Ireland
Introduction
General overview & country facts, as well as labour regulations.
Employer Contributions
These are additional costs incurred by employers over and above the employee’s monthly gross salary and/or bonus.
Employee Contributions
These are costs incurred by employees that reduce their monthly gross salary and/or bonus to determine their net “take home” pay.
Employment Terms
All you need to know about salary & bonuses, working hours & overtime, probation period, notice period & severance pay, as well as all leave types.
COUNTRY PLAYBOOK
Ireland
Everything you need to know about payroll, benefits & hiring top talent in Ireland
Currency
Euro (EUR)
Salary payment frequency
Weekly or Monthly
Capital
Dublin
Time Zone
GMT
Official Languages
Irish
Is English spoken?
Yes
Quick Links
Introduction
General Overview & Economic Facts
- Ireland (Éire), also known as the Republic of Ireland (Poblacht na hÉireann), is a country in north-western Europe
- It spans an area of 84 421 km2 (32,595 square miles) and has a population of approximately 4.9 million
- Ireland’s economy ranks 28th by nominal GDP (2021) and 44th by PPP (2021)
- It is amongst the top ten wealthiest countries in the world and ranks highly in human development, freedom of the press, economic freedom and civil liberties
- Ireland ranks 2nd on the HDI (2019)
Why Employ In Ireland?
- The main exports from Ireland are chemicals, pharmaceuticals, essential oils and perfume materials
- 12.08% of the population is between the ages of 15 and 24 years, with 42.19% of the population being between the ages of 25 and 54. Ireland has a fairly youthful population, making it a favourable country to employ young, energetic employees
Overview of the Labour Law
- Irish employment law is contained in several legal instruments. These include the common law, collective labour agreements, the Irish Constitution, European Union laws, and Acts statutes
- The regulations deal with matters relating to minimum wage, leave, working hours, severance and notice periods
- Employment law provides strong labor conditions and protections for employees
Fun Country Facts
- The Titanic was built in Belfast, Northern Ireland
- Halloween has its origins in the Celtic harvest festival of Samhain that took place in Ireland
- The submarine was invented in Ireland by John Philip Holland
Why Use Playroll Services For Ireland?
- Employing in Ireland requires companies to have their own legal entity in the country as well as to manage payroll, employee benefits, taxes and legal compliance. This can get quite complicated, especially with the complexity of employment laws in Ireland.
- With Playroll’s Employer of Record services, your team will be employed by our established legal entities in each country.
- We will take care of payroll, employee benefits, taxes, legal compliance and provide ongoing employee support, so that you can focus on growing a thriving team.
Employer Contributions
These are additional costs incurred by employers over and above the employee’s monthly gross salary and/or bonus.
Social Security
Called Pay Related Social Insurance (PRSI) in Ireland
Calculated on total monthly earnings
PSRI contributions are determined by the employee’s category:
Class A- People in industrial, commercial and service-type employment who are employed under a contract of service with reckonable pay of €38 or more per week from all employments; and civil and public servants recruited from 6 April 1995.
Class A0- earning EUR 38.00 – EUR 352.00 per week
8.80%
Class AX- earning EUR 352.01 – EUR 410.00 per week
8.80%
Class AL- earning EUR 410.01 – EUR 424.00 per week
11.05%
Class A1- earning EUR 424.01 or more per week
11.05%
Employee Contributions
These are costs incurred by employees that reduce their monthly gross salary and/or bonus to determine their net “take home” pay.
Social Security
Called Pay Related Social Insurance (PRSI) in Ireland
Calculated on total monthly earnings
PSRI contributions are determined by the employee’s category:
Class A- People in industrial, commercial and service-type employment who are employed under a contract of service with reckonable pay of €38 or more per week from all employments; and civil and public servants recruited from 6 April 1995.
A PRSI credit applies to if employees have earning between EUR352.01 and EUR424 per week.
Class A0- earning EUR 38.00 – EUR 352.00 per week
0.00%
Class AX- earning EUR 352.01 – EUR 410.00 per week
4.00%
Class AL- earning EUR 410.01 – EUR 424.00 per week
4.00%
Class A1- earning EUR 424.01 or more per week
4.00%
Universal Social Charge
Calculated on total monthly earnings.
Employees must earn at least EUR13,000.00 per year to be liable for this tax.
Earning bracket per annum
0 – 12,012.00 per year
0.50%
12,012.01 – 21,295.00
2.00%
21,295.01 – 70,044.00
4.50%
70,044.01 per year or more
8.00%
Income Tax
Income Tax is ‘Pay As You Earn’
Income bracket per annum
Single, earning EUR 0.00 – EUR 36,800.00
20% + 40% of income in excess of EUR 36,800.00
Married couple/civil partners, one income earning EUR 0.00 – EUR 45,800.00
20% + 40% on income above EUR 45,800.00
Married couple/civil partners, two incomes earning EUR 0.00 – EUR 73,600.00
20% + 40% on income above EUR 73,600.00
Employment Terms
General
Minimum Wage
- Age 20 and older- EUR 10.50 per hour
- Age 19- EUR 9.45 per hour
- Age 18 and older- EUR 8.40 per hour
- Age 17 and younger- EUR 7.35 per hour
Working Hours
- Maximum of 48 hours per week
- Minimum of 15-minute meal interval after 4.5 hours of work, minimum of 30-minute meal interval after 6 or more hours of work
- Typical working hours start at 09h00 and end between 17h30, Monday to Friday
Overtime
- Any work in excess of 48 hours is considered overtime
- There is no statutory overtime pay, however, many employers pay employees higher rates of pay for overtime
Notice Period
- Employed between 13 weeks and 2 years- 1 weeks’ notice
- Employed between 2 and 5 years- 2 weeks’ notice
- Employed between 5 and 10 years- 4 weeks’ notice
- Employed between 10 and 15 years- 6 weeks’ notice
- Employed for 15 or more years- 8 weeks’ notice
Severance Pay
- 2 weeks’ pay for every year of employment, capped at EUR 600.00 per week
Probation Period
- No statutory probation period
- Employees can expect a probation period of 3 to 12 months
Bonus
- There is no statutory bonus
Public Holidays
Public holidays 2022
- January 1st – New Year’s Day
- March 17th – St Patrick’s Day
- April 18th – Easter Monday
- May 2nd – May Day
- June 6th – June Bank Holiday
- August 1st – August Bank Holiday
- October 31st – October Bank Holiday
- December 25th – Christmas Day
- December 26th – St. Stephen’s Day
Leave
Paid Leave / Vacation Days
- Paid leave
- Paid by employer
- Minimum of 4 weeks per year
Sick Leave
- No statutory sick leave
- Employers should determine their own sick leave policy
Maternity Leave
- Unpaid leave
- Maternity benefit may be paid by Social Security if enough contributions to Social Security have been made
- Minimum of 26 weeks, maximum of 42 weeks
Paternity Leave
- Unpaid leave
- Paternity benefit may be paid by Social Security if enough contributions to Social Security have been made
- 2 weeks per year
Parental Leave
- Unpaid leave
- 26 weeks
Adoption Leave
- Unpaid leave
- Employees may be entitled to Adoptive Benefit
- Minimum of 26 weeks, maximum of 42 weeks
Carer's Leave
- Unpaid leave
- Carer’s Benefit or Carer’s Allowance may be paid by Social Security if enough contributions to Social Security have been made
- Minimum 13 weeks, maximum 104 weeks
Start hiring in Ireland today!