To hire new employees in
Uruguay
, 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
Uruguay
while staying fully compliant with local laws and compliance.
Spanish
Uruguayan Peso ($U)
Monthly
5 days
12.50%
$$$ (37 of 140, 2023)
15 days
Employer covers the first 2 days
14 weeks
In many countries like
Uruguay
, 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.
The minimum wage in Uruguay is $U 21,107.
The standard work week is Monday to Friday, 44 to 48 hours per week.
When working overtime, employees can choose to work fewer hours on another day. Otherwise, they must be compensated for overtime - 100% for weekdays and 150% for weekends and holidays.
At most, employees in Uruguay can perform 8 hours of overtime per week.
Uruguay mandates a thirteenth-month salary, paid in two installments over the year.
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.
Income Tax
Employers can only terminate staff with just cause. Otherwise, they will be required to pay a severance package.
Uruguayan law does not stipulate a notice period. That said, 15 days are customary.
Probation periods in Uruguay last from 45 to 90 days depending on the type and length of the contract.
Severance pay in Uruguay depends on the employee’s length of service. Employers must pay one month of salary for each year of employment, up to six months of salary in total.
When the world is your competition, it pays to incentivize new hires and existing alike. Borderless benefits packages typically include:
Book your demo of Borderless to help you hire, pay, and take care of new employees and contractors in 170+ countries.