Employer of Record Guide in 
Eswatini

Expanding your team to Eswatini opens doors to skilled talent in a growing Southern African market, but navigating local employment laws requires careful attention to detail. Our comprehensive guide helps you hire compliantly while tapping into this emerging economy's potential.

Capital City

Mbabane

Currency

Swazi lilangeni (L)

Languages

English and Swazi

Population size

1,235,549
OVERVIEW

Key stats and facts

Eswatini's economy centers around key hubs like Manzini and Mbabane, with strong demand for engineering and technical skills alongside a growing services sector. Understanding the local market dynamics—from tax structures to language requirements—sets the foundation for successful hiring.

Major economic hubs

Manzini, Mbabane, Matsapha, Big Bend, Nhlangano

Skills in demand

Mechanical Engineer, Heavy Plant Operator, Automotive Engineer, Software Engineer, Customer Service Representative

Currency

Swazi lilangeni (L)

Language

English and Swazi

GDP per Capita

$3,958.13 USD per capita

Standard Tax Rate

20% federal

Your EOR guide in 
Eswatini

From sector-specific minimum wages to statutory contributions, Eswatini's employment framework requires precise compliance across multiple areas. This detailed breakdown covers everything from payroll cycles to leave entitlements, giving you the specifics needed to manage your workforce effectively.

Minimum Wage

Writer's Note: Please verify current minimum wage rates with the Eswatini Ministry of Labour and Social Security, as the research data requires validation.

Eswatini operates under sector-specific minimum wage orders rather than a universal minimum wage. Rates vary significantly by industry and are typically reviewed annually.

Sector Minimum Wage (SZL/hour) Effective Date
General Workers To be verified To be verified
Domestic Workers To be verified To be verified
Agricultural Workers To be verified To be verified
Security Services To be verified To be verified

Note: Minimum wage rates are set through wage determination orders issued by the Ministry of Labour and Social Security.

Payroll Cycle

Writer's Note: Please confirm standard payroll practices with local employment law specialists.

  • Monthly: Most common payment frequency
  • Bi-weekly: Less common but acceptable
  • Weekly: Primarily for casual or temporary workers

Individual Income Tax

Writer's Note: Verify current tax brackets with the Eswatini Revenue Service (ERS).

Income Bracket (SZL) Tax Rate
To be verified To be verified
To be verified To be verified
To be verified To be verified

Tax Residency Criteria

Writer's Note: Confirm residency criteria with ERS tax regulations.

Individuals are considered tax residents if they meet specific criteria related to physical presence and domicile in Eswatini. Employers must ensure proper tax treatment based on residency status.

Employer Payroll Contributions

Writer's Note: Verify current contribution rates with the Eswatini National Provident Fund (ENPF) and relevant authorities.

Employers in Eswatini are required to make several statutory contributions:

Contribution Type Employer Rate Employee Rate Total
ENPF (Provident Fund) To be verified To be verified To be verified
Skills Development Levy To be verified N/A To be verified
Workmen's Compensation To be verified N/A To be verified

Working Hours

Writer's Note: Confirm standard working hours under the Employment Act.

  • Standard working week: 45 hours maximum
  • Daily limit: 9 hours maximum
  • Rest periods: Minimum 30 minutes for shifts over 5 hours

Overtime Pay

Writer's Note: Verify overtime calculation methods with current Employment Act provisions.

  • Overtime rate: 1.5× regular hourly rate
  • Overtime threshold: Hours worked beyond standard daily/weekly limits
  • Maximum overtime: Subject to agreement between employer and employee

Bonus Payments

Writer's Note: Confirm bonus payment requirements under current labour law.

Bonuses are not legally mandated but may become contractual obligations if regularly paid or promised in employment agreements.

Full-Time vs. Part-Time

Writer's Note: Verify employment classification thresholds.

  • Full-time: Typically 40+ hours per week
  • Part-time: Fewer than 40 hours per week
  • Casual: Irregular or temporary work arrangements

Vacation Leave

Writer's Note: Confirm annual leave entitlements under the Employment Act.

