🎊 We’ve raised the largest seed round in our industry $14.1M 🎊

Africa

Tanzania

Request Info
Employer of Record (EOR) in Tanzania

What you'll learn

  • Country Introduction
  • Tax Breakdown for Employers
  • Statutory Leave Laws
  • Minimum Wage and Working Hours
  • Termination Process
  • Additional Information
Tanzania Introduction

Tanzania is a country in eastern Africa, bordered by Uganda, Kenya, Mozambique, Malawi, Zambia, Rwanda, Burundi, and the Democratic Republic of the Congo. Africa's highest mountain, Mount Kilimanjaro, is located in Tanzania. The country’s population is composed of about 120 ethnic, linguistic, and religious groups. Tanzania does not have an official language, but about 10% of Tanzanians speak Swahili as their first language, and almost 90% speak it as a second language.

Paid Leave and Statutory Leave

Parental Leave

Pregnant employees are entitled to 84 days of paid maternity leave, while fathers are entitled to 3 days of paid paternity leave within the first 7 days of the child being born.

Sick Leave

Employees in Tanzania are entitled to 126 days of paid sick leave within a 1.5 year span. The first 63 days are paid at 100% of the regular salary and the rest is paid at 50% of the regular salary.

Paid Leave

Tanzania has 15 public holidays, and employees are entitled to 28 days of paid time off each year (after working 6 months at a company).

Wage Requirements and Working Hours

The minimum wage in Tanzania varies by industry, with an average of TZS 420,000 per month. A standard workweek is 45 hours at 9 hours per day. Overtime work must be agreed upon between the employee and employer, with the total number of hours worked in a day not exceeding 12 hours. Overtime work is also limited to 50 hours in a 4-week period, paid at between 150%-200% of the regular rate.

Termination Process

Process

In Tanzania, terminations must be done with just cause, and written notice has to be provided including the reason and termination date.

Notice Period

At least 7 days of notice is mandatory in Tanzania, and usually can be up to 28 days of notice. Payment can also be given in lieu of notice.

Severance Pay

Employees must have worked at a company for at least 1 year to receive severance pay, which is usually equal to 7 days of pay for every year of employment (capped at 10 years).

Additional Information

N/A

OVERVIEW
Language(s):
Swahili, English
Currency:
Tanzanian Shilling (TZS)
Capital City:
Dodoma
Population:
63.6 Million
Cost of Living Rank:
114th
VAT (Valued Added Tax):
18%
Employer TaxES
14%
(estimated)

★  4% - Skills Development Levy

★  10% - Workers Compensation Fund

Simplified Global HR and Payroll.
Let’s work on it together.

We've made the process really simple
with only 3 steps.

1

Remote candidate

You've sourced a full-time employee or contractor located in a country where your company is not incorporated.

2

Cost Calculation

Pass us the details of your candidate and we will let you know exactly what it costs to employ your candidate in that country.

3

Onboarding & Admin

Sit back and relax as we onboard your new team member and take care of all the local compliances and admin work.

Same-day onboarding
Best Pricing
Available in 150+ countries
How Remofirst employs in Tanzania

It can be prohibitively expensive to establish an entity in every country you want to hire talent in, so Remofirst will hire and pay your employee on your behalf while you manage their daily duties. Remofirst will handle formal HR procedures and employment contracts that adhere to local laws, so that you can simply approve invoices via our platform. When you work with an Employer of Record (EOR) you can compliantly hire the best employees around the world.

How employees in Tanzania get paid
Your employee's hours, time off, holidays, bonuses, and commissions are automatically calculated into payroll. Remofirst will invoice you in either US Dollars (USD), Euros (EUR), British Pounds (GBP), Canadian Dollars (CAD), or Singapore Dollars (SGD) around the 15th of each month to make sure your employees in Tanzania are paid on time in Tanzanian Shilling (TZS). To make it even easier, you can summarize your entire global team's salaries to aggregate them into one payment (instead of many individual payments).
Full-time Employees vs Global Contractors

Unlike full-time employees, contractors work on projects with multiple companies at a given time and are technically self-employed. Full-time employees are solely focused on their employer and usually receive benefits (such as health insurance, equity or stock options, and time off) as an additional form of compensation. While it can be cheaper to work with international contractors instead of paying benefits to a full-time employee, you run the risk of misclassification. It's recommended to work with an EOR for contractor onboarding and payments, so you can know that your international contractors are paid compliantly and on time.

Dependable support for employees
Whenever the employee or employer has a question about benefits, Visas, or anything else related to international employment in Tanzania, they can use our platform's chat function to get answers from our team of experts. Every client of Remofirst also receives a dedicated account manager that will serve as a point of contact for global HR support.