Laws and Policies in Guyana

Employment Contracts in Guyana

Employment is regulated by Guyana’s labour laws, including the Labour Act and related regulations.

Contract Requirements

Employment contracts should be in writing and typically include:

• Employer and employee details
• Job title and responsibilities
• Place of work (onshore/offshore/field/office)
• Salary (in GYD or USD) and payment schedule
• Hours of work and overtime conditions
• Leave and benefits
• Probation period
• Termination and notice terms

Types of Contracts

• Indefinite-term contracts (common for ongoing roles)
• Fixed-term contracts for projects, short-term assignments, or specialist roles
• Part-time or hourly contracts
• Contractor agreements (non-employee relationships)

Probation Period

Common practice: 3–6 months, depending on job role and seniority.

An EOR ensures all contracts are drafted according to local labour requirements and industry norms.

---

Working Hours in Guyana

• Standard workweek: 40–44 hours, depending on industry
• Typical schedule: 8 hours per day, Monday to Friday

Overtime

• Work outside normal hours is paid at a higher rate (typically 1.5× or higher for Sundays/public holidays)
• Offshore and rotational roles may have special schedules defined within the contract

Rest Periods

• Employees must receive adequate daily rest and one paid weekly rest day, usually Sunday.

---

Employee Leave in Guyana

Annual Leave

Employees generally become eligible for paid annual leave after one year, with entitlements commonly around:

• 12–15 days of paid annual leave, depending on seniority and contract terms

Many employers in oil & gas, engineering, and technical fields offer additional leave to remain competitive.

Sick Leave

• Employees are entitled to sick leave supported by a medical certificate
• Sick benefits may be partially covered by the national social security system (NIS) after the required contribution period

Maternity Leave

• Standard maternity leave is 13 weeks, with income protection covered partly by NIS and/or employer pay depending on eligibility

Paternity Leave

• Not formally mandated, but commonly offered by employers as 3–5 days of paid leave

Public Holidays

Guyana observes numerous national holidays.
Employees working on holidays typically receive premium pay or time off in lieu.

---

Employee Benefits in Guyana

National Insurance Scheme (NIS)

All employers must enroll employees in the National Insurance Scheme, which provides:

• Pension and retirement benefits
• Injury and disability benefits
• Maternity benefits
• Sickness benefits
• Survivor benefits

Contribution Rates:

• Employer: approx. 8.4%
• Employee: approx. 5.6%
  (Percentages apply to insurable earnings up to the NIS ceiling.)

Additional Benefits (Common in Competitive Sectors)

To attract talent, especially in technical and professional roles, employers often offer:

• Private medical insurance
• Life and accident insurance
• Housing or hardship allowances
• Transportation and meal allowances
• Rotation or travel benefits (for offshore/remote projects)
• Training and certification programs

An EOR helps structure benefits that meet statutory standards and competitive market expectations.

---

Payroll & Tax in Guyana

Payroll Currency

• Salaries are typically paid in Guyanese Dollar (GYD)
• Some expatriate roles may be paid in USD, depending on the contract

Income Tax

Guyana uses a progressive income tax structure.
Employers must withhold PAYE tax from employee salaries according to national tax tables.

Payroll Responsibilities for Employers

• Register employees with NIS
• Withhold and remit PAYE income tax
• Deduct and remit employee NIS contributions
• Pay employer NIS contributions
• Maintain proper payroll reporting and filing
• Issue payslips and maintain statutory employment records

An EOR manages all payroll compliance on your behalf.

---

Employment Laws & Compliance in Guyana

Key obligations include:

• Providing written employment terms
• Ensuring occupational safety and health compliance (especially for industrial and offshore work)
• Following rules on working hours, rest periods, and overtime
• Correctly administering leave and statutory benefits
• Handling termination in accordance with legal requirements

Termination & Severance

Termination must follow proper process and legal grounds. Employees may be entitled to:

• Notice period
• Severance pay based on length of service
• Payment of all outstanding wages and accrued leave

Unfair or improper dismissal can result in compensation claims, so compliance is essential.

Non-Discrimination

Employers must avoid discrimination based on:

Union membership or other protected characteristics

Race or ethnicity

Religion

Gender

Disability

Political opinion