Hire Employees & Contractors


Compliantly hire your distributed team members in


Person working on laptop

Hiring in


isn't so simple. Borderless can help.

To hire new employees in


, 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


while staying fully compliant with local laws and compliance.

Primary Language



Chilean peso ($, CLP)

Payroll Frequency


Public Holidays

15 days

Employer Taxes


Cost of Living Index

$$ (69 of 140 nations)

Statutory Leave

15 days

Sick Leave

0 days paid by the employer

Maternity Leave

18 weeks

Important: Risks of misclassification

In many countries like


, 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

The Chilean government establishes a minimum wage each year, with two rates - one for for working adults and one for minors and retirees.

Beginning in August 2022:

  • 18 and up: 265,000 Chilean pesos per month
  • Under the age of 18 and over the age of 65: $186,631 Chilean pesos

Overtime Pay

Working hours are typically 8 hours per day, 40 hours per week. Monday through Friday is the standard workweek. Overtime pay is 150% of the regular rate for any amount of overtime hours. Employees can only work a maximum of 2 overtime hours per day or 10 overtime hours per week.

Additional Pay

Fathers can take five days off after the birth of a child and receive paternity leave of up to six weeks, or 12 half-weeks, at 100% of the employee's regular salary.

In Chile, it is mandatory for profitable companies to provide employees with statutory bonuses annually in addition to their base salary. Employers can:

  • Divide 30% of the total company profit among all employees and proportionate to their income
  • Pay the employee 25% of their annual salary regardless of profits obtained

Payroll Cycle

For all Borderless customers, all 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

  • 27%: Corporate tax rate
  • 2.4%: Unemployment insurance
  • 0.95%: Occupational accidents

Employee Costs & Taxes

  • Up to 40%: Personal income tax rate (depends on salary and other variables)
  • 10%: Pension contribution
  • 0.6%: Unemployment insurance
  • 7%: Health insurance

Employment Information

Termination Process

Rank and file employees can be fired for just cause, such as dishonesty, negligence, fraud, or any other work-related offenses. While managerial employees can be fired any time, a severance package is required by law.

Notice period

An employer must give at least 30 days' notice before terminating an employee.

Probation Period

Probation periods are mandatory in Chile and are 14 days long.

Severance Details

Employees who are fired for business reasons (e.g., redundancy) are entitled to a severance package for every year of employment, capped at 11 years. Whereas, employees who violate their contract or commit other serious offenses are not entitled to severance pay.

Benefits of working in a country abroad

Borderless Benefits Packages in


When the world is your competition, it pays to incentivize new hires and existing alike. Borderless benefits packages typically include:

Medical Insurance
Dental Insurance
Vision Insurance
Life Insurance
Retirement Contributions

Learn how to hire quickly and easily in


Book your demo of Borderless to help you hire, pay, and take care of new employees and contractors in 170+ countries.

Book a demo