How to Hire Remote Employees In 

Gambia

The Basics

Currency
Gambian Dalasi
Employer Taxes
10%
Payroll Frequency
Monthly
Official Language
English

Employment in 

Gambia

Hire Independent Contractors

Independent contractors or freelancers are self-employed individuals who provide services to companies as a non-employee. This is one of the most common ways companies tend to hire non-local designers, engineers, support reps, etc.

For legal and tax purposes, independent contractors are not classified as employees. They may work for multiple clients, set their own work hours, negotiate their pay rate, and decide how a job gets done.

For example, the IRS says that if an independent contractor or freelancer does work that can be controlled (what will be done and how it will be done) by an employer then they are, in fact, classified as an employee.

As you can imagine, hiring someone as an independent contractor versus an employee is a fine line to tread.

While there are benefits when you choose the contractor route, there are quite a few drawbacks to consider and you’ll need to weigh them carefully to determine the best fit for your company.

Benefits of Hiring Independent Contractors
Reduced overhead: Lower cost in expenses, payroll, benefits, and more.
Greater flexibility: Contractors can be brought on as-needed. If not a good fit, you simply don’t have to move forward with the contract.
Reduced legal risk: Contractors aren’t usually protected by employment anti-discrimination and workplace safety laws.
Disadvantages of Hiring Independent Contractors
Risk of Misclassification: Not only does this deny workers their proper protections, it can also result in steep penalties and damage to your company. If the IRS determines that employee misclassification has occurred, you will be liable for a percentage of the employees wages, FICA contributions, penalty fines, unpaid taxes, up to a year in prison, and more.
Lack of Control: Contractors are drawn to being independent because it gives them greater control over the work they perform and who they work with. Because they’re not employees, you can’t tell them what to work on and how it should be done.
Lack of Loyalty: Contractors come and go as-needed. Many companies hire contractors for short-term work, which makes it difficult to cultivate loyalty.
Increased Scrutiny: Using Independent Contractors typically leads to an increased risk of being audited.

Set up a subsidiary in 

Gambia

A foreign subsidiary is a company that operates overseas as part of a larger company who’s HQ is in another country.

Establishing a foreign entity is great for having an international presence and accessing new markets. Though, setting up a subsidiary in Gambia can be expensive, stressful, and time-consuming. It's not for the faint of heart.

To set up a subsidiary in Gambia, you have to:

  1. Register your business name and file articles of incorporation
  2. File for local bank accounts
  3. Learn and keep track of the local employment laws
  4. Set up local payroll
  5. Hire local accounting, legal, and HR people

If you're lucky, this process can take months. If you're not so lucky, it can take up to a year. And on average, it costs about $50k-$80k, all-in-all, to get setup. And that's just for Gambia.

Use an Employer-of-Record (EOR)

An employer-of-record (EOR) is a company that hires and pays an employee on behalf of another company.

An EOR is typically used to overcome the financial and regulatory hurdles that often come with employing remote workers.

Each country has its own payroll, employment, and work permit requirements for non-resident companies doing business in their jurisdiction. Meeting those demands can be a huge obstacle when it comes to hiring remotely.

At Panther, we help companies employ and pay people in over 160 countries, without having to set up a foreign subsidiary. Payroll, benefits, taxes, compliance, and more are all handled by us, at a fraction of the cost.

Outside of saving you months and tens of thousands of dollars, other advantages of using Panther are:

  • Ability to attract talented and motivated employees from all over the world.
  • Full legal compliance: There is no risk of violating local employment laws.
  • Transparency: Employees are still your employees. All the work, processes, operations and day-to-day business belong to you, the company, just like with any other employee. Panther just takes on all of the responsibilities, obligations and admin work related to your team's employment.
  • No risk of misclassification

Because you no longer have to set up your own subsidiary, you’ll save a ton of time and tens of thousands of dollars using Panther.

