Employment and labor laws vary from country to country. This guide is intended to provide the most up to date information available. We will update this guide as needed when changes are made to the laws.
Employment Contracts
Employers are legally required to provide formal written contracts for all employees that include salary/wage, termination terms, job title, etc. The contracts must be written in Swahili and use the Tanzanian Shilling currency (TZS).
Working Hours
A full work week is 45 hours or up to 9 hours per day. In Tanzania, employees may be required to work 6 days a week.
Overtime
Any hours worked beyond the 45-hour weekly limit are considered as overtime. Overtime must be agreed upon between the employee and employer, however, the total number of hours worked in a day cannot exceed 12 hours.
In addition, overtime is limited to 50 hours in a 4-week period and is paid at the rate of at least 150% of the regular pay rate.
For work on public holidays, the pay rate is 200% of the regular pay.
Public Holidays
When a public holiday falls on a weekend, the following working day is given as a day off in lieu.
For the year 2024:
- Jan 1: New Year’s Day
- Jan 12: Zanzibar Revolution Day
- Mar 29: Good Friday
- Apr 1: Easter Monday
- Apr 7: Karume Day
- Apr 10: Eid el Fitri (Tentative)
- Apr 11: Eid el Fitri Holiday (Tentative)
- Apr 26: Union Day
- May 1: Worker’s Day
- Jun 17: Eid al-Adha (Tentative)
- Jul 7: Saba Saba
- Aug 8: Farmers’ Day
- Sep 16: Maulid (Tentative)
- Oct 14: Mwalimu Nyerere Day
- Dec 9: Independence Day
- Dec 25: Christmas Day
- Dec 26: Boxing Day
Annual Leave (Vacation)
Employees who have been employed for at least 6 months are entitled to 28 days of consecutive leave per year.
Unused leave shall be commuted for cash by 30th December of each year unless written approval to carry forward has been granted by the company.
Sick Days
Employees are entitled to 126 days of paid sick leave within a 36-month cycle. The first 63 days of sick leave are paid at 100% of the regular salary and thereafter, 50% of the regular salary.
In order to be entitled to sick leave and pay, the employee must provide a medical certificate.
Maternity and Paternity
Maternity Leave
Mothers are entitled to 84 days of paid maternity leave. For the birth of more than one child, the entitlement is 100 days of paid maternity leave.
The mother must inform her employer at least 3 months from the expected due date.
Paternity Leave
Fathers are entitled to 3 days of paid paternity leave within the first 7 days of the birth of the child.
Employee Severance and Terminations
Termination Process
In Tanzania written notice must be provided upon termination that includes the reason and termination date.
Notice Period
- During the first month of employment- 7 days’ notice
- For an employee who is employed on a daily or weekly basis – 4 days
- For an employee who is employed on a monthly basis – 28 days
It is also possible to pay the employee in lieu of notice.
Severance Pay
The employee must have worked for at least 12 months in order to be eligible for severance pay. Severance pay is equal to 7 days’ basic pay for every completed year of employment and is capped at 10 years.
Probation Period
The probation period in Tanzania is set at 6 months. It is possible to extend it further if additional time is needed to assess the worker’s competency, up to a maximum period of 12 months.
Payroll Cycle
In Tanzania, employees can be paid daily, weekly, bi-monthly, or monthly. The payroll frequency depends on company policy.
Employees who are paid on a monthly basis receive their salary no later than the end of the month.
The monthly minimum wage varies by industry, from 40,000 TZS for domestic workers, TZS to 400,000 TZS for industries such as financial services, telecommunication, and international companies.
13th Salary
There are no provisions in the law regarding 13th salaries.
Contributions
Employer Payroll Contributions
VISA
In order to work in Tanzania as a third-party national, a work permit and residence permit must be obtained.
- Class A: For third-party national employees who want to invest in the industry, mining, forest, social services, and business.
- Class B: Foreigners employed by a company or institution who have a desired profession.
- Class C: For missionaries, students, volunteers
Residence permits must be applied for through the Directory of Immigration Services.
To apply to work in Tanzania, the application is submitted by the employer. A filled-out application form, passport copy, passport photos, bank information proof, signed employment contract, curriculum vitae copy, academic records.
Once everything has been submitted and an application fee has been paid, the process to obtain the visa usually takes up to 2 months.
VAT
The standard rate of VAT in Tanzania is 18.00%.