Hire Contractors & Employees in Nigeria | Countries

Hiring in

Nigeria

isn't so simple. Borderless can help.

To hire new employees in

Nigeria

, 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

Nigeria

while staying fully compliant with local laws and compliance.

Primary Language

English, Hausa, Yoruba, Igbo, Fulfulde, Ibibio, Kanuri, and Tiv

Currency

Nigerian naira (₦, NGN)

Payroll Frequency

Monthly/Biweekly/Weekly

Public Holidays

9 days

Employer Taxes

12%

Cost of Living Index

$ (117 out of 140 nations)

Statutory Leave

6 days

Sick Leave

12 days

Maternity Leave

12 weeks at 50% of pay

Important: Risks of misclassification

In many countries like

Nigeria

, 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

In Nigeria, the minimum wage is 30,000 Nairas per month.

Overtime Pay

There are no mandatory overtime payment in Nigeria. Any hours worked outside of standard work hours are considered overtime. There are no nationally mandated maximum hours. Additionally, the overtime rate of pay is not standardized, nor specified in Nigerian law.

Standard working hours are 8 hours per day, 40 hours per week. The standard workweek is from Monday to Friday.

Additional Pay

There is no specified additional pay detail for Nigeria.

Payroll Cycle

For all Borderless customers, contractor 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

10%: Pension Fund
1%: Health Insurance
1%: Workers’ Compensation

Employee Costs & Taxes

8%: Pension Fund
5%: Health Insurance
2.5%: National Housing Fund (NHF)
7%: Income up to NGN 300,000
11%: NGN 300,000-600,000
15%: NGN 600,000-1.1 million
19%: NGN 1.1 million-1.6 million
21%: NGN 1.6 million-3.2 million
24%: Above NGN 3.2 million

Employment Information

Termination Process

Nigeria is one of the few “at-will” employment countries. Employers are not required to provide employees with a reason for termination and may end the employment relationship at any time.

Notice period

Notice periods vary depending on the tenure of the employee:

Employees with less than three months of service generally are required to receive one day's notice
Employees with three months to two years of service generally are required to receive one week's notice
Employees with two to five years of service generally are required to receive two week's notice
Employees with more than five years of service generally are required to receive one week's notice

Collective bargaining agreements or employment contracts may alter these notice terms.

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Probation Period

Nigeria does not have laws governing the length of probationary employment periods.

Severance Details

Nigerian law does not require employers to pay additional severance pay to terminated workers. Any mandated severance pay would need to have been previously negotiated as part of an employment contract or collective bargaining agreement.