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EOR Partners in Nigeria
Employ in Nigeria
Nigeria, the most populous country in Africa, is one of the continent’s largest and fastest-growing economies. Known for its vast natural resources and thriving entrepreneurial culture, Nigeria is a regional powerhouse and a prime location for businesses seeking to expand into Africa. With its strategic geographic position, a youthful workforce, and robust consumer market, Nigeria offers great opportunities for global expansion.
About the Country of Nigeria
Nigeria is rich in natural resources, particularly oil and gas, which have historically driven its economy. However, the country is also diversifying into sectors such as agriculture, telecommunications, and services. Nigeria’s strategic position as a gateway to West Africa, coupled with its large domestic market, makes it an attractive destination for foreign investment. The government is working to improve infrastructure, reduce regulatory barriers, and create a more conducive environment for businesses.
218.5 Million
Population
Naira
Currency
472.6 Billion
Global Domestic Product
Why Choose Nigeria For Global Expansion?
Nigeria’s growing population, rich natural resources, and rapidly urbanizing middle class offer businesses immense potential for growth. The Nigerian government encourages foreign investment, especially in sectors such as energy, manufacturing, and information technology. Additionally, Nigeria's membership in the African Continental Free Trade Area (AfCFTA) provides access to wider regional markets. The country's push toward digitization and a young, tech-savvy workforce makes it an ideal location for expansion in the digital economy.
Employment Landscape
Nigeria has a large and youthful workforce, with a strong presence in sectors such as oil and gas, agriculture, telecommunications, and financial services. Employment laws in Nigeria protect workers’ rights, including provisions for minimum wage, safety regulations, and statutory benefits. While the informal sector still constitutes a significant portion of employment, there is a growing trend toward formalization, particularly in urban areas.
Our Services in Nigeria
In Nigeria, we offer a range of services to support businesses in expanding and managing their workforce. This includes payroll management, ensuring compliance with local labor laws, and providing support with employment contracts. Our services also extend to visa and work permit processing for expatriates, as well as local benefits administration, covering health insurance, pensions, and other statutory requirements. Our team assists with onboarding, terminations, and navigating the complexities of the Nigerian labor market.
Employment Benefits in Nigeria
In Nigeria, employers are required to contribute to statutory benefits such as the National Health Insurance Scheme (NHIS), pension contributions through the Pension Reform Act, and severance pay. Many companies also provide additional benefits, such as private health insurance, housing allowances, transportation stipends, and performance-based bonuses, particularly in competitive sectors.
Annual Leave
Employees in Nigeria are entitled to at least six working days of paid annual leave after completing 12 months of continuous service. However, many employers offer more generous leave packages, especially in sectors such as banking, oil and gas, and telecommunications.
Sick Leave
Employees are entitled to paid sick leave in Nigeria, typically for up to 12 days per year. The sick leave policy can vary depending on the employment contract or sector. Employers are generally expected to provide some form of paid leave for employees who fall ill, though the specifics of compensation and duration can vary.
Additional Benefits
Beyond statutory requirements, companies in Nigeria often provide additional benefits to attract and retain talent. Common perks include housing and transportation allowances, meal subsidies, professional development opportunities, and access to company cars. Employers in competitive industries also offer performance-based bonuses and profit-sharing schemes to incentivize employees.
Work Hours and Breaks
The standard workweek in Nigeria is typically 40 to 48 hours, with most employees working five or six days per week. Nigerian labor law mandates that employees be provided with at least one hour for rest or lunch breaks during a full workday. Overtime is allowed but must be compensated at a higher rate, often determined by individual contracts or industry standards.
Salary Tax Table
| Taxable Base | Tax Liability | Excess of Taxable Base | Tax Rate |
|---|---|---|---|
| 0 - 300,000 | 0 | 0 | 7% |
| 300,001 - 600,000 | 21,000 | Amount over 300,000 | 11% |
| 600,001 - 1,100,000 | 54,000 | Amount over 600,000 | 15% |
| 1,100,001 - 1,600,000 | 129,000 | Amount over 1,100,000 | 19% |
| 1,600,001 - 3,200,000 | 224,000 | Amount over 1,600,000 | 21% |
| 3,200,001 and above | 560,000 | Amount over 3,200,000 | 24% |
*All figures based on local currency
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