Home to the Rose City, the oldest statue in the world, and even parts of the Dead Sea, Jordan is a developing nation from the Middle East. Covering a diverse landscape with barren mountainsides and powerful bodies of water, it’s no wonder over 11 million people call Jordan home.
And as a business owner or employer, you too can globally expand your kingdom to the Hashemite Kingdom of Jordan. But like most expansions, this too will be a bit of a challenge if you don’t have the right professional support.
This is where an EOR can come in handy. Streamline your hiring process and tackle language barriers, cultural differences and even the unfamiliar nuances of local employment laws with the EOR of your choice.
An Employer of Record (EOR) can assist companies in expanding their businesses seamlessly and stress-free.
In this article, we’ll dive deeper into the many benefits of hiring your next employee from Jordan through an EOR.
The Benefits of EOR in Jordan
For companies that are looking to hire in Jordan, an EOR offers many benefits.
Fast-Track the Hiring Process
Firstly, an EOR can fast-track the hiring process, as they already have an established legal and administrative framework in place. This saves businesses the extra cost and resources of setting up a business entity in a new country, whose laws, business etiquette, language and lifestyle are completely different from what they are used to seeing.
Experience
Speaking of language, the people of Jordan are known for speaking a non-standard Arabic dialect known as Jordanian Arabic. While English is not an official language, it has started to gain widespread use in commerce and banking. It is critical to ensure you engage with an EOR platform that has experience in the country you are looking to expand within, so they understand the local language, employment law and regulation and any other country-specific nuance.
With a team of experienced professionals who understand the working landscape in Jordan, companies can be confident that their documentation fully complies with local labor laws.
Mitigating Risks of Non-Compliance
Labor laws in Jordan are strictly enforced, making compliance incredibly important. Employers who violate employment laws can face serious financial penalties and business disruptions.
Using an EOR ensures your company is legally compliant, avoiding unexpected surprises and negative impacts on your reputation.
Why Hire Talent in Jordan?
The Kingdom of Jordan is home to a population of highly skilled workers. Although high unemployment is an issue for Jordanians, this country has a booming economy, with a GDP growth rate of 2.6%.
Jordan is known for its wealth of mineral resources but also has thriving talent in the telecommunications and IT sectors. These skilled workers can be a great asset to your team.
Language Skills
Jordan’s official language is Modern Standard Arabic. Colloquially, many Jordanians speak dialects of Jordanian Arabic or other forms of Levantine Arabic that can be mutually understood by many other Arabic speakers. This can be an added benefit to your company if you ever decide to expand your business to other Arabic-speaking countries around the world.
English is the most widely spoken foreign language in Jordan. Most university classes are held in English, and English is taught to Jordanian children in the public school system. Most Jordanian news broadcasts, radio, and television shows are performed in English. French is also commonly spoken, along with minority languages like Armenian, Circassian, and Chechen.
With a working-class population that is fluent in various languages, your next hire could be the reason behind your business's expansion to another industry or country.
Work Week
Unlike standard North American work weeks, the Jordanian work week runs from Thursday to Sunday. This is because Jordan’s official state religion is Islam, and Friday is considered a holy day.
In Islamic countries like Jordan, the call to prayer is sounded from mosques five times a day. Observing Muslims will stop whatever they are doing —including work — to pray. Make sure to be mindful and respectful of this custom when hiring Jordanian workers.
While this is far from the standard workweek professionals from the western hemisphere are used to seeing, the Thursday to Sunday work schedule still provides employees with the ability to balance their work and personal lives.
How Can I Legally Hire Employees from Jordan?
To hire from Jordan, your company needs to have a legal entity operating in the country. Whether you hire full-time Jordan citizens or sign a part-time contract with them, you will first have to establish a legal entity. Setting up your legal presence in a new country can be time-consuming and expensive. The efforts are only worth it if you intend to dramatically expand your business into the Jordanian market in the long term.
The other more cost-effective and efficient solution is to partner up with an EOR service provider. An EOR can be an invaluable resource when it comes to hiring employees in Jordan.
Not only can they help you navigate complex labor laws and regulations, but they can also offer a range of services to support your business operations. From international payroll and tax management to onboarding and offboarding processes, an EOR service can help streamline your business operations.
What Does an EOR Do?
An Employer of Record (EOR) is a third-party organization like Borderless that hires and pays employees on behalf of your company, enabling you to legally and efficiently engage with employees in a country where you don't have an office or legal entity.
For example, did you know that employers in Jordan usually work 48 hours a week at eight hours per day, non-inclusive of breaks? And according to Jordan’s labor laws, if an employee works overtime then they need to be paid at a minimum rate of 150% of their standard wage. The Jordan culture believes in honest work and is willing to provide an adequate reward for it as well. This would be a cultural and compliance aspect that an EOR can provide insight into.
With an EOR by your side, always stay updated on the latest rules and regulations pertaining to hiring and managing local employees.
Jordanian Employment Documents
Under Chapter IV of the Jordanian Labor Code, at least two copies of an employment contract should be drawn up in Arabic.
