Zimbabwe is a country situated in Southeastern Africa, bordered by Zambia, Mozambique, Botswana, and South Africa. It has become an attractive destination for companies looking to expand abroad, boasting a diverse workforce of 6.3 million people (as of 2024) and a GDP of $35.23 billion (as of 2023).

The Zimbabwean economy is heavily reliant on agriculture and mining, with the country being a major exporter of tobacco, maize, gold, and platinum. While it has faced challenges in recent years regarding hyperinflation and currency instability, Zimbabwe is seeing signs of recovery in its economy with the stabilization of the Zimbabwean dollar. This provides a more stable business environment for companies expanding abroad, making it a good choice for investment.

This help guide will provide companies doing business in Zimbabwe with all of the information they need to be compliant with local labor laws, from an overview of the mandatory benefits workers are eligible for, to how Remote People can help simplify hiring in Zimbabwe.

Zimbabwe Labor Law

Zimbabwe’s labor laws are mainly explained in the Labour Act (Chapter 28:01). This act provides a legal framework dictating rules around fair working conditions and the rights/obligations of employers and employees.

In addition to the Labour Act, other key pieces of legislation provide details on employee benefits, including the following:

  • Pension and Provident Funds Act (Chapter 24:09)
  • National Social Security Authority Act (Chapter 17:04)
  • Employment of Children and Young Persons Act 
  • Public Service Act (Chapter 16:04)
  • Public Holidays and Prohibition of Business Act (Chapter 10:21)
  • Occupational Health and Safety Regulations

It’s strongly advised that companies operating in Zimbabwe seek legal advice to ensure that all employee contracts and benefits provided are compliant with local labor laws.

Mandatory Employee Benefits in Zimbabwe

There are several mandatory employee benefits that workers in Zimbabwe are eligible for. These are detailed below.

Social Security Contributions

The National Social Security Authority (NSSA) was put into place in Zimbabwe to manage social security contributions and provide financial protection to workers in circumstances such as illness, injury, retirement, and unemployment.

Employers and employees must both make contributions to Social Security. In 2025, both parties must pay 4.5% of monthly earnings, with it being the employer’s obligation to ensure that contributions are paid to the NSSA each month.

Annual Paid Leave

Employees in Zimbabwe are entitled to 22 days of annual leave per year, provided that they have been employed continuously for 1 year with the same employer. This must be paid at the worker’s full level of pay, and annual leave is considered separate from public holidays.

Working Hours

Typical working hours in Zimbabwe are 48 hours per week or 8 hours per day.

Employees must receive at least 24 consecutive hours of rest per week, which is usually allocated on a Saturday or Sunday.

Night work is usually considered to be any work carried out between the hours of 6 pm to 6 am, and usually incurs additional financial compensation. Night workers are restricted from working more than 48 hours per week, which is averaged out over 24 hours.

Overtime Pay

Overtime is voluntary in Zimbabwe; however, employers may request that workers carry out overtime to ensure additional workloads are met efficiently.

If an employee works overtime hours, they must be compensated at the rate of 1.5 times their normal wage, and working hours are limited to 10 hours per day, including overtime.

Employees who work overtime hours on a public holiday are entitled to a 200% premium on their normal salary.

Public Holiday Leave

Various public holidays in Zimbabwe are generally considered paid days off for workers. The public holidays in 2025 in Zimbabwe are as follows:

  • New Year (1 January)
  • Robert Gabriel Mugabe National Youth Day (21 February)
  • Good Friday (18 April)
  • Independence Day (18 April)
  • Holy Saturday (19 April)
  • Easter Monday (21 April)
  • Workers’ Day (1 May)
  • Africa Day (25 May)
  • Africa Day (Observed) (26 May)
  • Heroes’ Day (11 August)
  • Defence Forces Day (12 August)
  • Unity Day (22 December)
  • Christmas Day (25 December)
  • Boxing Day (26 December)

Sick Leave

Employees in Zimbabwe are entitled to 6 months of sick pay if they are too unwell to work. They must have been employed for 1 year continuously with the same employer to qualify for sick leave.

They must provide a medical certificate from a qualified medical professional to qualify for sick pay. 

Sick leave is paid at the full rate of a worker’s normal salary for the first 3 months of sick leave, and at the rate of 50% of their normal wage for the remaining 3 months.

If sick leave exceeds 6 months (or 180 days), an employer may be able to consider medical termination of a worker’s contract.

Maternity Leave

Female employees are entitled to maternity leave with pay if they have a baby.

This consists of 21 days of paid leave before birth and 98 days of paid leave after birth. This is payable in full by the employer, provided that the worker has carried out at least 1 year of continuous service.

Additional maternity leave may be requested, but it is generally only granted on an unpaid basis. There are no specific rules in Zimbabwe around job protection while employees are pregnant or taking maternity leave.

Paternity Leave

There is no statutory paternity leave in Zimbabwe. However, employees are permitted to take 12 days of unpaid leave for personal reasons, which may be related to the birth of their child. This type of leave is subject to employer approval.

Pensions

The pension system in Zimbabwe is multi-tiered, including public pensions, occupational schemes, and private retirement plans.

Public pensions are covered by the NSSA, and are a mandatory system for all formal sector employers and employees aged between 16 – 65. It’s funded by the social security system and provides access to old-age, survivors, and disability pensions, plus funeral grants.

Occupational pensions and private pensions are voluntary, but must be regulated by the Insurance and Pensions Commission. They are generally contributed to by employees and employers and provide retirement lump sums/annuities and death-in-service benefits.

Severance Pay

Employees in Zimbabwe may be entitled to severance pay, also known as a retrenchment package, if their contract is terminated due to reasons outside of employee misconduct.

This is typically paid at a minimum of one month’s salary for each two years of service, e.g., an employee who has worked for a company for 10 years would receive 5 months’ salary as a severance package.

Employees can negotiate their retrenchment package with their employer, and a set notice period must be provided as stated in the employment contract.

Supplementary Employee Benefits in Zimbabwe

It’s advised that companies consider offering supplementary benefits to workers in Zimbabwe.

This is to improve staff retention rates and increase the number of job applicants applying for new roles within the business.

A few examples of supplementary benefits that employers could offer to workers include:

  • Performance bonuses
  • Transport, housing, or food allowances
  • Advanced training schemes
  • Private pension plans
  • Flexible working
  • Enhanced leave entitlement
  • Company car

Optimize Employee Benefits with Remote People

Remote People can help companies operating in Zimbabwe in a range of different ways.

Our Employer of Record (EOR) services allow you to hire workers legally without the need to set up a local entity. The EOR acts as the legal employer, handling benefit compliance, payroll, and certain tax obligations—ensuring your operations remain fully compliant while you focus on running your business.

We can also help you hire employees in Zimbabwe directly via our recruitment services. Our team of experts fully understands the Zimbabwean recruitment space, being fluent in the local language and knowing the best places to attract top talent for your business. They can also help you to structure competitive compensation packages to ensure your new employees are excited to work for your company.

Contact Remote People today to see how we can help your business expand into Zimbabwe in a seamless, stress-free way.