Employer of Record Antigua And Barbuda

Employer of Record in Antigua And Barbuda

Skuad’s Antigua And Barbuda EOR (Employer of Record) solution helps you to expand your business into Antigua and Barbuda without the need to set up an entity. Its tech-enriched global HR platform enables companies to expedite the onboarding of remote teams, manage their payroll, benefits, etc., compliantly. Skuad helps you streamline the global expansion process with the able assistance of its international network.

Antigua And Barbuda At A Glance 

Antigua and Barbuda is a dual island country in the West Indies located East of the Caribbean Sea and south of the Leeward Islands chain. The independent state contains small islands such as Redonda Island and is considered to be one of the prosperous nations in the Caribbean. The main source of revenue comes from offshore financial services and the tourism industry. 

Capital- St. John’s 

Population- 100,000

Currency -  East Caribbean Dollar 

GDP - 1.64 USD billion (expected to reach by 2021) 

Languages- English

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Things To Know Before Employing In Antigua And Barbuda 

Antigua and Barbuda employment laws are regulated by Chapter 27 of The Antigua and Barbuda Labour Code, 1975. The employment laws apply both to foreigners and citizens. However, the licensing and work permit laws for foreigners are different. The national public policy includes basic employment laws. The table below lists the main entitlements, differences, and other aspects of employment laws in Antigua and Barbuda.

Entitlements and Explanations 

Statutory Working Hours 

48 hours per week 

Overtime Eligibility 

Overtime pay rate in addition to basic pay is as follows:

  • First four hours  - 150 %
  • More than four hours  - Double the base wage

Paid Public Holidays 

Public holidays in Antigua and Barbuda for 2021 are as follows: 

  • New Year’s Day (1 January) 
  • Good Friday (2 April) 
  • Easter Monday (4 April) 
  • Labour Day (3 May) 
  • Whit Monday (24 May) 
  • Carnival Monday (2 August) 
  • Carnival Tuesday (3 August)
  • Independence Day (1 November) 
  • V.C Bird Day (9 December) 
  • Christmas Day (25 December) 
  • Boxing Day (26 December) 

Holiday Pay 

Every employee is entitled to paid Public holidays. However, the Labour Ministry may exempt certain industries from the application of the provision. In case any employee works on a holiday, they are paid 150% of their standard pay.

If New Year (1 January) falls on a Sunday, the following Monday is a Public Holiday. 

If Christmas falls on Saturday, then the following Monday is a holiday. In case Christmas falls on Sunday, the following Monday and Tuesday are declared as public holidays. 

*Christmas Day, Good Friday, and Sundays are considered Common Law Holidays. 

In Antigua and Barbuda, an employee must be given rest (Rest Day) for 24 hours after working consecutively for seven days. 

Medical Leave 

Every employee is entitled to the first twelve days of sick leave in twelve consecutive months. (Section C17 of Labor Code)

Maternity Leave 

Women employees get six to thirteen weeks of paid maternity leave along with maternity grants. 

No statutory paternity leave is granted in Antigua and Barbuda.

Annual Leave Accrual Entitlement 

As per Section C13 of the Labor Code, every employee who has completed the probation period is entitled to annual leaves. 

The duration of annual leave is at least one day per month that amounts to 12 days per year. 

An employee is also entitled to vacation leave with a base salary and any money equivalents that he would have received in place of the leave. 

Leave Expiry 

No employer shall forgo the annual leave of an employee even if paid extra. The employer must grant an employee to utilize these entitlements. 

No provision exists on redeeming expired leaves. 

Leave Cash Out 

Earned vacation leave can be encashed based on mutual agreement fixed by the employer and employee.

Employers can even pay in advance the leave earned by mutual agreement. 

Accrued Leave at Termination 

Any leave can be cashed out based on an agreement between the employer and employee. In case any benefits or leaves are accrued, they can be realized by the employee at the time of termination of the employment.

To set up a local entity in Antigua and Barbuda, a company must be aware of all aspects of Antigua and Barbuda’s employment laws and regulations. To mitigate the challenges you might face in comprehending employment laws and compliance, connect with Skuad experts.

Contractors Vs. Full-Time Employees

Contractors and full-time employees are two categories of workers that can be hired in Antigua and Barbuda. It is essential to understand the features of each type of employment to make an informed hiring decision. Contractors are hired for a specific duration, or specific tasks as per the payment terms agreed under the contract. An employee under contract employment is not considered to be part of an organization's employee staff. In contrast, a full-time employee is a permanent employee and is paid based on hours per week. They can avail of all legal and government benefits that are not extended to contractors. An employer is responsible for full-time employees but not for contractors.

Employers may decide to hire either contractors or full-time employees depending on the strength and requirements of the organization besides other factors. For example, if your company is small or you do not want to take on additional responsibilities, you should opt to hire people on contract. You can hire both kinds of workers based on your business need to organize and distribute the workforce effectively. Though taxes might not vary, the payroll and legal compliance differ largely for each type.

If you need expert assistance in hiring and employee management, talk to Skuad experts.

Hiring In Antigua And Barbuda 

Digitization has made our life much simpler. Today, an employer can recruit through various job portals remotely. People from all over the world can apply to the job notification posted by any company. Some of the popular platforms in Antigua and Barbuda are as follows:

There are countless platforms for job search from where employers can recruit suitable candidates. Though job portals are accessible, the entire process is tedious, for which a company requires a robust HR department ready to take on the extra responsibility. Online hiring also requires proper due diligence. 

When a company is in the process of expansion, hiring and HR management are both crucial and burdensome. 