  • Minimum entitlement: To be verified days per year after 12 months of service
  • Accrual: Pro-rated based on service period
  • Payout: Must be paid upon termination if unused

Sick Leave

Writer's Note: Verify sick leave provisions and medical certificate requirements.

  • Paid sick leave: To be verified days per year
  • Medical certificate: Required for absences exceeding specified periods
  • Chronic illness: Special provisions may apply

Maternity Leave

Writer's Note: Confirm maternity leave duration and payment arrangements.

  • Duration: To be verified weeks
  • Payment: Combination of employer and social security contributions
  • Job protection: Position must be held during leave period

Parental Leave

Writer's Note: Verify if parental leave provisions exist beyond maternity leave.

Parental leave provisions for fathers or adoptive parents require verification under current legislation.

Bereavement Leave

Writer's Note: Confirm bereavement leave entitlements.

  • Duration: To be verified days for immediate family members
  • Payment: Typically paid leave
  • Documentation: Death certificate may be required

Personal & Family Leave

Writer's Note: Verify family responsibility leave provisions.

Additional leave types may include:

  • Emergency family leave
  • Study leave
  • Compassionate leave

Summary

Leave Type Duration Paid? Notes
Annual Leave To be verified Yes After 12 months service
Sick Leave To be verified Yes Medical certificate required
Maternity Leave To be verified Partially Employer + social security
Bereavement To be verified Yes Immediate family

Termination Types

Writer's Note: Verify termination procedures under the Employment Act and Industrial Relations Act.

Termination with Cause:

  • Serious misconduct, theft, insubordination
  • No notice or severance required
  • Proper disciplinary procedures must be followed

Termination without Cause:

  • Redundancy, operational requirements
  • Notice or payment in lieu required
  • Severance may be applicable

Notice Period Requirements

Writer's Note: Confirm notice periods based on length of service.

Length of Employment Notice Period
To be verified To be verified
To be verified To be verified
To be verified To be verified

Severance Pay

Writer's Note: Verify severance calculation methods.

Severance pay calculations are based on length of service and final salary, with specific formulas outlined in employment legislation.

Probationary Periods

Writer's Note: Confirm probationary period regulations.

  • Maximum duration: To be verified months
  • Notice requirements: Reduced notice periods during probation
  • Performance evaluation: Regular assessment recommended

Final Pay Requirements

Writer's Note: Verify final payment timelines.

Final payments including salary, accrued leave, and other entitlements must be paid within specified timeframes following termination.

Anti-Discrimination & Retaliation Laws

Writer's Note: Confirm anti-discrimination protections.

Employees are protected from termination based on:

  • Gender, race, religion
  • Trade union membership
  • Filing complaints or grievances

National Holidays

Writer's Note: Verify 2025 public holiday calendar with government sources.

Holiday Date (2025)
New Year's Day January 1
Good Friday To be verified
Easter Monday To be verified
King's Birthday To be verified
National Flag Day To be verified
Independence Day September 6
Somhlolo Day To be verified
Christmas Day December 25
Boxing Day December 26

Holiday Pay Rules

Writer's Note: Confirm holiday pay calculations.

  • Employees working on public holidays receive premium pay
  • Alternative day off may be provided by agreement
  • Eligibility based on continuous service requirements

Required Documents for Employment

Writer's Note: Verify documentation requirements with Ministry of Labour.

  • Employment contract in English or SiSwati
  • National identity document or passport
  • Tax clearance certificate
  • Educational certificates (if required)
  • Medical certificate (for certain positions)

Language Requirements

Writer's Note: Confirm official language requirements.

  • Official languages: English and SiSwati
  • Business language: Primarily English
  • Contract language: English is standard for international employers

Background Checks & References

Writer's Note: Verify background check regulations.

Background checks are permitted with employee consent and must be relevant to the position. Types may include:

  • Criminal record checks
  • Employment verification
  • Educational verification

Data Protection & Privacy

Writer's Note: Confirm current data protection requirements under the Data Protection Act 2022.

