Jamaica

• New Year's Day
• New Year Holiday
• Ash Wednesday
• Good Friday
• Easter Monday
• Labour Day
• Emancipation Day
• Independence Day
• National Heroes Day
• Christmas Day
• Boxing Day

Working Hours

The standard working hours are 40 hours per week. Employees can work up to 12 hours a day with mutual consent.

Minimum Wage

Effective 1 June 2024, the minimum wage for a 40-hour work week is JMD 15,000 per week, and JMD 375 per hour.

Employee Tax

Annual income	Tax rate
Up to JMD 1.5 million	0%
JMD 1.5 million - 6 million	25%
More than JMD 6 million	30%
National insurance scheme contribution	3%
National housing trust contribution	2%
Education tax	2.25%

Bonuses

There are no statutory bonus schemes in Jamaica.

Both indefinite and fixed-term contracts are permitted in Jamaica. There are no restrictions on the length or number of renewals of a fixed-term contract.

Annual Leave

Employees who have worked for at least 110 days within a year are entitled to paid annual leave.

Those who work up to 220 days per year are entitled to one day of paid holiday for every 22 days worked. Those who work more than 220 days per year are entitled to two weeks’ paid holiday per year, rising to three weeks after ten years of service.

Sick Leave

Employees with more than 110 days of service may be granted one day of paid sick leave for every 22 days they have worked. After 12 months of service, the employee is entitled to two weeks’ sick leave with pay.

Parental Leave

• Maternity leave: at least eight weeks' paid leave, plus four weeks' unpaid leave.
• Paternity leave: Provisions for paternity leave in Jamaica are for the public sector, with male employees entitled to 20 paid working days for paternity leave. In the private sector, there are no legal provisions that govern issuance of paternity leave.

Termination Process

Employers in Jamaica are permitted to terminate employment due to redundancy or for just cause.

Labour law does not specify what constitutes cause in Jamaica, so advice must be sought on a case-by-case basis to determine whether termination would be justified.

In some cases, employers can give notice or compensation to terminate the contract. This also applies to employees.

Severance Pay

Employees with at least two years of service are entitled to severance pay.

Severance is paid at two weeks’ pay per year for the first ten years of employment, rising to three weeks’ pay for each year thereafter.

Under a Mauve Group Employer of Record solution, clients and workers can reap the benefits of Mauve’s Global Master Insurance Programme – a market-leading unified corporate insurance programme that connects all Mauve entities to its two preferred providers.

The insurance provides coverage in overseas locations through a combination of the master policy and its linked local policies, where required by law in certain jurisdictions.  The policies include:

• Employer’s Liability and Public Liability - £10,000,000 combined limit.
• Professional Indemnity - £5,000,000 limit.
• Worker’s Compensation – Limit is dependent on location of work.

For specific information about statutory and recommended insurances in your chosen country, get in touch with Mauve.