Tunisia

Tunisia Employer of Record & Payroll

Africa Deployments Tunisia offers Employer of Record (EOR) services covering all regions within Tunisia. Services include:

  • Full-time employment or fixed-term contracts for locals or expatriates.
  • Work permit management under ADS’s umbrella.
  • Issuing local work contracts to contractors.
  • Advising on best HR practices for employee setup in Tunisia.
  • Managing local tax & PAYE remittances to the Revenue Services monthly.
  • Ensuring timely salary payments and issuing payslips.
  • Offering additional employee benefits such as Medical, Disability, Life, and Workmen’s Compensation Insurance.

General Information about Tunisia:

  • Population: 12.26 million (2021)
  • Currency: Tunisian Dinar
  • Capital: Tunis
  • Language: Arabic
  • GDP: 46.69 billion USD (2021)
  • Industries: Services and Industry

Language Spoken in Tunisia:

  • Modern Standard Arabic (Literary Arabic) is the official language.
  • ±93% of the population speaks Tunisian Arabic.
  • Many Tunisians also speak French.

Employment Contracts in Tunisia:

  • Fixed-Term Contracts
  • Indefinite-Term Contracts
  • Contracts and Offer Letters must:
    • Be in writing.
    • Be in the official local language and local currency.
    • Include salary, benefits, and termination requirements.
  • Full-time employees:
    • Have specific working terms and conditions.
    • Can be eligible for organizational perks and benefits.
    • Are generally more focused and familiar with the business.
    • Probationary period: 6 months (standard) to 12 months (maximum, generally for executives).

Taxable Income in Tunisia:

  • Individuals working and living in Tunisia for more than 183 days a year are subject to local taxes.
  • The tax year runs from February 1 to March 25 of the following year.
  • Any income earned in cash, wages, salary, overtime, leave pay, commissions, gratuity, bonus, or any other benefits is taxable.

Income Exempt from Taxes:

  • Net taxable income below TND 5,000 per month is not taxable.
  • Emoluments payable to employees of the East African Development Bank (effective July 1, 1997).

Standard Working Hours and Overtime:

  • Workweek: Capped at 48 hours (can be reduced to 40 hours under specific policies).
  • Overtime Eligibility:
    • Employers must obtain explicit permission from the Labor Inspector for overtime work.
  • Overtime Pay:
    • Depends on whether the employee is on a 40-hour or 48-hour workweek.
    • Total working hours (regular + overtime) must not exceed 10 hours per day and 60 hours per week.

Mandatory Payroll Contributions:

Employee Contributions:

  • Caisse nationale de sécurité sociale (CNSS): 9.18%

Employer Contributions:

  • Caisse nationale de sécurité sociale (CNSS): 17.07%

Maternity and Paternity Policy:

  • Maternity Leave:
    • Minimum 14 weeks (6 weeks compulsory after childbirth).
  • Paternity Leave:
    • 3 working days immediately after delivery or miscarriage.

Types of Leave in Tunisia:

  • Annual Leave:
    • 2 days per month or 24 working days per year.
  • Sick Leave:
    • Paid after a 5-day waiting period for up to 180 days per year.

Mandatory Bonus (13th Month Pay):

  • Not mandatory but may be included in contracts.
  • Bonuses based on performance are common.
  • Additional bonuses may be stipulated under collective bargaining agreements.

Gratuity / Severance Pay in Tunisia:

  • Severance pay cannot exceed three months’ salary.
  • Employees are entitled to severance pay except in cases of serious misconduct.
  • Fixed-term contracts:
    • End at the term’s completion or upon work completion.
  • Indefinite-term contracts:
    • Can be terminated by mutual consent, force majeure, or employee’s death.

Fringe Benefits in Tunisia:

  • Allowed, but subject to PAYE tax.
  • Benefits not convertible to cash are tax-exempt.
  • Employer-covered expenses (e.g., mobile phone) must be subject to PAYE tax.

Probation Period:

  • Workers (non-supervisory roles): Up to 6 months
  • First-line supervisors: Up to 9 months
  • Executives: Up to 1 year

Corporate and VAT / Sales Tax Rates in Tunisia:

  • Corporate Tax: 15%
  • VAT / Sales Tax: 19% (on most goods and services)

Public Holidays in Tunisia:

  • January 1 – New Year’s Day
  • March 20 – Independence Day
  • April 9 – Martyrs’ Day
  • April 22-24 – Aïd El-Fitr
  • May 1 – Labour Day
  • June 29-30 – Aïd El Kebir
  • July 19 – Ras el am el Hejri
  • July 25 – Republic Day
  • August 13 – Women’s Day
  • September 27 – Prophet Mohammed’s Birthday
  • October 15 – Evacuation Day
  • December 17 – Revolution and Youth Day

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

Reach Out to us, lets chat about how we can assist

OTHER Countries we service