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How to hire remote employees in
Hiring in Eritrea? That’s excellent. But if your company’s HQ isn’t already in Eritrea, things can get complicated—though they don’t need to. Here’s the deal: You can hire your talent as employees, or you can hire them as contractors. Because of Eritrea’s labor law structure, there are benefits and disadvantages to each approach.
If you want to successfully hire in
Eritrea
, you have two options:
Laws about hiring contractors are significantly more simple in
Eritrea
. 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.
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
Eritrea
is expensive—it can often be $500 per month per employee—and sometimes prone to lengthy onboarding times.
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
Eritrea
.
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 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.
Hiring contractors in
Eritrea
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.
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.
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.
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.
If you’re hiring contractors in
Eritrea
, 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’ve read up until this point, you’ll know that it’s easier, cheaper, and more flexible to hire contractors in Eritrea 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 Eritrea.
Employees in Eritrea receive 14 days of paid annual leave after one year of service.
This increases by one day for each year of service up to 35 working days. Employers are required to pay any accrued but unused days upon separation of service.
There are 13 public holidays.
Employees receive full or partial payments for the first two months and no pay in months three to six.
Employees may need to provide a medical certificate validating their illness.
The maternity leave generally starts after the birth, but a portion may be taken prior to the birth. Female employees receive 60 consecutive days of fully paid maternity leave. An employer cannot terminate the employment of a woman on maternity leave.
Male employees receive three days of paid paternity leave after the child’s birth.
There are no statutory provisions for parental leave.
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Employers in Eritrea can dismiss employees without providing notice at the end of a fixed-term contract, during the probation period, due to the death of the employee, failure of the employee to perform or for misconduct.
Misconduct includes falsifying documents, theft or breach of trust, missing work for five consecutive days or 10 days in one year without justification, disclosure of confidential information or violating the terms of a collective bargaining agreement.
Article 12 under clause 6, it is provided that an employee on probation can terminate their employment without notice.
Employees upon the termination of his employment, be paid severance pay by the employer as follows:
The probation period in Eritrea cannot exceed 90 days.
The standard working hours in Eritrea is 48 hours for 8 hours a day.
Overtime work may not exceed two hours unless there is written consent of the employee.
Employees are entitled to at least one day, 24 hours, of rest per week. This is generally a Sunday but can be a different day.
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