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$249/month
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Eritrea is a small country located on the African coast of the Red Sea, bordering Sudan, Djibouti, and Ethiopia. This country of just over 3.7 million has a complicated history, having been colonized by Assyria, Italy, Great Britain, and Ethiopia. In 1993, it gained full independence from Ethiopia but has since been ruled by a single-party government with no elections since then.
In 2018, UN sanctions against the country were lifted, and it began to normalize relations with its neighbors. Since then, the country’s economy has grown slowly, with a GDP rise of 2.5% in 2021, 2.3% in 2022, and 2.9% (estimated) in 2023. This development has been driven by services and exports of mined metals that have increased in price. The country’s GDP is expected to grow by 3.1% in 2024. While Eritrea still has much development to do, its people are ready to work now, and partnering with an EOR may be the best way to hire them.
Hire in Eritrea, and pay employees through our platform or app.
Our Eritrea EOR solution is the most affordable on the market.
Fast Eritrea onboarding, hire in as little as 24 hours.
We draft compliant Eritrea labor contracts.
We manage all Eritrea mandatory benefits.
It doesn’t stop with Eritrea — we hire employees globally.
An EOR in Eritrea is an employer of record that works in that country to help companies manage and hire Eritrean workers. Since the EOR is registered as a business entity in Eritrea, it can hire workers directly on behalf of client companies that don’t have their own entities. This makes hiring and employment much easier and more efficient. In addition to hiring, EORs also provide many other services, including recruitment, negotiation assistance, contract creation, payroll management, benefits administration, leave scheduling, and more. They’re paid regularly by their clients to perform these ongoing human resources (HR) functions on their behalf.
You may have also seen this type of service provider referred to as a PEO or professional employment organization. These terms are often used interchangeably and refer to similar service providers.
It can be very difficult to hire Eritrean employees on your own. By working with an Eritrea EOR, you can leverage its experience and professional knowledge. Some of the advantages of working with an EOR in Eritrea include:
Horizons stands out as a Eritrea EOR through:
Working with an EOR in Eritrea creates a tripartite relationship between your company, the EOR, and the employees you desire to work for you. This organization will typically provide the following services for you, its client:
Eritrea’s labor laws are developing along with those of the country. Little information about them can be found in foreign language legislation, including the Constitution of Eritrea of 1997, the Labor Proclamation of Eritrea of 2001, and other orders and proclamations. While a foreign-based company may be inclined to hire employees on its own, these laws may be hard to find and follow. Leveraging an EOR’s expertise is generally a much better solution. However, client companies should still know the main points of Eritrean labor law so they understand the working conditions and entitlements they’ll need to provide for their workers.
Employment contracts in Eritrea may be oral or written. Their periods may be definite (fixed-term) or indefinite (permanent). Anyone over the age of 14 can enter into an employment contract in Eritrea.
No probationary period.
At completion of the project.
Not applicable
Typically 45 days
Not applicable
Prorated (based on the remaining contract)
Typically 45 days
7 to 14 days
1 month salary per year of service
Regular working hours are limited to eight hours a day, six days a week, for a total of 48 hours. Employers can require overtime, but only for two hours per day—more than that must be performed with the employee’s agreement.
125% of the standard hourly rate
150% of the standard hourly rate
200% of the standard hourly rate
There are normally 16 paid public holidays in Eritrea, including religious (Christian and Islamic) and national days. Employees are entitled to these days off with pay. Employees who work on these days must be paid 250% of their normal wages.
Date | Holiday name |
---|---|
1 Jan 2025 | New Year’s Day |
7 Jan 2025 | Orthodox Christmas Day |
19 Jan 2025 | Timket |
8 Mar 2025 | International Women’s Day |
30 Mar 2025 | Eid al-Fitr (Tentative Date) |
31 Mar 2025 | Eid al-Fitr Holiday (Tentative Date) |
18 Apr 2025 | Coptic Good Friday |
20 Apr 2025 | Coptic Easter |
1 May 2025 | International Workers’ Day |
24 May 2025 | Independence Day |
6 Jun 2025 | Eid al-Adha (Tentative Date) |
20 Jun 2025 | Eritrea Martyrs’ Day |
1 Sep 2025 | Eritrea Revolution Day |
5 Sep 2025 | The Prophet’s Birthday (Tentative Date) |
11 Sep 2025 | Eritrean New Year |
27 Sep 2025 | Meskel |
25 Dec 2025 | Christmas Day |
Employees are entitled to short breaks to rest during and for meals, but these breaks are not paid. Employees are entitled to one period of rest of 24 hours per week. This should normally be on Sundays but can be replaced by another day if an enterprise requires work on Sundays.
no leave entitlement
14 days of paid leave annually
14 days of paid leave annually
14 days of paid leave annually
Employees are entitled to six months of sick leave in any 12-month period. The first month is paid at 100% of normal salary, the next two months are paid at 50%, and the next three months are not paid. A worker cannot be terminated during this period.
(percentage of regular wages owed to the employee)
no leave entitlement
3 to 12 months
3 to 12 months
3 to 12 months
Unpaid (unless specified in the employment contract or collective bargaining agreement)
Unpaid (unless specified in the employment contract or collective bargaining agreement)
Unpaid (unless specified in the employment contract or collective bargaining agreement)
In order for employees to receive the full wages due to them, workers must present a valid medical certificate from a certified doctor to their employer.
Expecting mothers are entitled to sixty days of fully paid maternity leave.
Employees are entitled to 14 working days of paid leave after their first year of work. After each subsequent year of work, a day of leave is added to their annual entitlement up to a limit of 35 working days.
In cases without gross misconduct or negligence, notice of termination must be given according to seniority:
Severance is paid according to seniority. Workers receive:
Social security system is designed to provide financial protection to workers in cases of old age, disability, and other social risks. The compulsory social security contributions are governed by the Labour Proclamation No. 118/2001 and other relevant regulations.
These contributions provide financial protection in cases of old age, disability, and other social risks.
Social security contributions generally apply to both local and foreign employees. However, there may be some specific considerations or exemptions based on bilateral agreements or the employment contracts of foreign nationals.
Individual income tax in Eritrea is progressive, with rates ranging from 2% to 38% depending on the level of income. Taxable income includes various sources such as salaries, business income, and rental income, with potential deductions available to reduce taxable income.
Eritrea’s healthcare system is primarily supported by government-provided services and social security contributions. While there is no comprehensive national health insurance scheme, the government subsidizes public healthcare to make it more affordable. Private health insurance options are limited and generally only accessible to expatriates and higher-income individuals.
The minimum monthly salary for public sector workers is 360 ERN (Eritrean nakfa) per month (about 25 USD per month). Workers must be paid in the local currency. If they work overtime, their hours are paid at 125% of normal wages until 10:00 p.m. For night work from 10:00 p.m. to 6:00 a.m., overtime is paid at 150% of normal wages. Overtime on a rest day is paid at 200% of normal wages.
A 13th-month annual bonus is not mandatory in Eritrea, though some employers may offer this bonus as an added incentive to workers.
Both employers and employees are required to make social security contributions, with typical rates being around 11% for employers and 7% for employees. These contributions provide financial protection in cases of old age, disability, and other social risks.
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Eritrean labor laws are complex and written in the local language. EORs can manage compliance with these laws by carefully preparing legal contracts, managing payroll and deductions, and monitoring working conditions. They also keep appraised of any changes in local legislation that may occur.
Hiring through an EOR can introduce complications like using different software systems and languages for communication. Some companies also feel that their workers are not in their direct control when they hire them through an EOR.