- Overview: Rwanda
- Global HR Compliance
- Global PEO and payroll
- Work permit for hiring expats via PEO
- Contractor vs. employee: which is better?
Global HR Compliance in Rwanda
If you hire an international workforce, or plan to hire, then Hiring and Firing Workforce in Rwanda Guide below will help you understand the nuances of labor legislation in the country.
When the company is planning to enter a new foreign market of Rwanda and has a need to employ a local national there, the first question to answer is how it is going to make local hires.
We have designed a Global Employer of Record service to help you outsource global employment of your foreign workforce to companies like ours.
This solution helps you employ your global sales force in Rwanda as well as in other countries of the world, and provide pay and benefits to your employees, as well as administer any business expenses with our help.
Our solution is different from other hiring modes in that it helps you engage your foreign workforce in full compliance with the local labor legislation. This means you are protected from any non-compliance and employee misclassification risks while we bear all employment risks, not you.
So, it looks very much like hiring your in-house sales force in your home country. However, you focus on only on your global business development while we admin your global HR. In addition, you don’t need to open your own entities in the foreign countries and can leverage our infrastructure in Rwanda instead. With our service, you can become a global company with reduced costs and minimized time and effort on your end.
Your employed foreign sales force will devote 100% of their time to your company product and may stay with you longer than foreign independent sales reps.
Global Employer of Record solution is 100% compliant solution that guarantees you and your employees fully compliance with local legislation in Rwanda .
We are experts in global workforce employment in Rwanda, and our goal is to become your single provider. Instead of working with numerous local staffing agencies and legal advisors, Acumen International can solve your global business challenges and save you time, costs, and resources.
Our team of English-speaking professionals frees you from working through language nuances. Acumen International works 24/7 and can assist you whenever you need, regardless of time zones. Our goal is to create tailored labor solutions for you that are managed legally and in full compliance with the local employment laws.
With our knowledge and deep understanding of local nuances, you easily satisfy your need for skilled professionals in your global industry. With our qualified local partners, you can trust that your global workforce satisfies all local tax, social security, and immigration requirements in Rwanda.
See Hiring and Firing Workforce in Rwanda Guide below for a general overview of labor rules and regulations in the country. Or contact us if you need to employ workers in Rwanda or would like to get more details.
Hiring and Firing Workforce in Rwanda Guide
# Employment contracts
A labour contract is concluded between an employer and an employee for a determinate, indeterminate period or for a well-defined work.
The contract is for a determined duration when its end is fixed in advance by both parties or depends on the occurring of a future and certain event, the achievement of which is not depending on the will of either or both parties.
The contract for a non-determined duration is a contract the end of which has not been fixed in advance and which may end at any time by the will of either of the parties due to sound reasons. When such a termination of contract gives rise to disputes, the injured party forwards the case to the competent juridical authority.
When the contract of employment is concluded for a determined duration, it cannot exceed two years. The contract of employment stipulating a longer duration is by law reduced to the maximum legal duration.
When at the end of a contract parties continue their performances, the contract turns into a contract for a non-determined duration. When they conclude many successive contracts of employment for a determinate period or a well-defined work, and the employee does not stop his work, such contracts are considered as contracts for a non-determined period, except when the employer proves that these contracts have been caused by the nature of work or other legally accepted reasons.
# Minimum (Statutory) Employment Rules and Regulations in Rwanda
# Hours of work:
In all companies, the legal employment’s duration cannot exceed 40 hours per week.
# Probation period:
There is a probation employment whenever the employer and the employee, with a view to conclude a definitive contract, decide beforehand to estimate notably, the first, the quality of the employee’s services and his output; the second, the conditions of work, living, pay, health and security at work as well as the social climate on the employer’s side. Probation employment or its renewal must be stipulated in writing and can only cover a maximum period of six months.
# Annual leave:
Any employee who has completed a one year effective service duration, has the right to an annual leave. The Labor Law specifies a yearly rest for all employees at the end of the year. Employees who are at all times have the right to leave for a period of 18 working days (one day and a half working each month). If the employee does less than 45 hours a week, his / her annual leave is paid according to the hours he has worked. An employee, under 18 years of age, has the right to a year-old vacation for two working days (24 days a year).
# Parental leave:
Female workers may be allowed for no more than 12 weeks of birth retirement. A female worker is required to make a decision by a physician who will determine the time she or she will spend, before starting the birth, and the birth certificate, after birth. A woman may start a break before the two weeks before the date of her appointment. A female employee who has died a child or a child dies within one month after birth is allowed for four weeks of rest at the time of the event (all of which are six weeks (6). Based on the policy, the birth penalty may be added to another six months after the doctor’s diagnosis of a failure to return to work has been added.
# Sick leave:
Employment of a worker is secure during the period of sick leave, i.e., six months. The employment contract is suspended for absence due to illness when it is certified by a qualified doctor.
All hours worked beyond that length of time are to be considered as overtime and are increased by such rates as fixed by a decree of the Minister having Labour in his/her attributions.
# State minimum salary:
No national minimum wage; Rwanda’s minimum wage rates range from 500 to1000 Rwandan francs per day ($0.83- in the tea industry and 1500 to 5000 francs a day ($2.50 to $8.30) in the construction industry.
# Employee dismissal:
Termination of the employment contract may be ended by one or both sides. It is performed in harmony or in the event of extreme violence. The party to terminate the agreement on the grounds of extreme violence should inform the other party within 48 hours. In the event of the purchase or departure before the agreement ends without the law, the party has begun to process a contract that will pay the same amount as the remainder of the period to make the contract and other payments to be paid.
Unlimited contracts (not specified at the expiration date) can be deducted from one side of a contract or a cash exchange in its place. Women may be exposed for legal reasons.
The law enforcement agency requires the employer to give the employees the right to terminate the agreement, even if they are suspended for serious errors. The warranty agreement must be made in writing and specify the reasons for the matter.
In order for a non-termination agreement to be processed, the deduction will be paid at the time of the employee’s work as follows;
- 15 days for employee less than a year; with
- one month for an employee who has spent more than a year.
The order is not intended to be initiated when there is a mutual agreement between the two parties or when there is a serious war or that the business disputes are dealt with during the trial period.The money line in the box is provided by one who has contracted the same amount as the salary and other benefits due to the employee as to which he or she should have been awarded in the past auction. What a worker is spending during the bid is double (2) when a breakdown of the contract is paid during the retirement period or during the employee’s expiry.
Acumen International can help you fast-track your possibilities of entering and expanding your business in Rwanda by providing you with our Employer of Record services. Our unique mix of PEO/EOR solutions will enable you to jumpstart your global operations almost immediately, cost-effectively and compliantly without any need to set up a legal entity first or afterwards.