Payroll and Benefits Guide Guinea – Bissau
Last updated: Mar 03, 2026
Contribution
| Employer Payroll Contributions | |
|
14.00%
|
National Institute of Social Providence (INSS), covering pensions, healthcare, disability, and family benefits |
| 14.00% |
Total Employer Cost |
| Employee Payroll Contributions | |
|
8.00%
|
Social security contribution to INSS for similar coverage. |
| 8.00% |
Total Employee Cost |
Income Tax
Guinea-Bissau employs a progressive personal income tax system, with rates reportedly ranging from approximately 5% to 12% depending on income bands. For example:
-
0 – 500,000 GNF: 1%
-
500,001 – 1,000,000 GNF: 6%
-
1,000,001 – 2,500,000 GNF: 8%
-
2,500,001 – 3,600,000 GNF: 10%
-
Above 3,600,000 GNF: 12%
These brackets should be confirmed with local tax tables.
Employer taxes
Working Hours
The legal working week is 40 hours, typically structured as eight hours per day from Monday to Friday
Overtime
Due to the lack of recent, single consolidating legislation, two closely related work week standards are often referenced: 40 hours and 45 hours. The most commonly cited maximums are:
-
Maximum Ordinary Hours: The standard work limit is typically 45 hours per week (with 8 hours per day). Some formal sources cite 40 hours per week for non-agricultural workers.5 Overtime is any work performed beyond the standard weekly limit.
-
Daily Overtime Cap: Overtime work is generally limited to 2 hours per day.
-
Annual Overtime Cap: Overtime is generally limited to a maximum of 120 hours per year (some sources cite up to 200 hours per year, depending on authorization).
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Consent: Employees (especially women, young, and disabled workers) have the right to decline overtime work (Act No. 2 of 1986).
-
Exemptions: Senior management and executive positions may be exempt from statutory overtime provisions.
Mandatory Overtime Pay Rates
Overtime compensation is mandatory and is calculated as a tiered minimum premium percentage of the employee’s regular hourly wage. The most restrictive and protective rates cited in formal labour summaries are used below:
| Day/Condition | Hours Worked (Beyond 40 or 45/week) | Minimum Premium Rate (Supplement) | Total Pay Rate | Notes |
| Normal Overtime (Daytime) | All hours worked during the day. | +25% of the regular hourly wage. | 125% | This is the most frequently cited statutory minimum for day work. |
| Nighttime Overtime (10:00 PM to 6:00 AM) | All hours worked at night. | +50% of the regular hourly wage. | 150% | This premium is mandatory for overtime performed during the designated night period. |
| Weekly Rest Day (Sunday) | All hours worked. | +100% of the regular hourly wage. | 200% | The minimum compensation is double the regular hourly rate. |
| Public Holiday Work | All hours worked. | +125% of the regular hourly wage. | 225% | The minimum compensation is $2.25$ times the regular hourly rate. |
Alternative Rate Structure: Other formal sources cite a progressive structure for the first 30 hours of monthly overtime: +50% for the initial hours, increasing to +75% thereafter. Employers must follow the structure most advantageous to the employee (the highest rate).
Payroll
Payroll typically follows a monthly cycle.
13th Salary
13th-month salary is not mandatory, though some employers may offer it voluntarily.
Leave
Annual Leave (vacation)
Employees in Guinea-Bissau are entitled to 30 consecutive days of paid annual leave after completing one full year of continuous service; this excludes weekly rest days and any overlapping holidays
PTO carryover
In Guinea-Bissau, statutory annual leave is a protected right. The law does not clearly set out an automatic carryover rule, but accrued statutory leave cannot be forfeited by a blanket “use-it-or-lose-it” policy. Unused leave must be granted later or paid out on termination.
Public Holidays
| Date | Day | Holiday | Notes |
|---|---|---|---|
| 1 January 2026 | Thursday | New Year’s Day | Standard holiday |
| 20 January 2026 | Tuesday | Heroes’ Day | Standard holiday |
| 8 March 2026 | Sunday | International Women’s Day | |
| 9 March 2026 | Monday | International Women’s Day Holiday | Standard holiday |
| 20 March 2026 | Friday | Eid al-Fitr | Standard holiday |
| 5 April 2026 | Sunday | Easter Sunday | Standard holiday |
| 1 May 2026 | Friday | Labour Day | Standard holiday |
| 27 May 2026 | Wednesday | Eid al-Adha | Standard holiday |
| 3 August 2026 | Monday | Pidjiguiti Day | Standard holiday |
| 24 September 2026 | Thursday | National Independence Day | Standard holiday |
| 14 November 2026 | Saturday | Readjustment Movement Day | Standard holiday |
| 25 December 2026 | Friday | Christmas Day | Standard holiday |
Sick Days
Employees are entitled to up to 960 days of paid sick leave (100% of wages) based on contributions.
Maternity Leave
Maternity leave in Guinea Bissau covers 60 days at full salary, including at least 30 days after birth.
