Find your employer of record in Timor-Leste/East Timor

The labor law does not establish more common benefits for the citizens of Timor-Leste.

Foreigners who wish to enter the country for tourism or business must apply for the Ordinary Class I Visa. Thus, this visa will allow the bearer to have a stay of 90 days, valid for one year with one or more entries into the country. In addition, the visa allows the holder to enter the country to work temporarily with or without pay, as an employee, self-employed or professional.

An Employer of Record in Timor-Leste can help you manage work permits for foreign employees who require them.

In the country there are two VAT rates for wine and services, which are the following:

• Standard rate 2.5%.
• Zero rates 0%.

Termination Process

Labor termination processes can be managed by a Professional Employment Organization, which will depend on the following reasons:

• Common agreement between the parties.
• Termination of the employment contract at the initiative of the worker.
• Termination by the employer for just cause.
• Other reasons such as market, technological, or structural related to the commercial company.

Likewise, if the termination is by mutual agreement, a document must be prepared that both parties sign. Thus, all the terms that the termination has produced, the start date, and the compensation to be paid, if any, must be included.

Notice Period

In Timor-Leste, the notice period varies according to the worker's employment period in the company:

• Employees with between 3 and 6 months, 10 days of notice.
• Workers of more than 6 months that do not reach 1 year, 15 days of notice.
• 1 year or more, 30 days of notice.

For these and other processes within your company, contact an Employer of Record in Timor-Leste.

Severance Pay

Severance pay is easier if you hire PEO services. In this case, the employer will pay as follows:

• Employees with 3 months and less than 1 year, will receive 30 days of salary.
• Workers of more than 1 year but less than 2 years, will receive 60 days of salary.
• Workers of more than 2 years but less than 3, will receive 90 days of salary.
• Employees with more than 3 years will receive 120 days of salary.

Probation Period

The maximum trial period for a worker is 1 month. Also, if you want to hire staff for your company, hire a PEO, who can manage the test.

Paid Time Offs

The employee is entitled to a minimum of 12 vacation days. The administration of said vacations may be done by an Employer of record in Timor-Leste

Public Holidays

There are 18 national holidays throughout the year.

Vacation Holidays

There are 12 vacation holidays throughout the year.

Sick Days

Employees in Timor-Leste are entitled to a maximum of 18 days of paid sick leave every year. Also, if a work does not work for three days in a row, he/she must present a medical certificate from an authorized health center. Likewise, employees can take unused sick days to the next year (maximum 18).

You can manage this sick leave in our company with an Employer of record in Timor-Leste.