Both parties should agree on the terms of employment. If an employee is employed indefinitely, they are considered to be in service to their employer until termination under the provisions of the Labor Code.
Non-Jordanian workers living in the Kingdom need to apply for work permits under the Aqaba Special Economic Zone Authority.
An EOR will guarantee that all the necessary documents, work permits, and employment contracts you need are compliant.
Contract writing is a tedious and important procedure with little to no room for errors. When you partner up with an EOR, you can leave the employee-employer contract writing to the experts to avoid the risks of misclassifying your new hires.
Jordan - Holidays, Vacation and Breaks
On the cultural front, Jordan observes a number of national and civic holidays.
The following are public holidays that are observed country-wide and employers are legally obligated to provide their staff:
- January 1: New Year’s Day
- April 22: Eid al-Fitr
- May 1: Labor Day
- May 25: Jordan Independence Day
- June 28: Eid al-Adha
- July 18: Islamic New Year
- September 26: Mawlid
- December 25: Christmas
As a result of Jordan’s rich religious history, Christian and Muslim holidays are also observed.
Annual Leave in Jordan
Apart from the various statutory holidays, employees in Jordan are eligible to receive fourteen days off work each year. If an employee has been working for the same employer for five consecutive years, they are entitled to receive twenty-one days of paid time off.
Maternity and Paternity Leaves
Female employees in Jordan are legally obligated to ten weeks of maternity leave with full pay. These ten weeks include the resting period before and after the delivery.
Apart from maternity leave before and after the birth, women are able to take no more than one hour a day (while being paid) to nurse the newborn. This is a policy that is in effect for the first year after the birth of a child.
As for male employees who are becoming fathers, they are eligible to receive three days of paternity paid leave.
Maternity and Paternity leave employees in Jordan are entitled to time off so they can take care of the newest member of their family while recovering from childbirth.
Sick Leaves
In Jordan, employees are entitled to paid sick leave. The only catch – employees must provide a report by a company-approved medical practitioner. Once this report is submitted, employees can take up to fourteen days a year, with full pay.
If needed, the sick leave can further be extended for another fourteen days. During the extended sick leave period if the employee is hospitalized and has provided the necessary reports, then they will continue to receive full pay. However, if the employee is not hospitalized but has provided the required medical reports then they are eligible to receive half their wage.
Taxes and Payment
In Jordan, the Personal Income Tax (PIT) is collected from everyone who has a source of income. The rate at which individual income tax is collected is 30%. This tax applies to all income that is gained in or from Jordan, irrespective of the payment location.
With such a tax rate, the next question that might arise in your mind is “What is the average income in Jordan?” The minimum wage in Jordan is 260 JOD, and the average annual income is estimated at around 19,020 JOD.
While the standard of living is relatively low compared to that of the United States, a family of four is estimated to spend around 1,750.2 JOD (Jordanian Dinars). This figure does not include rent.
Now that you know the basics of Jordanian labor customs, standards of living, and lifestyle, keep reading for a step-by-step on bringing your new Jordanian team on board.
How Do I Choose the Right EOR for Me?
When it comes to choosing the right EOR for your company's unique employment needs, there are a few key things to consider when you are selecting an EOR in the magnificent and ancient country of Jordan.
Step 1: Determine Your Hiring Needs
To ensure a successful hiring process from Jordan with EOR, it is essential to start with a clear idea of the positions you need to fill, the skills required, and the type of employment contract.
This will guide the rest of the process and ensure that you are identifying candidates that meet your business needs.
Step 2: Choose an EOR Service Provider
It is crucial to research the EOR service providers available in Jordan and select one that meets your company’s specific needs. Look for a provider who offers comprehensive services, local expertise, pricing transparency, and a proven track record of compliance.
Step 3: Define Employee Onboarding and Management Process
Once your EOR-Jordan is in place, establish a streamlined onboarding process for your new hires that includes employee management policies, job performance standards, and disciplinary procedures. Ensure that all practices are legally compliant.
Step 4: Jointly Select and Hire Qualified Candidates
Collaborate with your EOR in the recruitment process and conduct interviews to ensure that you are selecting the most qualified candidates for your organization. Ensure that all worker’s employment laws and regulations are adhered to in the hiring process.
Step 5: Maintain Effective Communication and Record-Keeping
Maintain clear communication with your EOR and your new hires, and keep accurate records of all employment-related data and transactions including when and how long their probation period is.
How Borderless Can Help
As an Employer of Record (EOR) service, Borderless is an excellent solution for companies looking to hire in Jordan. By outsourcing your hiring administration tasks to a third-party provider like Borderless, your company can save time and money and focus on your core business objectives.
The outlined five-step guide to hiring your dream team will help ensure a successful hiring process and lay the foundation for a productive and efficient workforce.
Whether you want to onboard, manage, or fulfill your payroll needs, our all-in-one platform is the ideal solution for you. From Jordan to Guatemala to Japan to France, we’ve got you covered across 170+ countries.
Speak with us today and see how we can help you put those five steps to work.
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.
