When expanding to Madagascar, it’s important to learn how to hire employees and stay compliant with local employment laws. However, this can be challenging when you also have to focus on building a new company location and running your parent company.
G-P is a global Employer of Record (EOR) that can help you expand without the hassle of compliance. When you choose us, we’ll hire employees on your behalf, so you can focus on running your company.
Recruiting in Madagascar
If you plan on hiring international workers, you’ll need to understand the additional regulations that apply to them. For example, international employees can make up only 30% of your workforce and their appointment must be approved by the Minister of Employment. They must also meet the following criteria:
- Be the appropriate age
- Have special technical or scientific qualifications
- Have physical and mental abilities not met by candidates from Madagascar
- Not have a criminal record
Laws against discrimination in Madagascar
Hiring and recruiting in Madagascar requires an understanding of the different labor laws that can affect who you hire and what you offer. For example, the General Labor Law says you must set the same criteria and standards when determining salary. You’ll also need to give employees an equal opportunity for training and career progression. For instance, every worker should be entitled to equal rights regarding salary and progression at work, regardless of gender.
The country’s constitution and labor laws also prohibit all forms of discrimination based on:
- Race
- Political party affiliation
- Sex
- Ancestry
- Disability
- Language
- Philosophical beliefs
- Education level
- Trade union membership
How to hire employees in Madagascar
Companies must hire all Madagascar employees using a written employment contract in Malagasy or French. The contract should include compensation, benefits, termination requirements, working hours, and similar factors.
If your offer letter or employment contract includes salary or compensation amounts, they should be in Malagasy ariary instead of another currency. After the employee signs the contract, you need to give them a copy, then keep another for your records.
Madagascar allows fixed-term contracts of a minimum duration of 6 months, but no more than 2 years. These contracts do not enter the normal activities of the establishment and should relate to specific work that will get done by the end of the contract. If you renew the contract twice, it will transfer automatically to an open-ended employment contract.
Madagascar employment laws
Learning how to hire Madagascar employees isn’t the end of your compliance obligations. You have to ensure employees are meeting the terms of their employment contract, including working hours. The workweek in Madagascar is typically 40 hours, with 5, 8-hour days. If your employees work 8 hours of overtime, they should get an additional 30% of their normal rate. Any additional overtime should be paid at 50% of the employee’s normal rate.
Onboarding in Madagascar
You’re free to onboard employees using a process that works best for your business. If you’re not sure where to start, we recommend reviewing the employment contract during your new hire’s first day. You should also provide job training and opportunities to build a positive team atmosphere among all new employees.
Grow globally with G-P.
G-P never forgets that behind every hire is a human being. That’s why we’ve backed our fully customizable suite of global employment products with our robust team of HR and legal experts, so we can remain at your side, ready to support you as you build your global teams. With the #1 Global Growth Platform, you have the recruitment tools and services you need to find your perfect full-time or contract match.
Contact us today to learn more about how we can help you recruit, hire, and onboard anyone, anywhere.