HR and payroll management in Mauritius: a structured legal framework
Managing human resources and payroll in Mauritius requires an in-depth knowledge of the local legal framework. The Workers' Rights Act 2019 (which replaced the Employment Rights Act 2008) is the framework law governing employment relations, complemented by sectoral Remuneration Orders and social contribution obligations administered by the MRA.
Outsourcing these functions to a qualified provider allows you to focus on your business while ensuring full compliance with Mauritian legislation and avoiding the risk of penalties for non-compliance with social and tax obligations. Expatriates needing an investor Occupation Permit can also benefit from our HR support from the moment they arrive.
Legal framework of employment in Mauritius
Main legislation
- Workers' Rights Act 2019 — Framework law: contracts, leave, dismissal, working hours, occupational health, protection against harassment
- Employment Relations Act 2008 — Collective relations: unions, collective agreements, negotiation, strikes
- Occupational Safety and Health Act 2005 — Workplace safety obligations, prevention of occupational hazards
- National Pension Act — Mandatory pension scheme (NPF), employer and employee contributions
- Income Tax Act — Withholding at source (PAYE), CSG, employer reporting obligations. See our guide on corporate tax for the overall tax framework
- Non-Citizens (Employment Restriction) Act — Work permit requirement for non-citizens
Standard employment conditions
| Element | Legal standard (Workers' Rights Act) |
|---|---|
| Working hours | 45 hours/week (9h/day, 5 days) or 90 hours/fortnight |
| Paid leave (annual leave) | 20 working days/year (accruable over a maximum of 2 years) |
| Sick leave | 15 days/year (with medical certificate beyond 2 consecutive days) |
| Public holidays | 15 public holidays/year (double pay if worked) |
| Maternity leave | 14 weeks (fully paid by the employer) |
| Paternity leave | 5 working days (paid) |
| Probationary period | 6 months maximum (terminable with 14 days' notice) |
| Dismissal notice | 30 days (permanent contract); severance allowance based on seniority |
| Overtime | 150% of the normal hourly rate (200% on public holidays) |
Our payroll management services
Monthly payroll processing
Our payroll service covers the entire monthly cycle, from the collection of variable data to the payment of salaries:
- Salary calculation — Base salary, overtime, bonuses, commissions, benefits in kind (vehicle, housing), allowances
- Mandatory deductions — PAYE (income tax at 15%), employee NPF (3%), CSG (1.5-3% depending on income)
- Employer contributions — Employer NPF (6%), NSF (2.5%), HRDC (1%), workplace accident insurance
- Payslip issuance — Compliant with legislation, detailing all components, transmitted securely
- Bank transfers — Preparation of transfer files, execution of payments on agreed dates
- Advances and loans management — Tracking and deduction of salary advances
Mandatory filings and payments
| Filing | Frequency | Authority | Deadline |
|---|---|---|---|
| PAYE (income tax) | Monthly | MRA | Before the 20th of the following month |
| NPF (employer + employee pension) | Monthly | MRA | Before the 20th of the following month |
| NSF (national savings) | Monthly | MRA | Before the 20th of the following month |
| CSG (social contribution) | Monthly | MRA | Before the 20th of the following month |
| HRDC (training) | Monthly | HRDC | Before the 20th of the following month |
| ESED (annual employee statement) | Annual | MRA | Before 15 August |
| Return of Employees | Annual | MRA | Before 15 August |
Penalties: Late payment of social contributions and PAYE results in penalties of 5% per month of delay plus interest (1%/month). The MRA may bring criminal proceedings in the event of persistent non-payment.
Our HR services
Recruitment and onboarding
- Drafting job descriptions compliant with the local market and applicable Remuneration Orders
- Posting job advertisements on Mauritian recruitment platforms (MyJob.mu, JobMauritius, LinkedIn)
- Screening and interviews — Application screening, preliminary interviews, reference checks
- Employment contracts — Drafted in compliance with the Workers' Rights Act, in English or French, including all mandatory clauses
- Onboarding — Structured integration process: welcome, initial training, provision of equipment
Work permits for expatriates
Non-citizens of Mauritius must obtain a work permit before taking up salaried employment in Mauritius. We manage the entire process:
- Preparation and submission of professional Occupation Permit applications with the EDB (Economic Development Board)
- Conditions: minimum monthly salary of Rs 60,000 (~USD 1,350) for qualified professionals
- Management of permit renewals (initial validity of 3 years, renewable)
- Coordination with the EDB for modifications (change of employer, of position)
- Management of dependants — Residence permits for spouse and children
- Monitoring of post-permit obligations: notification of address changes, timely renewal
Ongoing administrative management
- Leave management — Tracking balances (annual leave, sick leave), approval workflow, monthly reporting
- Absence management — Tracking sick leave, collecting medical certificates, managing extended absences
- Performance reviews — Implementation of annual or semi-annual review processes
- Training — Coordination with the HRDC for training programmes (recovery of the HRDC contribution)
- Discipline and disputes — Management of disciplinary procedures in accordance with the Workers' Rights Act (warning, suspension, dismissal)
- Termination of contract — Calculation of severance allowances, final settlement, work certificate
Employer of Record (EOR) — Payroll outsourcing
For foreign companies wishing to employ staff in Mauritius without setting up a local entity, we offer a complete Employer of Record (EOR) service:
How does EOR work?
We act as the employee's legal employer in Mauritius. The employee works under your operational direction. You retain control of the work, we manage 100% of local compliance.
What does the service cover?
Compliant employment contract, monthly payroll, social contributions, PAYE, leave, payslips, tax filings, health insurance, work permit management if required.
Who is it for?
Foreign companies testing the Mauritian market, recruiting local talent for remote roles, or employing only a few people (1-10) that does not justify setting up an entity.
Advantages
No local registration obligation, fast start-up (1-2 weeks), guaranteed compliance, flexibility on exit, no liquidation costs in the event of discontinuation.
Pricing of our HR & Payroll services
| Service | Indicative fee |
|---|---|
| Payroll processing (per employee/month) | USD 50 - 150 |
| Outsourced HR management (per employee/month) | USD 100 - 250 |
| Employer of Record (per employee/month) | USD 300 - 600 |
| Occupation Permit application (one-off) | USD 1,000 - 2,000 |
| Employment contract drafting (one-off) | USD 300 - 500 |
| HR / compliance audit (one-off) | USD 1,500 - 3,000 |
Outsource your HR and payroll with complete peace of mind
Social and tax compliance in Mauritius requires sharp local expertise. Our team guarantees flawless management of your employer obligations, from payroll to work permits.