Hire employees in Zambia. No entity needed.
Usually, to hire in Zambia, your business needs an entity. That means a local office, an address registered as a subsidiary, and an account with a local bank. All of this, plus navigating regional benefits, payroll, tax, and HR laws, can take months.
Zambia also treats contractors differently than full-time employees, so misclassifying a contractor could lead to fines. Deel lets you hire employees in Zambia quickly, easily, and compliantly. We even automate tax document collection, payroll, benefits, and more.
All the necessary benefits for Zambia
built right in
Deel allows you to provide localized benefits for employees in Zambia within minutes. All in one manageable online dashboard.
- Housing Fund
- Public Health Care
- Workers Compensation Insurance
Our quickstart guide to hiring in Zambia
Navigate the tabs below to learn everything you need to know about hiring an employee in Zambia
Minimum Wage Requirements
Individual Income Tax
The individual income tax ranges from 0% to 37.5%. Income tax is calculated based on the income of the person.
Gross Annual Income
Tax Rate (%)
First ZMK 57,600.00
Between ZMK 57,601.00 and ZMK 81,600.00
Between ZMK 81,601.00 and ZMK 106,800.00
Above ZMK 106,801.00
The employer cost is generally estimated at 29.38% of the employee's salary.
- National Pension Scheme Authority (NAPSA) capped at 1342 ZMW per month - 5.0%
- National Health Insurance - 1.0%
- Skills Development Levy - 0.5%
- Workers Compensation Fund (WCF) - 2.83%
- Housing Allowance - 20%
Overtime Pay & Maximum Hours
Employees who have worked for six consecutive months are entitled to 14 weeks of paid leave. Six weeks must be taken before the child's birth. The employee will receive 100% of the salary during this period and the employer will be responsible for this pay.
In Zambia, no law covers parental leave. However, employees may be entitled to maternity leave and paternity leave and can also use Family Responsibility Leave.
Family Responsibility Leave can be used by employees with at least six months of service, allowing up to 7 days with pay to be taken off each calendar year to care for a sick spouse, child, or dependent. Employees are paid 100% pay for 3 out of the 7 days by the employer.
Terminations in Zambia can be complex. There is no at-will termination in Zambia for employers outside the probation period, and termination must be done for just cause.
Compliant terminations include:
- Voluntarily by the employee
- By mutual agreement
- Unilaterally by the employer based on:
- Habitual Tardiness and/or Absences;
- Violation of any provision/s of this Agreement;
- Violation of the policies, rules and regulations of the Employer; and/or
- Other causes similar or analogous to the foregoing which are prejudicial to the Employer’s interests, profitability, operations and/or efficiency.
In Zambia, the notice period varies depending on the length of the contract.
- During Probation - 1 day
- Contracts of 1 month or less - 1 day
- Contracts of more than one month but not exceeding three months - 14 days
- Contracts of more than three months - 30 days
Severance for Employees
Severance compensation in Zambia is applicable under the following circumstances:
Conclusion of an employment contract with a specified duration: A minimum of 25% of the employee’s basic salary earned throughout the contract period.
Termination of employment due to redundancy: The employee is entitled to receive 2 months' worth of basic pay for each full year of service under the employment contract. This includes any outstanding dues owed by the company to the employee, encompassing gratuity, accrued leave days, and earned salary.
In the event of the employee's demise during active service: The employee's beneficiaries are eligible to receive 2 months' worth of basic pay for each year of completed service.
Medical discharge: In the case of medical discharge, the employee is entitled to a minimum of 3 months' basic pay for each completed year of service.
Paid Time Off
Zambia celebrates 11 Public Holidays. National public holidays are:
- New Year's Day
- Youth Day
- Good Friday
- Holy Saturday
- Labour Day
- African Freedom Day
- Heroes Day
- Unity Day
- Farmers Day
- Independence Day
- Christmas Day
When public holidays falls on a Sunday, the following Monday should be observed as a public holiday.
Employment Contract Details
Contracts must be in English. They must be in writing and signed by both parties. A contract must include:
- Job title
- Nature of employment
- Commencement period
- Contract duration
- working hours
- Renumeration package
- Termination period
- Probation period
- Confidentiality clause
- Over-time or off days in lieu of notice
- Leave entitlements
- Meal breaks
Hiring in Zambia, hassle-free
With Deel, your business can easily hire employees in Zambia. No more worrying about local laws, complex tax systems, or managing
international payroll. Deel takes care of everything in 150+ countries.
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*of employee salary