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Labor Laws in Djibouti

  • Annual Leave: 30 days
  • Maternity Leave: 14 weeks
  • Public Holidays: 10
  • Workweek: 48 hours per week.

Income Tax in Djibouti

Individual income taxes are progressive, ranging from 2% to 30% based on the worker’s earnings.

Value Added Tax (VAT) in Djibouti

The standard rate of VAT is 10%

Social Security in Djibouti

Social security contributions for employers and employees are as follows:

Employer Contributions

  • The employer is required to pay social security contributions in respect of an employee’s total salary at a rate of 15.7%, including contributions for the family allowance (5.5%), health and professional injuries (6.2%), retirement pension (4%) and mandatory health insurance (2%).
  • The contributions for social security are calculated on the total salary, including fringe benefits, and are capped at DJF400,000 per month.

Employee Contributions

  • The employee also must contribute 4% of their salary.

Work Visas in Djibouti

To live and work in Djibouti, foreign employees will need three documents

  • Entry visa
  • Residence permit
  • Work permit

The Residence Permit functions as an identity card for foreign nationals.

Before traveling to Djibouti, foreign employees will need to obtain an entry visa.

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