Paying Remote Employees

Paying employees in Gambia is not the same as paying workers in your own country. Employees have to be paid using Gambia’s employment and payroll standards.

This means that you have to know, understand, and keep up with 1) fluctuating currency changes, and 2) local payroll and tax laws in the countries you’re looking to hire in.

Outside of the laws and regulations around payroll, there may be different conditions surrounding leave, overtime, termination, and more. As you can imagine, maintaining this kind of regulatory knowledge can be challenging. But it is crucial and necessary to follow local legislation.

After, you’ll have to determine the best way to pay your international employees. This can be done in a number of ways, including but not limited to:

Pay through a local entity

One of the most challenging (and expensive) parts of paying international employees is setting up the infrastructure to do so.

Before you start to run payroll, you have to register your company as the local employer in the country the worker resides in. As you can see in the “Set up a subsidiary” section, this is a multi-step process that can take up to a year and put you on your way to bankruptcy.

Work with an EOR

Outside of EORs acting as the full admin employer, many also provide remote payroll.

For example, at Panther, in just 1-click, you’re able to pay your entire global team, anywhere in the world. We send you an invoice each month, charge you in US Dollars, and pay your employees the same amount in their local currency.

We factor in currency fluctuations and use the mid-market rate plus any applicable fee passed on by our provider at cost at the time of billing.

Gambia

 Specific Information

Working Hours

The standard working hours in Gambia are 38 hours per week.

Overtime

The labor law in the Gambia does not specify the rest time, overtime eligibility, or work schedule in general.

Employees are not permitted to work overtime. While the law requires that overtime be compensated, it does not specify the rate of pay.

Overtime, on the other hand, is typically compensated at a rate of 150 percent of regular pay.

Overtime pay is 200 percent of regular pay on weekends and holidays.

Payroll Tax

Employer

Employer

  • Social Security

Minimum Wage

The Gambia minimum wage is 50 dalasi per day ($1.25).

Payroll

Pay Cycle

In Gambia, employees expect to be paid monthly.

13th Salary

In Ethiopia, annual bonuses are common but not required.

Leave

Paid Time Off (PTO)

In Gambia, annual leave is paid at 100% of the employee’s normal wages.

If a public holiday lands during a time when an employee is taking annual leave, the employee is entitled to an additional days’ pay to compensate.

An employee’s annual leave is determined by what the employee and employer agree to in their employment contract.

An employee gets a paid leave for every public holiday. If the public holiday falls during a weekend or annual leaves, the company pays extra as compensation.

Public Holidays

There are 14 public holidays.

Sick Days

Sick leave is determined by an employee’s employment contract or a collective bargaining agreement. The rate at which sick leave is paid is also determined by the employment contract.

Maternity Leave

The only criterion for maternity leave is that the employee must have worked under the same employer for two years.

A female employee is eligible for paid maternity leave for 12 weeks. Six weeks can be taken before the birth of the child and the remaining can be utilized after the birth.

The employer pays 100% of the employee’s salary during maternity leave.

Paternity Leave

There are no provisions in the Gambian law regarding paternity leave.

Parental Leave

Other than the already mentioned terms regarding maternity and paternity leaves, there are no other provisions in the law in Gambia regarding parental leave.

Other Leave

No Info.

Marriage Leave

No Info.

Bereavement Leave

No Info.

Termination

Termination Process

Termination of the employment contract is possible ;

  • Fixed-term employment is terminated at the end of the contract period.
  • Either the employee or employer can terminate the employment on mutual agreement from service, in the case of indefinite contracts.
  • An employee can be terminated for severe misconduct before the contract expires without a notice period.

Notice Period

Notice period in Gambia for a  fixed-term contract, the notice period is 14 days. For an indefinite period contract, it’s dependent on the length of service and the salary payment interval.

Severance Pay

In Gambia, the penalty for wrongful termination of contract may be as high as 36 months pay.

Probation Period

The probationary period in the Gambia cannot be more than 12 months for skilled workers.