Building a compensation and benefits management package is critical to your company’s success in Qatar. Your plan needs to be competitive, and it needs to meet or exceed Qatar’s compensation laws.
If you don’t have the time to source benefits or simply don’t know where to start, G-P can help. When partnering with us, you won’t have to establish a subsidiary before you can give out benefits and compensation, freeing you to focus on your business while we manage compliance.
Qatar compensation laws
Qatar did not have a national wage until 2017, when it set the rate at QAR 750. This policy was a temporary measure, but in 2021, Qatar set a mandatory minimum wage for all workers of QAR 1,000.
Guaranteed benefits in Qatar
All Qatar benefits management plans should first include guaranteed benefits to ensure compliance. Qatar celebrates 4 holidays, for which employees get varying time off:
- Eid Al Fitr (3 days)
- Eid Al Adha (3 days)
- Independence Day (1 day)
- National Sports Day (1 day)
Employers also give employees 3 working days off for holidays. Employees who have worked for at least 1 year at a company get 3 weeks of paid leave, then 4 weeks after 5 years of service.
Additionally, employers must provide employees with a round-trip ticket to their home country at least once a year or every 2 years. You should clarify if that ticket will be provided for the whole family or just the employee in the employment contract. Keep in mind that Muslim employees are entitled to an unpaid pilgrimage leave for up to 2 weeks. They can take this leave only once during their employment.
Qatar benefits management
One of the best ways to disperse benefits and increase retention rates is by providing additional benefits that employees may expect. One common benefit is supplementary health and life insurance. You should specify in the employment contract whether you’re providing this benefit to just the employee or their family as well.
Total compensation for employees in Qatar also includes salary, a housing allowance, and a transportation allowance. Some employees also seek education allowances for their children. We recommend negotiating the total compensation package and seeing what allowances and bonuses are taxable or not.
Beperkingen voor secundaire arbeidsvoorwaarden en vergoedingen
Companies expanding to Qatar through traditional methods have to establish a subsidiary before providing compensation and benefits. Unfortunately, it can take months before you incorporate, which may delay the rest of your operations.
However, working with G-P eliminates this restriction. As a global Employer of Record (EOR), we’ll hire employees on your behalf, so your company won’t have to worry about Qatar compensation laws or staying compliant.
Qatar competitive benefits planning
Benefits are a significant aspect of hiring a team and building a company. When you’re ready to grow in a new country, you’ll need to understand the regulations and expectations surrounding employee benefits. With the right approach, employee benefits planning in Qatar can be the root of your success.
Qatar employee benefits plans
Your benefits plan is a way to encourage growth in new countries. In the recruitment phase, a well-thought benefits package can persuade talented workers to apply for your vacancies, helping you build your team.
Once you have a team in a new country, the provisions you offer can improve morale in the workplace. When employees feel that a company values their contributions, they’re more likely to put forth their best effort. They’re also more likely to stay with the company.
Possible fringe benefits include:
- Health insurance schemes
- vergoedingen voor vervoer;
- Vergoeding voor huisvesting
- vakantiepremies;
Required benefits and compliance
While fringe benefits can make your company more competitive in the labor market, you should consider required benefits first. The labor laws in Qatar describe a few provisions every employer must provide. These requirements include:
- betaald jaarlijks verlof;
- Betaald ziekteverlof
- Pension contributions for Qatar citizens
Designing Qatar employee benefits plans
If you’re hiring a team in a new country, designing your benefits plan can be challenging. The right approach to the planning process can help you address the many aspects of benefits, from financial concerns to market standards.
1. Set a budget.
Examine your financial capabilities to determine how much you’re willing to spend on your employees’ provisions.
2. Kom meer te weten over de arbeidsmarkt.
You can only compete with other companies if you understand the market at large. Research companies in the area to find out which benefits are commonly offered. Employees will probably expect these market standards even though they’re not legally required.
3. Decide on benefits.
With the information you’ve gathered, you can choose provisions that reflect the market and fit within your budget. Start with the required provisions and add more as your funds allow.
Gemiddelde kosten van secundaire arbeidsvoorwaarden
With every employer paying a different price for benefits, an average cost isn’t the most helpful metric for your planning process. Factors such as location, industry, and size can affect how much a company chooses to pay for benefits.
Rather than relying on an average, you can create a budget unique to your revenue. Setting a percentage for your benefits spending is an easy way to modify your budget as your revenue changes. When your company grows, you can scale your employee provisions accordingly.
Hoe u voordelen kunt berekenen
Benefits calculations will vary depending on the provision. If you choose to provide an end-of-year bonus, for example, you can set an amount and divide it evenly among your team. The same rule applies to transportation and housing allowances.
You can find information about calculating the required benefits in the labor laws. Pension contributions are among the more complex calculations.
How are employee benefits taxed in Qatar?
The country does not impose income tax on employees’ salaries and associated earnings.
Gezondheidsvoordelen voor werknemers
Employers are not required to provide health insurance for employees, but they may choose to offer a scheme as a supplemental benefit.
Werk samen met G-P om je personeel overal op te bouwen.
Als uw partner in wereldwijde expansie zal G-P de salarisadministratie en naleving afhandelen, zodat u zich kunt concentreren op de groei van uw team en het opschalen van uw bedrijf. Ons toonaangevende Global Growth Platform™ wordt aangedreven door het eerste volledig aanpasbare pakket van wereldwijde werkgelegenheidsproducten en wordt ondersteund door het grootste team van HR- en juridische experts in de sector om het salarisadministratiebeheer te stroomlijnen en u te helpen concurrerende, conforme lokale secundaire arbeidsvoorwaarden te bieden.
Kom meer te weten over ons platform en vraag vandaag nog een voorstel aan.