Hiring contractors or fixed-term employees is dependent on the organization’s priorities and business strategy. Skuad's progressive tech platform helps organizations hire both types of workers with ease and simplicity. You are just a call away from hiring the best team in Antigua and Barbuda. Contact Skuad to help you in building a strong team.

Probation & Termination 

Probation period 

The probation period of an employee is three months maximum and can only be extended if there is a collective agreement agreed between the employer and the registered trade union through a bargaining process (Section C8 of the Labour Code). 

Termination of service  

Notice for Termination of Employment 

Except in cases of misconduct and employees engaged for less than one week, an employee shouldn’t be terminated without any advance notice. In any case, a notice advance of more than 30 days is not required until specified in the employment contract.

The Employment Type and Notice Period are mentioned below:

Probation period  - At least 24 hours 

In all other cases - The time interval between employee affected paydays

EOR Solution

In a business expansion to a new market, compliance with national laws, rules and regulations is of utmost importance for any company. Employment laws are a crucial part of it, and workers are resources of an organization that require attention. EOR solutions are today’s form of innovation established for the purpose of companies that are in the process of global expansion.

Skuad’s integrated HR platform allows you to onboard and recruit employees remotely based on the requirements of your company. The responsibility of payroll, benefits, training and all other compliances are taken care of. Book a demo now to experience the seamless process of Skuad’s EOR.

Types Of Visas In Antigua and Barbuda

A work visa is necessary for foreign workers to work in Antigua and Barbuda. Obtaining work visas in the country is a complex task as the requirements differ based on employees’ citizenship; citizens from some particular countries are allowed up to six months’ stay without any visa. Hence, knowledge of all requirements is essential for compliance. The procedure to obtain a work visa is as follows:

  1. As most countries give preference to their locals, employers need to show why non-national recruitment is essential and then obtain work permits for employees.
  2. Employers should identify specific requirements based on the employee’s citizenship and send the relevant form to the employee. 
  3. Employees must fill the visa application form and send it back to the employer along with the necessary documents.
  4. The visa application form needs to be submitted to the visa issuance department along with a prescribed fee. The visa fee varies based on the position of the employee. 
  5. Once a work visa is issued, employees can work in Antigua and Barbuda.

Payroll & Taxes in Antigua and Barbuda 

Personal Income Tax 

The worldwide income of residents is taxed in Antigua and Barbuda. Tax exemption is allowed on incomes to a certain amount. The tax rates are as follows: 

Gross Income and Tax rate

EC$1 - EC$ 36,000 - 0%

EC$ 36,001 - EC$180,000 - 10%

Above EC$ 180,000 - 25%

Corporate Tax 

This tax is imposed on the income of companies. Corporate tax is imposed at a rate of 25% on all profits. However, there are exceptions for certain sectors, such as banks, which pay 22.5% corporate tax upon the fulfillment of certain conditions.

For telecom and petroleum companies, the tax rate is at 7%.

Incorporation - How to Set Up a Subsidiary in Antigua and Barbuda

To incorporate a subsidiary, the first basic thing is to understand the laws of Antigua and Barbuda. It is advisable to associate with local partners for efficient and speedy work. The process involved in setting up a subsidiary consists of the following steps: 

  • Name reservation - First, a unique name for a subsidiary needs to be confirmed through the IPCO (Intellectual Property and Commerce Office). The name is reserved for three months, during which the remaining process needs to be completed. 
  • Incorporation documents - Incorporation documents need to be prepared. Attorney attestation is required for preparing the incorporation documents and to testify the company's  competence and fitness to carry out the business. 
  • Registration of company - After submission of all documents, the IPCO records and registers the company. Later, a certificate of incorporation will be issued. The prescribed fee also needs to be paid. 
  • The company needs to obtain other licenses and registration such as Taxpayer Identification Number, VAT (if the annual revenue exceeds EC 300,000), education levy with Sales and Revenue authorities of Antigua and Barbuda. Registration with Medical and Social Security schemes is also mandatory. 

The whole process takes approximately 19 days to complete. Generally, the notary services handle these requirements for the company. The legal liability for subsidiary companies is less in Antigua and Barbuda. 

If you are considering starting a subsidiary on your own, consider a better way of doing this. Working with Skuad will help you avoid these costs. To discover more about forming a subsidiary by partnering with us, contact Skuad now.

Professional Employer Organization (PEO)

A Professional Employer Organization is an organization that collaborates with medium and small-sized organizations to provide HR services. A PEO handles various HR services such as recruitment, payroll, training, and other compliances. An EOR also provides similar HR services; however, the difference lies in the arrangement or association between the EOR company and the business.

A PEO acts as your co-employer, whereas an EOR acts as the legal employer of your employees. It assumes all the responsibilities and liabilities of your remote team. You can outsource a specific HR function or end-to-end activities. An EOR allows you to expand your workforce without setting up a separate business entity. It handles payroll management, worker’s compensation, and unemployment claims and reports. It files taxes under its file ID number. In other words, if you join hands with an Employer of Record, you are free from managing the human resources functions during your business expansion. 

Skuad’s integrated platform acts as an EOR as well as a PEO. The expert professionals manage all HR-related functions, right from recruitment to termination. In addition, Skuad handles all the functions such as onboarding workers, both full-time and contractors, managing their payroll and taxes, etc. Connect with us and elevate your business prospects while saving your time and money with the advanced EOR solutions of Skuad.

Conclusion

Businesses looking to expand their workforce in promising regions may find Antigua and Barbuda an attractive destination, especially if you have an Employer of Record like Skuad as a partner. Its one-of-a-kind EOR solution lets you streamline and expedite your global expansion process. Book a demo with Skuad experts to know more.

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