Payroll and Benefits Guide Antigua and Barbuda

Termination Process

In Antigua and Barbuda, employment may be terminated for several justified reasons, including redundancy, poor performance, misconduct, or mutual agreement. Dismissals must comply with the Labour Code (Cap. 27), which requires that the termination be lawful, non-discriminatory, and communicated in writing.

Notice Period

Employers must generally provide notice as follows:

• Up to 1 year of service: 2 weeks’ notice

• More than 1 year of service: 1 month’s notice

Employees who resign must generally give:

• Up to 1 year of service: 2 weeks’ notice

• More than 1 year of service: 1 month’s notice

During the probation period, either party may terminate employment with 1 week’s notice (or as agreed in the employment contract).

Severance Pay

In certain cases, severance pay is required under the Labour Code, primarily for redundancy or termination without cause after one year of continuous service.
The statutory entitlement is at least 1 day’s basic pay for each month of service (approximately 12 days per year).
Enhanced severance terms may apply if specified in a collective agreement or employment contract.

Probation Period

The trial period is generally up to 3 months. For managerial or senior positions, it may be extended where permitted by a registered collective bargaining agreement. During probation, either party may terminate employment with short notice, typically one week, without the need to provide a detailed reason.