The indefinite-term contract (Contrat à Durée Indéterminée, CDI) is the standard and default form of employment in Tunisia. It has no predetermined end date, may be verbal or written (written is strongly recommended and customary practice is to draft in Arabic, often with a French version), and must specify identity of the parties, start date, job description, workplace, remuneration in TND, working hours, and any probation and notice terms. Termination requires just cause and, outside of probation, statutory notice and often severance.
Fixed-term contracts (Contrat à Durée Déterminée, CDD) may be used only for specific, legally recognized situations (e.g., temporary increase in activity, seasonal work, replacement of an absent employee, or a specific project/task). They must be in writing and state the reason and duration. Successive renewals beyond the statutory cumulative ceiling (in practice around 4 years) generally cause the contract to be reclassified as an indefinite contract. Employers should confirm current renewal limits, as recent labour reforms have tightened rules around precarious/fixed-term employment.
The Labour Code sets a general legal working-time ceiling of 48 hours per week (8 hours/day over 6 days) for non-agricultural activities, though a 40-hour week (5 days) is common in many companies and sectors and corresponds to a separate SMIG rate. Overtime is regulated and must be paid at a premium (typically 25%-50% above the base hourly rate depending on the hours and whether they fall on rest days), subject to sector collective agreements.
Probation length is capped by law at 6 months and may be renewed only once. Sector collective agreements often set shorter defaults that vary by category: around 6 months for workers/operational staff, up to 9 months for technicians and supervisors, and up to 12 months for executives/managers (cadres), within the overall statutory ceiling. During probation, either party may terminate the relationship with a shortened notice of 15 days and no severance obligation.
Tunisian labour law does not mandate a 13th or 14th month salary. However, an annual end-of-year bonus (prime de fin d'année/gratification) is a widespread customary practice, frequently required by sector collective bargaining agreements (conventions collectives) or established by company custom, particularly in larger organizations. Where offered, the amount and conditions (e.g., minimum seniority, pro-rating) are set by the applicable collective agreement or employment contract.
There is no dedicated statutory registry or restriction governing job titles in Tunisia, but the employment contract must accurately describe the employee's job/function, and the classification (echelon/category) often needs to align with the salary grid and professional classification set out in the applicable sector collective agreement, which affects minimum pay, benefits, and probation length for that category.
Employers contribute 17.07% of gross salary to the CNSS (Caisse Nationale de Sécurité Sociale) as of January 1, 2025 (up from 16.57%, reflecting a 0.5% add-on funding the new Unemployment Insurance Fund for Economic Reasons). A reduced employer CNSS rate of around 0.5% (plus standard employee side) can apply to fully exporting industrial companies under certain regimes. On top of CNSS, employers separately pay variable work-accident/occupational-illness insurance (roughly 0.5%-4% of payroll depending on sector risk) and other minor levies (professional training tax TFP ~1-2%, housing fund FOPROLOS ~1%) not included in the 17.07% figure.
Employees contribute 9.68% of gross salary to CNSS as of January 1, 2025 (up from 9.18%, reflecting the same 0.5% unemployment insurance fund add-on). This is withheld and remitted by the employer alongside progressive personal income tax (IRPP, on a scale from 0% up to 35%) withheld separately under the PAYE-style system.
In addition to statutory leave, employees are entitled to the following statutory benefits:
Tunisia's social security system is administered by the Caisse Nationale de Sécurité Sociale (CNSS) and funds pensions, family allowances, healthcare, maternity/sickness benefits, and (since 2025) unemployment insurance for economic reasons.
Work-related accident and occupational illness coverage in Tunisia is funded through a separate CNSS-administered employer contribution, distinct from the general CNSS rate.
Severance pay (indemnité de licenciement) is generally owed when an employee on an indefinite contract is dismissed for reasons other than serious misconduct (faute grave).
A 13th (or 14th) month salary is not required by Tunisian statute.
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.