As many companies embrace a remote-first work environment, employers are looking to go borderless with their workforce. The world has talent to offer, and Mauritania is no exception. Mauritania offers employers the chance to hire talented employees abroad at a much lower cost than many countries in the Americas and Europe. But how much is that cost, exactly?
Salaries are essential when budgeting for new hires in Mauritania, but there are many other factors to consider. From overtime and severance pay, to social security contributions, hiring employees in Mauritania requires more than just calculating your new employee’s wage.
Employers need to consider the cost of soft benefits, like coworking passes, gym memberships, and lunch stipends as well. While these are not mandatory, doing so will aid in employee retention and satisfaction.
Overall, it’s challenging to determine how much to budget for your new hire. This article will guide you through the cost of hiring an employee in Mauritania.
Mandatory Costs
When hiring employees in Mauritania, you’ll need to consider numerous mandatory costs. These include wages, taxes, benefits, overtime pay, and severance pay. Adherence to these costs will ensure that you are compliant with local labor laws and regulations.
Salary
Determining the salary of your new employee is crucial. While the minimum wage in Mauritania is MRU 3,000 (USD 87) per month, the salary of your employee depends on their industry and experience.
The average salary in Mauritania, however, is much higher than the minimum wage. It comes to approximately MRU 19,000 (USD 553) per month. For marketing professionals, the average wage is approximately MRU 25,860 (USD 752) per month.
Mauritania has experienced recent growth in science and technology sectors, so software engineers and those working in IT will have higher salaries. For example, IT managers tend to make a higher salary; the average is around MRU 31,500 (USD 917) per month.
Taxes and Benefits
When hiring an employee in Mauritania, it’s essential to know the mandatory taxes and contributions. Employers must contribute 15% towards social security, which includes maternity, retirement, disability, and invalidity insurances.
Paid Leave
Employees in Mauritania are entitled to different types of paid leave, so an employer should be aware of this cost when hiring. After 12 months of service, employees are entitled to 18 days of paid annual leave. Mauritania also has eight public holidays, in which employees are not required to work.
Employees are also entitled to five fully paid sick days, which equals 1.3% of the employee’s annual income.
New mothers are allowed to take 14 consecutive weeks of paid maternity leave. This is approximately 27% of an employee’s salary.
Overtime Pay
The standard work week in Mauritania is 40 hours over the span of five days. If an employee works overtime, they’re entitled to 150% of their regular wage. This is a crucial cost to be aware of.
Severance Pay
Unlike many other countries, severance pay is not mandatory in Mauritania. It is generally decided by the employer and employee during the hiring process.
Supplemental Costs of Hiring Employees in Mauritania
In addition to statutory benefits, employers may also choose to provide supplemental benefits. Offering additional benefits will help attract top talent, motivate staff, and increase retention.
Benefits
Making sure your new hire is happy and healthy is vital. You can support their health by offering a strong benefits package. While many employers choose to offer private health insurance for their employees, doing so comes at an extra cost.
The price will significantly vary depending on the type of private health insurance and coverage. Common health insurance providers in Mauritania include Cigna Global and Ascoma Mauritania.
An EOR like Borderless will typically offer a benefits package. This will usually include medical, vision, dental, and life insurance along with a retirement savings plan.
Bonuses and Extras
Mauritania doesn’t have any mandatory bonuses, such as the 13th month bonus that’s common in many other countries. However, it’s not uncommon to offer signing bonuses or performance-based bonuses. Additionally, employers may want to consider offering employees a lunch or coffee stipend.
Employers also need to take workspace costs into account when hiring in Mauritania. Mauritania doesn’t have a wide range of coworking offices, so if an employee is working remotely, they’ll need to have an adequate home office set-up. Providing a home office stipend can be hugely beneficial. It can go towards a company laptop, ergonomic office chairs, and antivirus software.
Work With Borderless
Determining how much it costs to hire a new employee in Mauritania may feel overwhelming, especially with so many different factors to be aware of. Working with an Employer of Record (EOR) can help take the stress out of global hiring and budgeting.
An EOR like Borderless will do the heavy lifting, guaranteeing that you compliantly hire and pay employees in Mauritania. To get started, book a demo today.
Disclaimer
Borderless does not provide legal services or legal advice to anyone. This includes customers, contractors, employees, partners, and the general public. We are not lawyers or paralegals. Please read our full disclaimer here.
