In connection with hiring Lebanese workforce, the minimum wage in the public and private segment is established by the local government after discussing with employers and employees. The minimum wage in this country was last increased in 2012. In this article, our company formation advisors in Lebanon explain various aspects related to hiring Lebanese workforce.
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Conditions for the foreign workforce in Lebanon
The local legislation does not officially make differences between workers in respect to their nationality and the Lebanese Labor Law applies to everyone.
However, foreign employees are largely affected by different factors, such as the conditions of their entry in the country, some of them depending on labor agencies and others entering the country to work more or less freely (generally Syrians) and who usually experience fewer restrictions. Our Lebanon company formation agents can provide more details on this matter. We can also help entrepreneurs who want to open a company in Lebanon.
Similarly to local employees, foreign workers in Lebanon should not generally work more than 48 hours per week and 12 hours daily.
Overtime has to be compensated with a rate of 1.5 more than the standard time. The maximum working time per week, including overtime, cannot exceed 60 hours.
Officially, all employees have the right to take one day off each week and two weeks of paid holiday each year, which turns to three weeks after five years of employment in the same workplace in this country.
Social security in Lebanon
Lebanon is a country which is committed to the principles of right and duty equality and to the improvement of the socio-economic status, which confers the rights of its citizens through a complex social approach to confirm the social security for employees.
In this country, it is crucial to realize that it is not the employee’s duty to register with the social securities.
The employer is the one who has to register all its employees and deduct that percentage which has to be acquitted at source. Our company registration consultants in Lebanon can offer more information on this subject.
The social security contribution in Lebanon is:
• the percentage acquitted by the employee: 2% for sickness and maternity leave, with a ceiling of LBP 2,500,000;
• the percentage paid by the employer:
o 7% for sickness and maternity leave, with a ceiling of LBP 2,500,000;
o 6% for family allowances, with a ceiling of LBP 1,500,000;
o 8.5% for end of service allowance, on the entire salary.
If you require further details about the Lebanese workforce, or for assistance in setting up offshore companies in Lebanon, please contact us.