Default; after one year of continuous service employees gain unfair-dismissal protection under the Employment Rights Act 2012
Permitted for specific tasks, seasonal or project work; repeated renewals can expose employers to unfair-dismissal claims.
Overtime customarily paid at 150% (200% on public holidays), set mainly by sector wage orders and contracts
Not fixed by statute; set by contract (commonly 3 months) and counts toward continuous employment
Company directors and officers, and roles in licensed professions, generally cannot be hired under the EOR model without a local entity
12.75% of insurable earnings to the National Insurance Scheme (pension, sickness, maternity, employment injury, unemployment, severance fund, health service) plus 0.25% Resilience & Regeneration Fund on gross earnings
11% NIS on insurable earnings capped at BBD 5,360/mo (2026) plus 0.25% Resilience & Regeneration Fund. Progressive income tax (12.5%/28.5%) withheld separately.
In addition to statutory leave, employees are entitled to the following statutory benefits:
Employers are required to make contributions to the National Insurance Scheme (NIS) on behalf of their employees. Benefits derived from national insurance are:
Work-injury protection is provided through the employment injury branch of the NIS, funded by an employer-only contribution, covering medical care and injury benefits.
Severance under the Severance Payments Act applies to redundancy-type terminations after 2 years' service: 2.5 weeks' pay per year for the first 10 years, 3 weeks for years 11-20, and 3.5 weeks for years 21-33. No statutory severance for dismissal with cause.
There is no statutory 13th-month salary in Barbados; year-end bonuses are discretionary or contractual.
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), Australian Dollars (AUD), or Singapore Dollars (SGD) around the 15th of each month to make sure your employees are paid on time. 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).
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.
Whenever the employee or employer has a question about, or anything else related to international employment, they can speak with our customer support team to get answers from our team of experts.