Hire Contractors & Employees in Gibraltar

Hiring in

Gibraltar

isn't so simple. Borderless can help.

To hire new employees in

Gibraltar

, your business must have a local legal entity or an Employer of Record like Borderless in place already. Then there’s the management of local employment compliance, taxes, benefits, payroll, and more. Hiring contractors poses similar challenges.

Borderless handles all of that for you, so you can focus on getting to work with your new team member in

Gibraltar

while staying fully compliant with local laws and compliance.

Primary Language

English

Currency

Gibraltar Pound (GIP)

Payroll Frequency

Monthly

Public Holidays

12 days

Employer Taxes

20%

Cost of Living Index

N/A

Statutory Leave

15 days

Sick Leave

2 weeks

Maternity Leave

14 weeks

Important: Risks of misclassification

In many countries like

Gibraltar

, the treatment of employees and contractors is different. If you misclassify a new team member, you could be subjected to penalties and fines. Let Borderless get this right for you, so you don’t have to worry.

Payment Information

Minimum Wage

GIP 7.50 per hour.

Overtime Pay

The standard working hours is 48 hours a week. Overtime pay depends on the employment agreement, however, the average overtime pay is 1.5 times the regular wage when working overtime on weekdays and Saturdays and 2 times when working on Sundays and public holidays.

Additional Pay

There is no additional pay detail for Gibraltar.

Payroll Cycle

For all Borderless customers, employee payments will be made in equal monthly installments on or before the last working day of each calendar month, payable in arrears.

Employer Costs & Taxes

20%: Social Security (Minimum of GIP 78.65 per month and maximum of GIP 173.98 per month)

Employee Costs & Taxes

If the employee's income is up to GIP 25,000:

First GIP 10,000: 6%
Next GIP 7,000: 20%
Balance: 28%

If the employee's income is above GIP 25,000:

First GIP 17,000: 16%
Next GIP 8,000: 19%
Next GIP 15,000: 25%
Next GIP 65,000: 28%
Next GIP 395,000: 25%
Next GIP 200,000: 18%
Balance: 5%

Employment Information

Termination Process

Seven days after the employee is let go, the employer is required to submit a Notice of Termination to the Employment and Training Board. A GIP 750 fine is imposed for noncompliance.

Notice period

The notice period depends on the employee's payroll frequency and their length of employment.

Employees who are paid monthly and worked for up to 8 years: 1 month
Employees who are paid monthly and worked for 8 - 10 years: 2 months
Employees who are paid monthly and worked for 10+ years: 3 months
Employees who are paid weekly and worked less than 2 years: 1 week
Employees who are paid weekly and worked for 2 - 5 years: 2 weeks
Employees who are paid weekly and worked for 5 - 8 years: 4 weeks
Employees who are paid weekly and worked for 8 - 10 years: 8 weeks
Employees who are paid weekly and worked for 10+ years: 13 weeks

Probation Period

The probation period in Gibraltar is 1 week.

Severance Details

If the employer terminates the employment agreement early, employees with fixed terms are entitled to earn 50% of the amount that would have accrued over their term.