Employers must comply with Eswatini's Data Protection Act, including:

  • Employee consent for data collection
  • Secure data storage and processing
  • Cross-border data transfer restrictions

IP Assignment & Confidentiality

Writer's Note: Verify intellectual property assignment requirements.

Employment contracts should include clear provisions for:

  • Intellectual property ownership
  • Confidentiality obligations
  • Non-disclosure agreements

Onboarding Timeline

Writer's Note: Confirm typical onboarding timeframes.

Step Timeline
Job offer accepted Day 0
Documentation collection Days 1-3
Contract execution Days 3-5
Registration with authorities Days 5-10
Payroll setup Days 7-14

Worker Classification

Writer's Note: Verify employee vs. contractor classification criteria.

Proper classification is essential to avoid legal issues:

  • Employees: Subject to labour law protections and benefits
  • Independent contractors: Operate independently with different tax and legal obligations

Unionisation & Collective Agreements

Writer's Note: Confirm trade union rights and collective bargaining procedures.

Eswatini recognises trade union rights and collective bargaining. Some sectors may have established collective agreements that override standard employment terms.

Cultural Norms & DEI Expectations

Writer's Note: Verify cultural workplace expectations and diversity requirements.

Workplace culture in Eswatini emphasises:

  • Respect for hierarchy and traditional values
  • Multilingual communication capabilities
  • Cultural sensitivity and inclusion

Remote Work Considerations

Writer's Note: Confirm remote work regulations and requirements.

Remote work arrangements should address:

  • Equipment and workspace requirements
  • Communication and performance expectations
  • Cross-border employment considerations for international companies

What We Handle

Borderless AI manages all aspects of compliant employment in Eswatini:

  • Local employment contracts and compliance
  • Payroll processing and tax withholdings
  • Statutory contributions and filings
  • Leave management and documentation
  • Termination procedures and final payments

Note: All information requires verification with current Eswatini employment legislation and should be confirmed with local legal counsel before implementation.

Built-in benefits packages for
Eswatini

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

Medical Insurance

Lorem ipsum dolor sit amet, consectetur adipiscing elit. Suspendisse varius enim in eros elementum tristique. Duis cursus, mi quis viverra ornare, eros dolor interdum nulla, ut commodo diam libero vitae erat. Aenean faucibus nibh et justo cursus id rutrum lorem imperdiet. Nunc ut sem vitae risus tristique posuere.

Dental Insurance

United Healthcare
Lorem ipsum dolor sit amet, consectetur adipiscing elit. Suspendisse varius enim in eros elementum tristique. Duis cursus, mi quis viverra ornare, eros dolor interdum nulla, ut commodo diam libero vitae erat. Aenean faucibus nibh et justo cursus id rutrum lorem imperdiet. Nunc ut sem vitae risus tristique posuere.

Retirement Contribution

United Healthcare
Lorem ipsum dolor sit amet, consectetur adipiscing elit. Suspendisse varius enim in eros elementum tristique. Duis cursus, mi quis viverra ornare, eros dolor interdum nulla, ut commodo diam libero vitae erat. Aenean faucibus nibh et justo cursus id rutrum lorem imperdiet. Nunc ut sem vitae risus tristique posuere.

Life Insurance

United Healthcare
Lorem ipsum dolor sit amet, consectetur adipiscing elit. Suspendisse varius enim in eros elementum tristique. Duis cursus, mi quis viverra ornare, eros dolor interdum nulla, ut commodo diam libero vitae erat. Aenean faucibus nibh et justo cursus id rutrum lorem imperdiet. Nunc ut sem vitae risus tristique posuere.

Vision Insurance

United Healthcare
Lorem ipsum dolor sit amet, consectetur adipiscing elit. Suspendisse varius enim in eros elementum tristique. Duis cursus, mi quis viverra ornare, eros dolor interdum nulla, ut commodo diam libero vitae erat. Aenean faucibus nibh et justo cursus id rutrum lorem imperdiet. Nunc ut sem vitae risus tristique posuere.

Unlock global hiring potential

Simplify your payroll and hiring processes today.

Powerful Reporting
Built to Scale
Dedicated Support