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



Honduran lempira (L, HNL)

Payroll Frequency


Public Holidays

10 days

Employer Taxes


Cost of Living Index

$$ (86 of 140, 2023)

Statutory Leave

10 days

Sick Leave

26 weeks

Maternity Leave

10 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

Minimum monthly salary in Honduras ranges from HNL 8134.08 to HNL 15,753.50 depending on the industry and company size.

Overtime Pay

Employees are permitted to work a maximum of 16 hours of overtime per week. 

Additional Pay

Thirteenth and fourteenth-month salaries are mandatory in Honduras paid in December and July, respectively.

Payroll Cycle

For 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

  • 5%: Healthcare
  • 3.5%: Disability, Old Age, Death (capped at 10,282.37 HNL, i.e., $424.47)
  • 1.17%: Worker Compensation (Professional Training) 
  • 0.2%: Professional Risk
  • 2.6%: Collective Capitalization pillar

Employee Costs & Taxes

  • 2.5%: Sickness and Maternity (capped at 9,849.70 HNL)
  • 2.5%: Disability, Old Age, Death
  • 1.5%: Pension Regimen de Aportaciones Privadas; Compulsory for businesses with 10+ employees
  • 1.6%: Collective Capitalization pillar
  • 0%: Up to 172,117.90 HNL
  • 15%: 172,117.90 HNL to 262,449.27 HNL
  • 20%: 262,449.27 HNL to 610,347.16 HNL
  • 25%: 610,347.16 HNL and beyond

Employment Information

Termination Process

In Honduras, terminations can be complex. Employers are not permitted to terminate employees at will in Honduras; such actions require just cause.

Compliant terminations include:

  • Voluntarily by the employee
  • By mutual agreement
  • Unilaterally by the employer based on objective grounds, disciplinary action, performance, or contract expiration

Notice period

The minimum notice period is 1 day and will be increased according to the length of the employment.

  • 1 day if the length of service is less than 3 months
  • 1 week if the length of service is less than 6 months
  • 2 weeks if the length of service is less than 1 year
  • 1 month if the length of service is less than 2 years
  • 2 months if the length of service is over 2 years

Probation Period

The probation period is limited to 60 days or roughly two months.

Severance Details

Employees who’re dismissed unfairly are entitled to severance payments proportional to their tenure working with an employer.

  • 3 - 6 months: 10 days pay
  • 6 months - 1 year: 20 days pay
  • One year and above: one month’s salary for each year worked, capped at 25 months’ 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