Find your employer of record in Lesotho

Based on the employment laws in Lesotho, employees are entitled to the following mandatory benefits:

• Annual leave.
• Overtime pay.
• Severance pay.

By opting for an Employer of record in Lesotho, you can ensure your business succeeds. Also, you can provide the best benefits to your employees. 

In Lesotho, there are several types of visas such as business, tourist, or student. Nevertheless, the country does not offer a specific work visa.

Therefore, foreign employees have to apply for a general tourist visa to be able to enter the country. Then, once they arrive, they have to apply for a work and residence permit.

Thus, they have to bring with them the following documentation:

• Valid passport.
• Passport photo.
• Proof of vaccination (yellow fever).
• Letter of invitation.
• Proof of accommodation in Lesotho.

An Employer of record in Lesotho can help you process the visas for your foreign employees in no time.

VAT in Lesotho varies depending on the following aspects:

• Exports and basic commodities: 0%
• Electricity: 9%
• Telecommunications: 12%
• Other goods and services: 15%

Termination Process

When it comes to contract termination, either party can decide to terminate it. So, employers have to provide written notice of termination in case of dismissal, stating the reasons to the employee.

Also, dismissal must be justified. Some of the valid reasons are fraudulent misrepresentation, not having the required skills, misconduct, or is based on operational requirements.

And, if the employee wants to request contract cancellation, he or she must submit also a written notice and comply with the notice period.

We understand that contract termination can be complicated in Lesotho. For this reason, having an EOR backing your operations.

Notice Period

The notice period in Lesotho varies depending on the months of service as follows:

• Less than six continuous months of service: one week.
• More than six straight months of service but less than a year: a fortnight’s notice.
• A year or more than a year: one month.

Nonetheless, it is important to point out that this notice period only applies to contracts without a limit of time. 

Severance Pay

Employees in Lesotho receive severance pay based on the length of service. Thus, it is as follows:

• An employee with more than a year of service with the same employer: two weeks’ wages for each year of service.

In case of dismissal due to misconduct, the employee is not entitled to severance pay.

Probation Period

In Lesotho, the probation period should not exceed four months. In case of termination during the probation period, it is only necessary a week of notice.

With a Professional employment organization, you can determine the best probation period for your employees.

Paid Time Offs

The annual leave in Lesotho should be a minimum of 12 working days. This is because every worker earns a working day holiday on full pay for each month worked in the company.

The employee may take his or her days off under agreement with the employer. Also, during the calendar year the holiday is due, the employee has to take at least a holiday of six continuous days.

To have better management of the paid time off of employees, it is best to count on an employer of record.

Public Holidays

There are 11 national holidays throughout the year.

Vacation Holidays

There are 12 vacation holidays throughout the year.

Sick Days

Sick leave in Lesotho, according to the law, varies depending on the months of service as follows:

• Employees that have been working for less than six continuous months for the same employer: any sick leave is unpaid.
• Employees that have six continuous months of service but less than a year in the same company: 12 days of full-paid sick leave.
• An employee with more than 12 months of service for the same employer: 12 days of full-paid sick leave plus 24 days of half-paid.