Economic Overview, Silicon Docks EMEA Hub & Life Sciences Titan
Ireland is Europe's premier headquarters destination, offering top global tech and pharma talent, English common law certainty, and deep EU single market integration.
Key Economic Clusters
- Software & Big Tech EMEA Headquarters: Dublin Silicon Docks hosting European headquarters for Meta, Google, Microsoft, and Stripe.
- Biopharma & MedTech: 9 of the top 10 global pharma companies (Pfizer, Johnson & Johnson, Boston Scientific in Cork and Galway).
- International Financial Services (IFSC): Global aviation leasing capital (over 50% of global leased commercial aircraft managed from Ireland) and investment funds.
Employment Contracts, Terms of Employment Act & Probation
Governed by Irish Common Law and the Terms of Employment (Information) Act 1994–2022.
- Written Statement of Terms: Mandatory 5-day core statement upon commencement, and comprehensive written contract within 1 month.
- Probation Period: Maximum statutory probation is 6 months (extendable up to 12 months in exceptional circumstances under the EU Transparent Working Conditions Directive).
Working Hours, Overtime & Organisation of Working Time Act
- Standard Hours: 37.5 to 40 hours per week (maximum statutory average limit is 48 hours/week under the Organisation of Working Time Act 1997).
- Overtime: Governed by contract terms; salaried professional roles are typically exempt from mandatory overtime surcharges.
Annual Leave, Public Holidays & Statutory Sick Pay (SSP)
Annual Leave & Statutory Sick Pay
- Annual Paid Vacation: Minimum 4 working weeks (20 working days) per year (25+ days standard in tech).
- Public Holidays: 10 official public holidays (including St. Brigid's Day in February and St. Patrick's Day on 17 March).
- Statutory Sick Pay (SSP): 5 paid days per year paid at 70% of regular daily earnings (capped at €110/day, phasing up to 10 days by 2026).
Maternity & Paternity Leave
- Maternity Leave: 26 weeks statutory maternity leave (with State Maternity Benefit of €274/week, often topped up by employers), plus 16 weeks unpaid leave.
- Paternity Leave: 2 weeks statutory leave within 6 months of childbirth.
Employer PRSI (11.05%), USC & Revenue Modernization
| Statutory Scheme | Employer Share | Employee Share | Description |
|---|---|---|---|
| Employer PRSI (Class A) | 11.05% | 4.00% | Pay-Related Social Insurance (covers state pension & benefits) |
Income Tax (PAYE) & Universal Social Charge (USC)
- Income Tax (PAYE): 20% standard rate on earnings up to €42,000/year; 40% higher rate on earnings exceeding €42,000/year.
- Universal Social Charge (USC): Progressive rate: 0.5% (first €12k), 2% (€12k–€25k), 4% (€25k–€70k), and 8% on excess.
Termination, Notice & Redundancy Payments Act
Statutory Notice & Redundancy Pay
- Notice Periods: 1 week (13 wk–2 yr service), 2 weeks (2–5 yr), 4 weeks (5–10 yr), 6 weeks (10–15 yr), and 8 weeks (> 15 yr service).
- Statutory Redundancy Pay: Eligible employees with >= 2 years service receive 2 weeks' pay per year of service + 1 bonus week (capped at €600 per week).
Why Use an Employer of Record (EOR) in Ireland
- Eliminate Resident Director Requirements: Irish LTD companies require an EEA resident director or a €25,000+ Section 137 bond; an EOR eliminates this completely.
- Real-Time Revenue ROS Modernization: Automated management of real-time payroll submissions, PRSI Class A, USC, and tax credits.
- Critical Skills Employment Permit (CSEP) Sponsorship: EOR sponsors work permits for non-EEA software engineers and tech specialists.
