Capital City
Dakar
Currency
West African CFA franc
(
CFA
)
Timezone
GMT
Payroll Frequency
monthly
Tax Year
1 January - 31 December
Employer Tax
18.40% – 31.50%
Languages
French
Capital City
Dakar
Currency
West African CFA franc
(
CFA
)
Timezone
GMT
Payroll Frequency
monthly
Tax Year
1 January - 31 December
Employer Tax
18.40% – 31.50%
Languages
French
Hiring in Senegal offers numerous advantages for businesses looking to expand in West Africa. The country boasts a strategic geographic location, serving as a gateway to both regional and international markets.
With a stable political environment and improving infrastructure, Senegal provides a conducive atmosphere for business growth and investment.
Additionally, the country's rich cultural heritage and diverse workforce contribute to a dynamic and vibrant business ecosystem.
Furthermore, Senegal offers various incentives for foreign investors, including tax breaks and investment-friendly policies, making it an attractive destination for companies seeking to tap into Africa's growing economy.
Businesses can only operate smoothly in Senegal if they comply with local labor laws including drafting compliant employment contract agreements and meeting taxation and payroll obligations. Learn more about the employment laws and regulations in Senegal below, to avoid any compliance issues.
When hiring an individual in Senegal, it is required to provide a written contract specifying the following details regarding:
We can help you get a new employee started in Senegal quickly, with a minimum onboarding time of just 1-2 working days. The timeline starts once the employee submits all required information onto the Playroll platform and completes any necessary local authority registrations. For non-nationals, the Right to Work assessment (if applicable) may add up to three extra days. Additional time may be needed for follow-ups on this assessment. Please note, payroll cut-off dates can impact the actual start date. Playroll's payroll cut-off date is the 10th of each month unless otherwise specified.
The regular work schedule in Senegal comprises 40 hours distributed across a maximum of 6 days per week.
In Senegal, overtime compensation is provided for any work exceeding the standard weekly working hours, as outlined in employment contracts or collective agreements. The maximum allowable overtime hours per year are capped at 100. Overtime pay rates vary based on specific criteria:
In Senegal, the standard probation period is three months for executives and one month for non-executives.
1 January - 31 December is the 12-month accounting period that businesses in Senegal use for financial and tax reporting purposes.
The payroll cycle in Senegal is usually monthly, with employees being paid as per the employment contract.
The minimum wage for employees in Senegal is typically 209.10 XOF per hour, amounting to ~106,811 XOF per month for a typical 40 hour work week.
In Senegal, while there is no statutory requirement to pay the 13th or 14th month salary, it is customary to pay the 13th salary at the end of the year.
Employer payroll contributions are generally estimated at an additional 18.40%- 31.50% on top of the employee salary in Senegal.
In Senegal , the typical estimation for employee payroll contributions cost is around 8.00% - 13.50%%.
In Senegal, the taxation system operates under 'Pay As You Earn' for income tax, with rates ranging from 0 to 43%, calculated based on progressive rates.
The formal pension system in Senegal comprises two mandatory retirement schemes: the civil-service pension scheme for civil employees and the pension scheme for private sector employees. These unfunded, pay-as-you-go defined benefit schemes are tied to formal employment.
The annual leave entitlement in Senegal is 24 Days for a full time worker. These can include public holidays on top of that or within those days, which would otherwise be unpaid.
Religious holidays are determined by the lunar cycle and will show as tentative until they are confirmed nearer the date of the holiday.
Employees are entitled to 24 days of paid annual leave.
Employees in Senegal receive 14 weeks of fully paid maternity leave, covered by Senegal's Social Security or government. Maternity leave can commence six weeks prior to the anticipated due date and extends for eight weeks after childbirth.
Under the interprofessional collective agreement, fathers covered therein are eligible for 1 day of paid paternity leave following the birth of a child.
In Senegal, sick leave is paid and dependent on the following: Senegalese workers who have served 6 months within a company are eligible for 5 days of paid sick leave annually.
Senegal's labor laws provide distinct leave entitlements for mothers and fathers, without a shared parental leave policy.
In Senegal, employers can end a fixed-term contract for any of the following reasons:
In Senegal, the notice period for termination varies based on the job role and industry:
Severance pay in Senegal varies from 25% to 40% of the 12-month average wages per year of service, depending on tenure and any collective bargaining agreements in place.
Disclaimer
THIS CONTENT IS FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSTITUTE LEGAL OR TAX ADVICE. You should always consult with and rely on your own legal and/or tax advisor(s). Playroll does not provide legal or tax advice. The information is general and not tailored to a specific company or workforce and does not reflect Playroll’s product delivery in any given jurisdiction. Playroll makes no representations or warranties concerning the accuracy, completeness, or timeliness of this information and shall have no liability arising out of or in connection with it, including any loss caused by use of, or reliance on, the information.
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