Employer of record in Ivory Coast
Ivory Coast, or Côte d’Ivoire, is a country in West Africa known for its economic vibrancy, cultural diversity, and rich natural resources. Its capital is Yamoussoukro, while Abidjan serves as the economic hub. The country is the world’s leading producer of cocoa and a significant exporter of coffee and palm oil. With a population of over 26 million, Ivory Coast has a diverse ethnic composition and a blend of traditional and modern influences. French is the official language, and the nation follows a presidential system of government. Despite past political instability, Ivory Coast has experienced steady economic growth, making it one of West Africa’s fastest-growing economies.
Employee Benefits
PAID TIME OFF
Annual Leave: Employees are entitled to 26 days of annual leave after completing one full year of service.
Additional Leave Based on Tenure:
- +1 day after 5 years of service.
- +2 days after 10 years of continuous employment.
- +3 days after 15 years of continuous employment.
- +5 days after 20 years of service.
- +7 days after 25 years of service.
- +8 days after 30 years of service.
Sick Leave: Employees receive 5 days of paid sick leave annually.
Parental Leave:
- Maternity Leave: Female employees are eligible for 14 weeks of paid maternity leave.
- Paternity Leave: Fathers are entitled to 2 days of paid paternity leave as per labor laws.
Family-Related Leave:
- Marriage: 4 days
- Relocation: 1 day
- Child’s first communion: 1 day
- Child’s baptism: 1 day
- Child or sibling’s wedding: 2 days
- Death of a spouse or direct descendant: 5 days
- Death of a child or parent: 5 days
- Death of a parent-in-law: 2 days
Public Holidays: Employees are granted 14 paid public holidays annually in Ivory Coast.
MANDATORY EMPLOYEE BENEFITS
Unemployment Compensation: Under the 2015 labor law, businesses must provide severance pay for employees who are dismissed, provided they have not committed serious misconduct.
Workers’ Compensation: Employees are covered under social security for work-related illnesses and injuries, with no fixed eligibility period. Incidents occurring during commuting are also included.
Social Security Contributions:
- Family Benefits: 5% (Employer contribution)
- Maternity Insurance: 0.75% (Employer contribution)
- Workplace Injury & Occupational Disease Insurance: 2% to 5% (Employer contribution, depending on industry)
- Retirement Insurance: 14% (Employer 7.7%, Employee 6.3%)
Contributions apply to all earnings, including benefits in kind and allowances, except for expense reimbursements.
Contribution Limits:
- Monthly limit: XOF 70,000 for family benefits, maternity insurance, and workplace injury coverage.
Retirement Benefits: Employees are entitled to retirement benefits under the national social security system.
Healthcare Coverage: The Universal Health Coverage (CMU) program has two tiers:
- A general scheme requiring a monthly contribution of XOF 1,000 (split between employer and employee).
- A non-contributory scheme for financially vulnerable individuals.
Risk Insurance: Employers are legally required to provide risk insurance, commonly referred to as workers’ compensation.
OPTIONAL EMPLOYEE BENEFITS
Private Insurance & Retirement Plans:
- Private workers’ compensation is available.
- Private retirement plans can supplement state pension benefits.
- Private healthcare and life insurance plans are accessible for employees seeking additional coverage.
PERSONAL INCOME TAX
Tax Year: The fiscal year follows the calendar year.
Taxation System: Income tax is progressive, with rates varying based on income brackets.
Employee Income Tax:
- Salary Tax (IS): 1.5%, applied to 80% of gross salary, deducted by the employer.
- National Contribution (CN): Progressive rates from 0% to 10%, depending on income.
- General Income Tax (IGR): Ranges from 0% to 60%, factoring in deductions for dependents.
Tax Residency: An individual is considered a tax resident if they maintain a habitual residence or remain in Ivory Coast for over 183 days within a tax year.
Double Taxation Agreements (DTA): Ivory Coast has tax treaties in place to prevent double taxation.
PAYROLL ELEMENTS
Income & Allowances:
- Includes earnings from employment, businesses, investments, and rental properties.
- Bonuses are not mandated by law.
- Family Allowance: Provided for children aged 1 to 14 (up to 21 if studying or disabled), contingent on continuous employment.
- Personal Allowances: Tax deductions are available for dependents, structured according to household size.
Investment Income: Subject to taxation, covering dividends, interest, capital gains, and rental income.
Statutory Deductions: Employers are authorized to deduct social security contributions, income tax, and other permissible deductions such as union fees or pension contributions.
PAYROLL TAXES & EMPLOYER CONTRIBUTIONS
Payroll Taxes: Total taxable earnings, including salaries and benefits, are taxed at:
- 2.8% for local employees.
- 12% for expatriate employees.
Workers’ Compensation & Social Security Contributions: Rates are applied based on sector-specific conditions and are covered under the national system.
Unemployment Benefits: Employers must provide severance pay for employees dismissed without serious misconduct.
EMPLOYEE BENEFITS & STATUTORY REQUIREMENTS
Income & Retirement Benefits:
- Covered by social security, with options for early retirement.
- Survivor pensions are available for eligible dependents.
Family & Maternity Benefits:
- Prenatal and postnatal allowances are provided based on medical documentation.
- Household allowances are granted for up to three children.
- Family allowances extend support for dependent children in education or training.
Health Insurance: Employees contribute to the CMU system, with additional private healthcare options available.
Statutory Leave & Compensation: Employees are entitled to a probation period, annual leave, paid public holidays, sick leave, maternity leave, overtime pay, notice period, and severance pay.
