Payroll and Benefits Guide Saint Vincent and the Grenadines
Last updated: Mar 03, 2026
Contribution
Employer Payroll Contributions
| Contribution Type | Rate |
| National Insurance Services (NIS) | 4.5% |
| Total Employer Cost | ≈ 4.5% of gross wages |
Employee Payroll Contributions
| Contribution Type | Rate |
| National Insurance Services (NIS) | 3.5% |
| Total Employee Contributions | ≈ 3.5% of gross wages |
Employer taxes
Working Hours
General
The standard working week in is 40 hours per week, 8 hours per day, Monday to Friday.
Overtime
Overtime work is charged at 1.5× ordinary rate for overtime, 2× for Sundays/public holidays.
Payroll
Payroll Cycle
The payroll frequency is monthly.
13th Salary
A 13th-month salary is not required.
Leave
Annual Leave (vacation)
The annual leave entitlement in St. Vincent & the Grenadines is 1-3 weeks for a full-time worker.
PTO carryover
Statutory annual leave cannot be forfeited. The law does not clearly provide an automatic carryover right, but unused leave may be carried over by agreement and must be paid out on termination. A blanket “use-it-or-lose-it” policy is not lawful for statutory leave.
Public Holidays
Public holidays falling on the weekend are usually lost.
| Date | Day | Holiday | Notes |
|---|---|---|---|
| 1 January 2026 | Thursday | New Year’s Day | Standard holiday |
| 14 March 2026 | Saturday | National Heroes Day | Standard holiday |
| 3 April 2026 | Friday | Good Friday | Standard holiday |
| 6 April 2026 | Monday | Easter Monday | Standard holiday |
| 1 May 2026 | Friday | Labour Day / National Worker’s Day | Standard holiday |
| 21 May 2026 | Thursday | National Spiritual Baptist Day | Standard holiday |
| 25 May 2026 | Monday | Whit Monday | Standard holiday |
| 6 July 2026 | Monday | Carnival Monday (Vincy Mas) | Standard holiday |
| 7 July 2026 | Tuesday | Carnival Tuesday (Vincy Mas) | Standard holiday |
| 1 August 2026 | Saturday | Emancipation Day | Standard holiday |
| 27 October 2026 | Tuesday | Independence Day | Standard holiday |
| 25 December 2026 | Friday | Christmas Day | Standard holiday |
| 26 December 2026 | Saturday | Boxing Day | Standard holiday |
Sick Days
Employees are entitled to 14 days’ sick leave with pay after six months’ continuous service; in the case of surgical/therapeutic confinement, up to 30 calendar days.
Maternity Leave
Women are granted maternity leave of 14 weeks.
Employer taxes
Termination
Termination Process
Termination of employment in Saint Vincent & the Grenadines is governed by the Protection of Employment Act 2003 (Cap 212) and related regulations.
Justified reasons for termination include: misconduct, incapacity, redundancy (operational requirements), expiry of a fixed-term contract, resignation, mutual agreement.
Employers must provide termination in writing or via payment in lieu of notice when required.
| Category | Details |
|---|---|
| Salary payment interval / date | Wages must be paid in money and at intervals not exceeding fourteen days for weekly/daily paid workers under the “Employers and Servants Act” in SVG. On termination, all due wages and any severance must be paid forthwith. |
| Final payment on termination | The employer is required to pay severance and other due amounts forthwith upon termination. |
| Bank account payment requirement | Wages are to be paid in monetary terms; payment by bank is permissible if the employee agrees (standard employer practice) — the law requires payment in money. |
Notice Period
According to the Protection of Employment Act (and commentary):
-
For termination without cause, the employer must give the notice period set out in the Schedule of the Act (or as per contract) or payment in lieu of that notice.
-
If gross misconduct (termination “for good cause”): employer may summarily dismiss without notice/severance.
Typical notice periods (from commentary/guidance):
-
Weekly paid: 1 week (for shorter service)
-
Monthly paid: 2-4 weeks, or longer for senior levels; sometimes 1 month or more.
Severance Pay
-
Employees with at least 2 years of continuous service are eligible for severance pay.
-
Computation (Protection of Employment Act – Schedule):
-
2 weeks’ pay for each of the first ten years of continuous service
-
3 weeks’ pay for each year of service from 11 to 25 years
-
4 weeks’ pay for each year beyond 25 years
-
-
No severance if dismissal is for “good cause” (misconduct) per the Act.
Probation Period
-
The legislation does not specify a maximum legal probation period for all employees, but employer guidance lists common practice as 3-6 months.
-
During probation, termination may require reduced notice (often minimal) and ordinary severance may not apply.
Immigration
-
Foreign nationals wishing to work in SVG generally need a formal job offer from a local employer and must obtain a work permit under the Employment Act (SVG) 1973 or related legislation.
-
A residence permit may also be required if the work permit is for more than six months.
-
Processing time: commonly 4 – 6 weeks for work permit approval.
-
Employer obligations: the local employer must apply/sponsor; the foreign worker may need a health certificate, police clearance, etc.
Minimum Wage
-
The minimum wage in SVG varies by sector. For example, per sector data: agriculture workers EC$56/day; industrial workers EC$40/day; domestic workers EC$25/day.
-
As of March 1 2024, a new minimum wage rule came into effect ensuring full-time workers earn at least EC$1,000 per month (EC$50/day) according to a news source.
MINIMUM WAGE (PER MONTH)
VAT
The standard VAT rate in SVG is 15% as per government documentation.
Stay up to date on payroll & employment law changes
See how Papaya can help you automate your global payroll or EoR whilst staying 100% compliant with local labor laws
Public Holidays Calendar
| Date | Day | Holiday | Notes |
|---|---|---|---|
| 1 January 2026 | Thursday | New Year’s Day | Standard holiday |
| 14 March 2026 | Saturday | National Heroes Day | Standard holiday |
| 3 April 2026 | Friday | Good Friday | Standard holiday |
| 6 April 2026 | Monday | Easter Monday | Standard holiday |
| 1 May 2026 | Friday | Labour Day / National Worker’s Day | Standard holiday |
| 21 May 2026 | Thursday | National Spiritual Baptist Day | Standard holiday |
| 25 May 2026 | Monday | Whit Monday | Standard holiday |
| 6 July 2026 | Monday | Carnival Monday (Vincy Mas) | Standard holiday |
| 7 July 2026 | Tuesday | Carnival Tuesday (Vincy Mas) | Standard holiday |
| 1 August 2026 | Saturday | Emancipation Day | Standard holiday |
| 27 October 2026 | Tuesday | Independence Day | Standard holiday |
| 25 December 2026 | Friday | Christmas Day | Standard holiday |
| 26 December 2026 | Saturday | Boxing Day | Standard holiday |
Questions & Answers