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



United States Dollar ($, USD)

Payroll Frequency


Public Holidays

12 days

Employer Taxes


Cost of Living Index

$$ (90 of 139 nations)

Statutory Leave

15 days

Sick Leave

Up to 2 months

Maternity Leave

12 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 Ecuadorian government has set the minimum wage as follows:

  • $400 per month base rate, excluding social benefits, plus a 13th and 14th salary, or
  • $466.66 per month, factoring in mandatory 13th and 14th salaries prorated over the year

Overtime Pay

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

Additional Pay

Ecuador's '13th salary' consists of an additional monthly bonus equal to one-twelfth of everything received by the employee during the year. This payment can be made once a year, but it must be made by December 22nd if offered.

Ecuador's 14th salary is equal to the government's monthly minimum wage ($400 in 2020) and is paid in March or August, depending on the workplace's location. The employee may request that it be paid in installments, which must be paid before March 15 in the Coastal and Insular regions and until August 15 in the Highlands and Amazon regions.

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

  • 12.15% - Social Security

Employee Costs & Taxes

  • 9.45% – Social security
  • 0% - Up to $11,315
  • 5% - $11,315 – $14,416
  • 10% - $14,416 – $18,018
  • 12% - $18,018 – $21,639
  • 15% - $21,639 – $43,268
  • 20% - $43,268 – $64,887
  • 25% - $64,887 – $86,516
  • 30% - $86,516 – $115,338
  • 35% - Over 115,338

Employment Information

Termination Process

Employee contracts may be terminated if a reasonable just cause, such as dishonesty, negligence, fraud, or any other work-related offense, is established. Aside from that, advance notice should be provided if both parties agree.

Notice period

There is no set notice period, and employers are only required to follow the terms outlined in the employment contract.

Probation Period

When an employee is hired, a probationary period of up to 90 days can be established.

Severance Details

Employees are entitled to a severance package equal to one month's salary multiplied by the number of years the worker has been with the employer, up to 25 years, if they are terminated without proper notice.

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