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BURKINA FASO
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Burkina Faso Payroll Employment Contacts
Foreigners entering Burkina Faso are divided into three categories :
- Visitors from visa-exempt countries: can stay in Burkina Faso for up to 90 days without a visa.
- Nationals : eligible for a visa upon arrival. Valid for up to 90 days.
- Visitors who do not fall under either of these categories : must go to an embassy or consulate.
Foreigners who plan to stay in Burkina Faso for an extended period of time to work will need to obtain a long-stay visa as well as a work permit/worker card.
Employees visiting Burkina Faso for a shorter period of time for business purposes can obtain a normal entry visa valid for up to 90 days.
Visas can be granted for the duration of an employment contract and up to a maximum of three years.
Probation Periods
The probation period is usually three months.
Notice Periods
Notice periods depend on employment type/role:
- Hourly workers : 8 days
- Regular workers : 1 month
- Executives, supervisors, technicians, and similar staff : 3 months
- Group dismissals : 30 days
Minimum Wage
The minimum wage in Burkina Faso is 34,664 XOF a month in the formal sector. Other industries do not have set minimum wages.
Working Hours
40 hours per week from Monday to Friday.
Overtime
If their shift schedule calls for it, workers in the transportation sector are excluded from the maximum, and young workers are subject to additional regulations and restrictions. Every hour worked in excess of the permitted number of hours per week should be paid as follows:
- 15% for the first 8 hours worked after 40th hour
- 35% for each hour worked after the 48th hour
- 50% for each hour worked during the night on normal days
- 60% for each hour worked on Sundays/holidays
- 120% for each hour worked during the night on Sundays/holidays
Non Compete
Non-compete provisions are permitted in employment contracts in Burkina Faso. To be enforceable under labor law, these terms must be fair and appropriate.
Severance
If an employee is fired, they are entitled to severance compensation unless they engaged in serious misbehavior. Employees who have worked for more than a year are eligible for severance pay. Severance pay is determined by the duration of service and is calculated as a percentage of the monthly total compensation per year of service:
- 25% of monthly wage – first 5 years of service
- 30% of monthly wage – next 5 years of service
- 40% of monthly wage – 10+ years of service
Termination
A fixed-term contract may be terminated by the employer for any of the following reasons: business, personal, or employee misbehavior. It necessitates notification and a justification for the termination in writing. A warning must be delivered and the employee is given the chance to defend their actions if the cause is misbehavior.
An employee must get one written and two spoken warnings before being fired for wrongdoing.
Collective Bargaining
Collective bargaining is legal in Burkina Faso, with employers and unions (representing employees) negotiating agreements.
Enforcement
Labor inspectors conduct workplace inspections and investigate complaints of non-compliance, while labor courts have jurisdiction over employment contracts, collective bargaining agreements, working conditions and labor law violations.
PAID TIME OFF
Annual Vacation
Once an employee has worked a year, they are entitled to 22 paid days of annual leave. The number of days of entitlement grows as follows after 20 years of service:
- 2 more days for every 20 years of service
- 4 more days for every 25 years of service
- 6 more days for each decade of service
Sick
Sick pay is determined according to the length of employment:
- 1 year of service – two months’ salary (first month 100%, second month 50%)
- 1-5 years of service – four months’ salary (first month 100%, remaining months 50%)
- 6-10 years of service – five months’ salary (two months 100%, remaining months 50%)
- 11-15 years of service – six months’ salary (three months 100%, remaining months 50%)
- 15+ years of service – eight months’ salary (four months 100%, remaining months 50%)
Maternity
After three months of employment, female employees are entitled to 14 weeks paid maternity leave.
The maternity pay is paid by the Burkina Faso social insurance program together with the employers.
Paternity
Fathers are generally entitled to 3 days of paid paternity leave. Male employees are also usually entitled up to 20 days of leave for any events concerning their home life.
Family
Parents with a sick child may take up to six months of unpaid parental leave after giving one month’s notice.
National Holidays
There are fifteen national holidays observed in Burkina Faso, in addition to extra holidays that differ by state.
Other Paid Time Off
N/A
STATUTORY EMPLOYEE BENEFITS
Unemployment
Employees with at least a year of continuous work must get severance pay from their employers (except if dismissed due to misconduct).
For each year of service, a certain proportion of the employee’s average monthly income from the six months before termination of work will be paid. For one to five years of service, 25% is paid; for six to ten years, 30%; and for more than ten years, 40%.
