and Duties of Workers

Understanding the Rights and Duties of Workers in Liberia

Employees in Liberia are entitled to:

  • Fair and timely payment of wages
  • Safe and healthy working conditions
  • Freedom from discrimination
  • Protection from unfair dismissal
  • The right to join and participate in trade unions

 

In return, workers are expected to:

  • Perform their duties responsibly and diligently
  • Follow lawful workplace instructions
  • Respect workplace rules and the rights of others
  • Protect employer property and interests

 

4. Working Hours

Understanding Working Hours in Liberia

The standard working hours in Liberia are:

  • 8 hours per day
  • 48 hours per week

 

Any work performed beyond the regular hours must be treated as overtime, and compensated according to the applicable wage laws.

5. Leave Entitlements

Understanding Leave Entitlements in Liberia

Leave provisions under Liberian law ensure that employees have time to rest, manage personal or family matters, and recover from illness or childbirth.

Key leave entitlements under the Decent Work Act include:

  • Annual Leave
  • Sick Leave
  • Maternity Leave
  • Paternity Leave
  • Public Holidays
  • Special/Casual Leave, may be granted for urgent personal or family matters, at the discretion of the employer.

6. Tax and Social Security

Overview of Taxation and Social Security in Liberia

Liberia operates a structured tax and social security system aimed at ensuring the equitable collection of revenue and the provision of essential welfare benefits to its workforce. Employers in Liberia are obligated to comply with national laws relating to:

  • Personal Income Tax (PIT) – Pay As You Earn (PAYE)
  • Corporate and Business Taxes
  • Social Security and Pension Contributions: –
  1. National Pension Scheme (NASSCORP)
  2. Employment Injury Scheme

Penalties for Non-Compliance

Failure to comply with tax and social security obligations may result in:

  • Interest charges on late payments
  • Fines and penalties
  • Legal action and possible criminal liability
  • Suspension of business licenses or denial of government contracts