Paternity Leave
Guinea‑Bissau does not legally mandate paternity leave. Employees may receive a few days of leave for the birth of a child, but such arrangements are highly variable and typically depend on employer discretion or collective agreements rather than statutory requirements.
Bereavement Leave
The law does not define bereavement leave entitlements. In practice, many employers may provide a short period of paid leave (often 2–3 days) in the event of a close family member’s death, but this support is discretionary and not regulated by law
Employer taxes
Termination
Termination Process
Employment in Guinea‑Bissau may be terminated for several legally recognized reasons:
-
With Cause (Justified Dismissal): Valid grounds include serious misconduct, fraud, gross negligence, or repeated policy violations. Dismissals for these causes can be immediate and may not require notice or severance, provided the employer documents the just cause properly.
-
Without Cause (Economic or Operational Reasons): Employers are permitted to dismiss employees for economic restructuring or redundancy, but must adhere to formal procedures, such as providing notice and severance pay.
-
Fixed‑Term Contracts (CDD): These contracts automatically end upon the agreed expiration date. Early termination is possible only by mutual agreement or due to serious misconduct or force majeure.
-
Mutual Agreement: Employers and employees may terminate an indefinite contract through mutual consent, usually documented in writing.
| Salary payment interval / date | Final payment on termination | Bank account payment requirement |
|---|---|---|
| No explicit universal pay interval found in the public summaries; common practice is monthly payment. | On termination the employer must pay due wages, notice or severance depending on length of service and reason for termination. Example: For dismissals without just cause severance = ~15 days’ average wage per year for up to 5 years of service. | Payment in legal tender is referenced, but method is not clearly restricted to bank account. |
Notice Period
In Guinea-Bissau, notice period requirements depend on both the employee’s role and their length of service. For manual workers, the notice is 8 days for less than one year of service, 15 days for one to five years, and 30 days for more than five years. Non-manual employees must give or receive 15 days’ notice for less than a year of service, 30 days for one to five years, and 60 days for more than five years. Senior staff or management have longer requirements—30 days for less than one year, 60 days for one to five years, and 90 days for more than five years. Notice must be given in writing, and employees are generally allowed paid time off during the notice period to look for new employment.
Severance Pay
When termination occurs without justified cause, employees are entitled to severance based on their tenure. The standard formula is:
-
Up to 5 years’ service: 15 days’ average wage per year
-
5–10 years: 20 days per year
-
More than 10 years: 30 days per year
This compensation is calculated pro rata if service is not in full years. Severance is not granted if the dismissal is for serious misconduct.
Probation Period
In Guinea-Bissau, probationary periods are legally permitted and vary based on the nature of the role. For most workers, the probation period is generally up to 90 days. For technical or highly skilled positions, it can be extended up to 180 days, while senior management roles may have a probation period of up to 240 days. The terms of the probation must be stated in the employment contract at the start of employment. During this period, either party may terminate the contract with shorter notice—often between 24 hours and one week—without the full severance or dismissal protections that apply after probation ends.
Immigration
Foreign nationals must secure both a Long-Stay Visa (for employment longer than 90 days) and a work permit to work legally in Guinea-Bissau. The employer acts as sponsor, submitting required documentation to labor authorities and the Ministry of Interior, including justification that no qualified local candidate is available. Processing typically takes 2 to 3 months.
Minimum Wage
The statutory minimum wage is XOF 59,000 per month (approx. $98 USD)—unchanged since January 2015. Employers are also culturally expected to provide a bag of rice monthly.
MINIMUM WAGE (PER MONTH)
VAT
As of January 1, 2025, Guinea-Bissau replaced its former General Sales Tax with a Value-Added Tax (VAT) system. Relevant rates include:
-
Standard rate: 19%
-
Reduced rate: 10% (for essential goods and services)
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Exports: 0% (exempt)
-
Small businesses may opt into a simplified VAT regime with easier compliance.
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Public Holidays Calendar
| Date | Day | Holiday | Notes |
|---|---|---|---|
| 1 January 2026 | Thursday | New Year’s Day | Standard holiday |
| 20 January 2026 | Tuesday | Heroes’ Day | Standard holiday |
| 8 March 2026 | Sunday | International Women’s Day | |
| 9 March 2026 | Monday | International Women’s Day Holiday | Standard holiday |
| 20 March 2026 | Friday | Eid al-Fitr | Standard holiday |
| 5 April 2026 | Sunday | Easter Sunday | Standard holiday |
| 1 May 2026 | Friday | Labour Day | Standard holiday |
| 27 May 2026 | Wednesday | Eid al-Adha | Standard holiday |
| 3 August 2026 | Monday | Pidjiguiti Day | Standard holiday |
| 24 September 2026 | Thursday | National Independence Day | Standard holiday |
| 14 November 2026 | Saturday | Readjustment Movement Day | Standard holiday |
| 25 December 2026 | Friday | Christmas Day | Standard holiday |
Questions & Answers