How to hire remote employees in

Jamaica

On this page, you’ll learn how to hire remote talent in Jamaica without running into months or onboarding, legal struggles, and fees. Learn the obligations, risks, and the easiest path to hiring great talent abroad.

Book demo

Country snapshot

CURRENCY

Jamaican Dollar (JMD)

EMPLOYER TAXES

12.50%

PAYROLL FREQUENCY

Monthly

OFFICIAL LANGUAGE

English

Why hire independent contractors in Jamaica

Hiring contractors is normally the easier, faster, more flexible choice—but don’t just take it from us. Below are the specific benefits and drawbacks to hiring contractors in Jamaica.

It’s the fastest way to hire globally

Hiring employees takes months, at the minimum. When you hire with Thera's locally-generated contracts, it’s a matter of days or weeks. This means you can hire the best talent, fast, without losing them to a hellish procession of paperwork.

It’s a lot cheaper

It costs just $0 to sign up for Thera, then $25 per month to hire your contractors with Thera. If you hired employees manually (or did contracting on your own), you’d likely be on the hook for thousands of dollars each month. Setting up an entity alone can cost tens of thousands of dollars.

It’s more flexible for you & your team

HHiring contractors in Jamaica means you’re generally not on the hook for things like health insurance and paid time off. This makes hiring flexible for you, and it gives your talent more options.

Can be less risky than hiring employees

Hiring employees is a bigger commitment, and can open you up to increased liabilities and regulations. When you hire contractors overseas, your biggest risk is misclassification—but laws surrounding contractor classification are often significantly more straightforward.

Some people want to be employees

The contractor life isn’t for everyone—some people want the security that being an employee often appears to provide. Though it’s rare, this does happen, and it’s one disadvantage of manage an all-contractor team.

You might not have as much control over your talent

Most countries’ contractor-employer relationship laws stipulate that the employer can’t set fixed working hours, among other things. These laws give contractors more freedom over how and when they do their work than an employee would have. In reality, however, most contractors are willing & able to work on the company’s schedule—it’s a matter of setting expectations beforehand.

What to know before you hire in Jamaica

Jamaica: A gorgeous country with plenty of great remote talent. If you want to hire there, you’ll have to make a choice: Employee, or contractor? Below are the key differences between the two/

If you want to successfully hire in Jamaica, you have two options:

Hire talent as contractors

Laws about hiring contractors are significantly more simple in Jamaica. Onboarding talent takes days, not weeks or months. Both you, the company, and your talent have more flexibility. And in many cases, since you’re remote, the talent you’re hiring is better classified as a contractor, anyway. Of course, it’s not possible in every case, but it’s what we built Thera for.

Hire talent as employees

This is the long route. You can either establish a physical presence with an entity and register as an employer, or you can use an Employer-of-Record (EOR) solution. Odds are, you’ll find using an EOR to be the easier route. Still, using an EOR in Jamaica is expensive—it can often be $500 per month per employee—and sometimes prone to lengthy onboarding times.

Hire contractors in a couple clicks with Thera

How can I pay people in Jamaica

If you’re hiring contractors in Jamaica, you can pay them with Thera in a single click. You won’t need to worry about complicated wire transfers, fees, or currency conversions. We’ll take care of it all. Just make a click and your contractor will get paid in their currency of choice. This is a valuable bonus for talent in countries where the local currency is particularly weak—most people appreciate the ability to receive their payment in stronger currencies.

If you want to hire employees in Jamaica

If you’ve read up until this point, you’ll know that it’s easier, cheaper, and more flexible to hire contractors in Jamaica than employees. Still, there are valid reasons why you might want to hire employees instead. The content below is for you—we’ll cover employer taxes and obligations in Jamaica.

Taxes in Jamaica

Employer tax

National Insurance Scheme (NIS)

National Housing Trust (NHT)

Education Tax

Human Employment & Resources Training (HEART)

Leave

Paid Time Off (PTO)

PTO is calculated by the:

  • Employees are granted 2 weeks of paid leave per year.
  • 3 weeks of paid leave is granted to employees with over 10 years of continuous service.  

Public Holidays

There are 10 public holidays.

Sick Days

The duration of sick leave entitlement provided to workers is dependent on how long they have been employed by their employer:

  • Employees are entitled to 10 days of paid sick leave after 110 days of employment. 

Maternity Leave

Employees receive 56 days of paid maternity leave.

For employees to receive benefits they must have 52 weeks of continuous employment and provide notice to the employer.

Paternity Leave

No Statutory Requirements.

Parental Leave

No Statutory Requirements.

Other Leave

None.

Marriage Leave

None.

Bereavement Leave

None.

Termination

Termination Process

Employers should provide a written statement or notify termination in front of a credible witness.

A notice of termination must also be given.  

Notice Period

The notice period in Jamaica is:

Employers are required to provide notice determined by the length of employment.

  • Up to 5 years of employment entitles workers to 2 weeks’ notice.
  • 5-10 years entitles workers to four weeks’ notice.
  • 10-15 years entitles workers to 6 weeks’ notice.
  • 15-20 years entitles workers to 8 weeks’ notice.
  • 20 + years entitles workers to 12 weeks notice.

Severance Pay

Severance pay is only required for cases of redundancy. Severance for redundancy is 2 weeks’ pay per year for the first 10 years and 3 weeks´ pay per year, from the 10th year onwards.  

Probation Period

There is no requirement for a probationary period, however, collective agreements generally stipulate a 3 to 6-month period.

Employee requirements in Jamaica

Working Hours

Full-time employment is considered 40 hours weekly. Hours may be spread over 5 days if the worker chooses.

Overtime

Overtime is defined as work exceeding 40 weekly hours, work on a rest day, or work on a holiday.  

Overtime pay is 150% the normal pay for each additional hour worked, or whatever contractual agreement the employee and employer have agreed upon.  

Double time is paid on Sunday and Public Holidays.

Run your global workforce on autopilot with Thera

Book a demo to get started.