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How Much Does it Cost to Hire an Employee in the EOR in Zambia?

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Companies aren’t limited by physical borders anymore. You can hire from anywhere and expand your team with fresh perspectives from all over the world. In recent years, companies have been hiring from countries off the beaten track, like Zambia. However, compliantly recruiting, onboarding, and paying the talent you need can be challenging. 

An Employer of Record (EOR) offers a simple and straightforward way to hire and pay global talent legally. It provides everything you need to hire, onboard, and pay employees from Zambia and beyond compliantly. 

Why Hire Talent in Zambia?

Zambia has an educated population, largely thanks to a range of initiatives aimed at improving access to education. English is the official language of Zambia, and many Zambians are highly proficient. This can benefit companies operating in English-speaking markets, as it ensures clear communication and minimal language barriers.

Hiring remote workers from Zambia can also be seen as a socially responsible decision. By providing job opportunities to people in developing countries, a company can contribute to economic growth and help improve the standard of living in Zambia. 

Zambia is in the Central African Time Zone, meaning it is only a few hours ahead of many European countries and the UK. This can be beneficial for companies that operate in these regions, as it can enable more efficient communication and collaboration.

How Can I Legally Hire an Employee in Zambia?

If you want to hire talent in Zambia on your own, things can get complicated. To hire in Zambia, businesses must establish an entity based in Zambia. The process can be a headache and may only be worth pursuing if you intend to practice business in Zambia long-term.

EORs offer an easy, straightforward way to hire full-time employees from Zambia. An EOR, like Borderless, serves as an intermediary and facilitates the processes involved in global hiring. 

EORs already have an entity in place that can hire and onboard talent, ensuring compliance with local laws and regulations. 

What Does an EOR Do? 

EORs ensure you maintain strict compliance with local laws and regulations in the countries you hire talent from. They remove the legal roadblocks involved in hiring so that you can focus on growing your business. Hiring laws vary considerably around the world, and it’s critical to comply with them to avoid legal implications. EORs take care of the following processes and ensure they’re fully compliant:

  • Work visas and permits
  • Employment contracts
  • Onboarding
  • Tax documentation and filing
  • Payroll processing
  • Employee benefits
  • Intellectual property protection
  • Termination

EORs handle all of the tedious administrative tasks associated with these processes. They generate compliant employment contracts, collect tax documentation, file it per local laws, etc. 


Employee Insurance and Benefits

It’s always essential to stay competitive, especially in a tight labor market. An EOR will help you stand out from the crowd with a comprehensive benefits package, including generous health and wellness benefits, time off, financial security, and much more. It will ensure you provide your team members with what they’re legally entitled to and help you attract top talent with attractive offerings. 


Vacations and Public Holidays

In Zambia, an employee's minimum vacation leave entitlement is 20 working days (or four weeks) per year, as stipulated by the Employment Act. This entitlement applies to all employees who have completed a continuous period of service with the employer for at least 12 months.

In addition to other forms of leave, employees are entitled to take the following public holidays off. 

  • January 1: New Year's Day
  • March 12: Youth Day
  • April 7: Good Friday
  • April 10: Easter Monday
  • May 1: Labour Day
  • May 25: African Freedom Day
  • July 3: Heroes Day
  • July 4: Unity Day
  • August 7: Farmers’ Day
  • October 24: Independence Day
  • December 25: Christmas Day


Taxes & Social Security Contributions

A source-based system of income taxes is in place in Zambia. In general, Zambian income tax is applied to income presumed to have a Zambian source. In addition, interest and dividends received from sources outside of Zambia are taxed as income for residents of Zambia.

An EOR, like Borderless, will ensure you remit payroll taxes on time, every time. With the support and expertise of an EOR, social security contributions are simplified, and taxes are filed accurately and compliantly. So you can cut back on administrative work and focus on growing your business. 


What Are the Advantages of Going Through an EOR in Zambia?

Working with an EOR comes with a range of benefits. 

  • Saves time and money
  • Minimizes risks and avoids penalties related to non-compliance
  • Cuts back on administrative work
  • Improves retention and talent attraction
  • Expands your talent pool
  • Keeps your employee's data safe and secure 
  • Keeps you up to date on hiring trends 

These are just some of the ways EOR can positively impact your business. Connect with Borderless, your EOR of choice, to see what we can do for your business.


How Do I Choose the Right EOR for Me?

With so many to choose from, it’s essential to determine which EOR suits your individual needs.  Consider the following to make an informed choice: 

  • Expertise: Choose an EOR with a notable history of hiring, onboarding, and managing employees in the countries you want to hire from. Checking this box will help ensure your EOR of choice maintains compliance every step of the way. 
  • User experience: It’s important to provide your team with an easy-to-use, intuitive EOR platform packed with self-service options. The goal is to integrate it into your team's existing workflow stress-free. 
  • Support: Turn to EORs with a solid team of experts with a proven track record. Ensure that they’ll be there to lend you support when you need it. 
  • Security: Keeping your data safe and secure is paramount. This is especially true when working with a globally distributed team, leaving you more vulnerable to cyberattacks. So, choose an EOR that has a robust set of data security standards and protocols.

Borderless: The Employer of Record your Company Needs

Broaden your horizons by hiring global talent. Borderless is your EOR of choice to expand your talent base and get the most out of your global hiring experience. Get in touch 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.

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