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* Playroll continues to analyse immediate opportunities and fulfilled roles by recruitment partners, contractors and employers to identify in-demand jobs.
Madagascar's time zone may be advantageous for businesses with global operations. It can facilitate around-the-clock work or convenient communication with teams in different parts of the world.
Madagascar generally has a lower cost of living compared to many Western countries. This can translate to cost savings for businesses, especially for roles that can be outsourced or performed remotely.
Madagascar is a multilingual country with French and Malagasy as the official languages. If your business operates in French-speaking regions or if you require employees with proficiency in French, hiring from Madagascar could be beneficial.
Depending on your industry, Madagascar may have a pool of skilled professionals in areas such as agriculture, tourism, technology, and environmental sciences.
The employment process adheres to the country's labour regulations, and companies engaging in hiring activities are bound by these legal provisions. A formal agreement, outlining the terms and conditions of employment, is established between the employer and the employee. The employment contract in Madagascar must include essential details, including:
In Madagascar, probationary periods are not mandatory. However, if implemented, the minimum duration for a probationary period is three months, while the maximum allowed period is six months. During this time, individuals may undergo supervision and assessment before permanent decisions or actions are made regarding their employment or legal status.
The regular work schedule is 8 hours per day and 40 hours per week, from Monday to Friday.
Overtime is defined as any hours worked outside of the standard working hours. Employees can work a maximum of 16 hours of overtime per week. For these additional hours, compensation is set at 130% of the hourly rate for the first 8 hours and 150% of the hourly rate for the subsequent 8 hours.
The minimum wage in Madagascar is 1,065 MGA per hour, amounting to a monthly wage of 184,653 MGA.
There is no statutory law mandating the provision of a 13th-month pay.
The individual income tax in Madagascar follows a progressive rate structure, ranging from 0% to 20%. The tax calculation takes into account various factors, including household status and the number of children, which can influence the overall applicable rates.
To qualify for a public pension, employees must be 60 years old with at least 15 years of coverage, including 28 quarters of contributions in the 10 years before their normal retirement age.
The tax-related information provided in this guide is intended for general guidance and informational purposes only. Reach out to our dedicated team for insights on remote hiring in Madagascar tailored to your needs.
Both the employer and the employee have the right to terminate the employment contract, but the country has strict laws against illegal termination. Acceptable termination methods include:
Notice periods in Madagascar can be complex, with the minimum notice set at 1 day and subject to increases based on the duration of employment and the type of employment. If you'd like more information about notice periods in Madagascar, reach out to one of our in-country experts.
If employees are laid off for economic reasons, they receive severance pay equal to 10 days of salary per year of service, up to a maximum of 6 months of compensation.
Madagascar observes a total of 12 public holidays. These National public holidays include:
The National Social Insurance Fund (CNaPS) in Madagascar is overseen by the Ministries of Public Service, Labour, and Social Laws, and Finance, Economy, and Budget. It aims to implement the government's social protection policy for private sector workers, covering:
Legal and compliance experts are readily available to provide guidance and case-by-case Q&A support.
By leveraging dedicated support from in-house legal and compliance experts for case by case questions and more.
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