Madagascar Employer of Record & Payroll Services | Africa Deployments Madagascar

Africa Deployments Madagascar (ADS) provides comprehensive Employer of Record (EOR) and Payroll services in Madagascar, delivering tailored solutions for both locals and expatriates. We handle all aspects of employment, including full-time and fixed-term contracts, work permits, local work contracts, and HR best practices, ensuring your business complies with Madagascar’s employment laws.

Why Choose ADS for Employer of Record (EOR) & Payroll Solutions in Madagascar?

Our EOR and Payroll solutions are designed to simplify the process of hiring and managing employees in Madagascar. As your trusted EOR partner, ADS ensures seamless operations by handling critical tasks such as:

• Work Permits: We manage all aspects of obtaining work permits for your employees.
• Local Contracts: ADS issues local contracts to contractors and employees in compliance with Madagascar’s labor laws.
• Tax & PAYE Remittances: We ensure compliance by managing monthly tax and PAYE remittances to the Revenue Services.
• Timely Salary Payments: ADS guarantees that salaries are paid on time, and pay slips are issued accordingly.
• Insurance: We offer employee insurance packages, including medical, disability, life, and workmen’s compensation coverage.

Employment Contracts in Madagascar

Through our EOR services, we provide various employment contract options, including:

• Fixed Term Contracts
• Indefinite Term Contracts

Contracts must comply with local regulations, including:

• Written agreements in the official language and local currency
• Clear terms regarding salary, compensation, benefits, and termination

Taxation in Madagascar

• Taxable Income: Includes salaries, wages, allowances, bonuses, premiums, and other compensation.
• Exempt Income: Includes pensions, life annuities, and allowances for damages.

Social Security & Health Contributions

• Employee Contributions:
  • CNaPS: 5% of gross salary
  • CNAM: 1.5% of gross salary
  • National Pension Fund: 2% of gross salary
• Employer Contributions:
  • CNaPS: 12% of employee’s salary
  • CNAM: 3% of employee’s salary
  • National Employment & Vocational Training Fund: 1.5% of employee’s salary

Maternity and Paternity Leave

• Maternity Leave: 12 weeks (84 days), with pay equivalent to normal wages.
• Paternity Leave: 10 days per year for family events.

Leave Entitlements in Madagascar

• Annual Leave: Employees are entitled to 2.5 days of paid leave per month.
• Sick Leave: Up to 6 months, certified by a doctor.

Mandatory Bonus

Employees are entitled to an annual bonus amounting to 14% of their salary, paid in December.

Gratuity & Severance Payments

• Severance Pay: Entitled employees receive 10 days of earnings per completed service year, up to 6 months of earnings.
• Notice Period: Based on length of service, typically between 8 days and 6 months.

Fringe Benefits in Madagascar

• Canteen Expenses: Up to MGA 5,000
• Car Benefits: 15% of total monthly expenses
• Housing Allowance: Up to 50% of rent, capped at 25% of monthly salary
• Phone Allowance: 15% of total monthly expenses

Corporate & VAT Tax Rates in Madagascar

• Corporate Tax Rate: 20%
• VAT/Sales Tax: 20% on most goods and services

Public Holidays in Madagascar

• January 1 – New Year’s Day
• March 8 – Women’s Day
• March 29 – Martyrs’ Day
• April 10 – Easter Monday
• April 21 – Eid al-Fitr
• May 1 – Labour Day
• May 18 – Ascension Day
• May 29 – Whit Monday
• June 26 – Independence Day
• June 28 – Eid al-Adha
• August 15 – Assumption of Mary
• November 1 – All Saints’ Day
• December 25 – Christmas Day

Industries We Serve in Madagascar

• NGOs & Non-Profits
• Engineering & Construction
• Government & Development Agencies
• Oil & Gas
• FMCG & Manufacturing
• Private Equity, Finance, Insurance & Banking
• Mining
• Agriculture

Double Tax Treaties in Madagascar

• Canada 🇨🇦
• France 🇫🇷
• Mauritius 🇲🇺
• Morocco 🇲🇦

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• Contact Us
  For detailed assistance with Employer of Record (EOR) services in Madagascar, including specific payroll and employment solutions tailored to your needs, contact our team at Africa Deployments.