Tunisia, officially known as the Republic of Tunisia, is a country in North Africa, bordered by Libya, Algeria, and the Mediterranean Sea. It has a workforce of 4.4 million people (2023) and a GDP of 48.5 million US dollars (2023).

The economy of Tunisia is currently being liberalized after a long duration of heavy state direction. Its economy is mainly driven by the services, agriculture, and mining industries, and has a 15.11% unemployment rate (2023). Tunisia generally offers cost-effective labor, and potential employees that are skilled and often bilingual, making it a popular country for businesses looking to hire abroad.

This help guide will provide a thorough overview of Tunisian labor laws, explaining mandatory employee benefits in Tunisia such as minimum wage, contracts, social security, paid leave, working hours, and maternity/paternity leave. We’ll also provide information on how Remote People can help simplify hiring in Tunisia, ensuring compliance with all native labor laws.

Tunisia Employment Laws

The Labour Code of Tunisia was established in 1966 and was designed to protect companies and employees from exploitation.

Businesses must comply with the Labour Code, which involves providing mandatory benefits to employees such as paid leave, parental leave, and adhering to the national minimum wage.

Companies should seek legal advice from professionals who have high levels of experience with Tunisian labor law to ensure compliance when hiring in Tunisia.

Mandatory Employee Benefits in Tunisia

We’ve included below the mandatory employee benefits that companies must provide when hiring in Tunisia:

Social Security

Social Security contributions allow Tunisian employees to benefit from privileges such as pensions, health insurance, and family benefits. The Social Security rate in Tunisia currently stands at 25.75% and is payable by both employees and employers.

Tunisia was one of the first Arabic countries to adopt a social security system to ensure its citizens and employees were fairly treated in terms of social justice and regional balance.

The Social Security System in Tunisia is split into the following sections:

Fund Benefits Additional Support
National Pension and Social Insurance Fund Pension payments Issuing personal employee and student loans
National Social Security Fund Family benefits (family allowance, one-wage allowance, maternity allowance) Death benefit
Old-age pension Disability/survivor pension
National Health Insurance Fund Access to public medical systems Access to private medical systems

Contracts

The Labour Code of Tunisia allows employers to issue 2 types of contracts:

  • The Open-Ended Contract
  • The Fixed-Term Contract

Fixed-term contracts may be concluded in agreement with the worker and employer, and are usually set to a limited time period.

Open-ended contracts have no set end date and employers will need to follow Labour Code regulations if they wish to terminate the contract.

Minimum Wage

Tunisia operates via the Minimum Guaranteed Salary (SMIG), with the amount paid dependent on hours worked and whether the employee is paid monthly or hourly.

As of January 1, 2025, and remaining the standard for 2026, employees are entitled to the following statutory minimum wage rates:

CategoryMonthly Paid Employees (TND)Hourly Paid Employees (TND)
48-Hour Week Regime528.3202.540
40-Hour Week Regime448.2382.586

Annual Paid Leave

Employees in Tunisia are entitled to annual paid leave from their employers under the following conditions:

Employee Category Annual Leave Entitlement
Employees (General) 1 working day per month
Employees under 18 2 working days per month
Employees aged 18 – 21 1.5 working days per month
Long-Term Service Employees +1 working day per 5-year period with the same employer

Annual leave increases by 1 working day per 5-year period of service with the same employer. Public holidays and sick leave are separate from annual leave.

For employees who work in the agricultural industry, workers have the right to paid leave provided they have worked continuously for the same employer for at least 6 months. This leave is managed as follows:

Employee Category Annual Leave Entitlement
Employees (Agriculture) 1 working day per month (after 6 months with the same employer)
Employees under 18 2 working days per month
Employees aged 18 – 21 1.5 working days per month

Working Hours

The maximum number of hours an employee can work in Tunisia is 48 hours per week. Employees are expected to work a minimum of 40 hours per week, generally over 5 days.

Overtime Pay

Employees in Tunisia who work over their regular contracted hours are entitled to increased overtime pay. Overtime pay is calculated via the following proportions:

Employee Category Overtime Pay (%)
Employees working 48-hour week 75%
Employees working 40-hour week 25% up to 48 hours, 50% beyond 48 hours
Employees working part-time 50%
Agricultural employees 25% beyond daily working time

Paid Public Holidays

There are 12 paid public holidays in Tunisia which permit employees with a day off. The public holidays in Tunisia are:

  • New Year – January 1
  • Revolution and Youth Day – December 17
  • Independence Day – March 20
  • Aïd El-Fitr – March 20 to March 22 (date varies)
  • Martyrs Day – April 9
  • Labour Day – May 1
  • Aïd El-Adha – May 27 to May 28 (date varies)
  • Islamic New Year – June 16 (date varies)
  • Republic Day – July 25
  • Women’s Day – August 13
  • Birthday of Prophet Muhammad (Mouled) – August 25 (date varies)
  • Evacuation Day – October 15

Paid Sick Leave

Employees in Tunisia are entitled to sick leave if they are unable to work due to illness.

After the first 5 days of sickness, sick leave is paid at 66.7% of the employee’s average daily wage. This is payable at this rate for 180 days a year for the first 3 years, and 50% of the employee’s average daily wage for 180 days per year for each subsequent year.

Sick leave is paid through the Social Security system of Tunisia.

Maternity Leave

Mothers in Tunisia are entitled to 30 days of maternity leave which is paid at 66.7% of the employee’s average daily wage. This may be extended by 15 days if the mother experiences complications during pregnancy or childbirth.

Paternity Leave

Fathers in Tunisia are entitled to 1 day of paid paternity leave which must be taken in the 7 days that follow the birth of the child. This is paid as per the employee’s average daily wage.

Severance Pay

As of January 2014, employees in Tunisia are entitled to severance pay if they are dismissed after their probation period. This is calculated as one day per month for the same employer, based on the employee’s final wage.

Some industries such as insurance, construction, and services offer higher severance pay which is typically 1 month per year of work to the limit of 6-12 months.

Supplementary Employee Benefits in Tunisia

It’s highly recommended that companies offer supplementary employee benefits when hiring in Tunisia to increase the chances of accessing the best candidates, and improving staff retention.

Some examples of supplementary employee benefits that could be offered include:

  • Enhanced maternity/paternity leave
  • Expenses such as housing, food, training, etc.
  • Private healthcare
  • Performance bonuses
  • Supplementary pension plans

Optimize Employee Benefits with Remote People

Remote People specializes in helping companies hire employees in Tunisia through our Employer of Record (EOR) services. This solution simplifies key processes such as employee benefits, payroll, tax compliance, and other employment-related tasks.

Our EOR team has deep knowledge of Tunisian labor laws, ensuring your company remains compliant with mandatory benefits and legal requirements.

With Remote People’s EOR services in Tunisia, hiring local talent becomes a streamlined, low-risk process—allowing you to focus on your core operations while we handle the administrative complexity.

Remote people can also help you find the best Tunisia employees via their Tunisia Recruitment Services. You can narrow down the most qualified candidates for your business, with the help of an experienced team that fully understands the Tunisian economy and recruitment market.