Workers Compensation
Work injury/occupational disease must first be assessed. Accidents occurring on the way to and from work are covered. Employers contribute 3.5% of employees’ salary to the Social Security Fund for occupational accidents.
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Social Security
Social security contributions are based on an employees’ salary.
Employers contribute 16%, ( 3.5% occupational accident, 7% family allowance and 5.5% old-age pension ).
Employees contribute 5.5% ( old-age pension ).
Retirement
Employers and employees contribute 5.5% to the Social Security Fund for old-age pension.
Old-Age Pension Requirements: Age 56 (for blue-collar employees and the voluntarily insured), 58 (for white-collar employees), 60 (for supervisors, managers, and technicians), or 63 (for physicians and university professors), with at least 180 months of contributions.
A reciprocal arrangement allows for the old-age pension to be paid overseas.
Health
In order to increase access to healthcare for mothers and children under the age of five, Burkina Faso established a free healthcare policy to help them.
PRIVATE EMPLOYEE BENEFITS
Workers Compensation
Private workers compensation is not widely available.
Retirement
Private retirement funds/schemes are available.
Health
Private health insurance is available in Burkina Faso.
Insurance
Private life insurance is available in Burkina Faso.
PERSONAL INCOME TAX
Tax Year
The tax year runs from 1 January to 31 December.
Tax Tables
| Taxable Income (XOF) | Rate (%) |
| 0 – 30 000 | 0% |
| 30 001 – 50 000 | 12.1% |
| 50 001 – 80 000 | 13.9% |
| 80 001 – 120 000 | 15.7% |
| 120 001 – 170 000 | 18.4% |
| 170 001 – 250 000 | 21.7% |
| Over 250 000 | 25% |
Taxation Method
Employers in Burkina Faso are required to use a Pay-As-You-Earn (PAYE) system to withhold and remit taxes on behalf of their workers. Based on the employee’s gross pay and the appropriate tax rates for their income level, the amount of tax withheld is calculated.
Double Taxation
Burkina Faso has signed double taxation agreements (DTAs) with several countries.
Residence Requirements
- An individual present in Burkina Faso for a period of at least 183 days in a calendar year.
- Individuals with a permanent home or place in Burkina Faso.
- An individual employed by the government of Burkina Faso or by a company registered in Burkina Faso.
Payroll Calendars
The payroll cycle is usually monthly.
Rebates & Tax Credits
The tax code of Burkina Faso includes a number of tax credits and refunds, including:
- Rebates for families: Taxpayers with dependents may be eligible for a family rebate, which lowers their needed tax payment.
- Rebates for education and training: Taxpayers who spend money on their own or the education or training of their dependents may be eligible for a reimbursement.
- Payments to the social security system: Taxpayers who make contributions to the system may be eligible for a tax credit.
- Investment tax credit: Depending on the type of investment and the industry, this credit may be available.
It’s important to keep in mind that the specifics of these tax credits and refunds might change based on the situation of the taxpayer and the sort of income received.
Health Insurance
In order to increase access to healthcare for mothers and children under the age of five, Burkina Faso established a free healthcare policy to help them. Private health insurance is available in Burkina Faso.
Unemployment
Employees with at least a year of continuous work must get severance pay from their employers (except if dismissed due to misconduct).
For each year of service, a certain proportion of the employee’s average monthly income from the six months before termination of work will be paid. For one to five years of service, 25% is paid; for six to ten years, 30%; and for more than ten years, 40%.
Social Security
Social security contributions are based on an employees’ salary.
Employers contribute 16%, ( 3.5% occupational accident, 7% family allowance and 5.5% old-age pension ).
Employees contribute 5.5% ( old-age pension ).
PAYROLL ELEMENTS
Income
This includes all wages, salaries, bonuses, and other benefits received by an employee from their employer.
Bonuses
Employers in Burkina Faso commonly pay bonuses or a 13th salary to employees at the end of the year. However, this is not mandated by law.
Allowances
Allowances are based on employment contract agreements. Typical payroll allowances include:
- Transportation allowance to help with the expense of getting to and from work.
- Housing allowance to help with housing expenses.
- Employees who have dependents, such as children or elderly parents, are given a dependent stipend.
- Employees are given a lunch stipend to help with the expense of their meals.
- Health insurance allowances to help with the expense of their health insurance premiums.
Benefits in Kind
Employers may provide benefits in kind to their employees, which can be in addition to the mandatory benefits required by law. These benefits in kind may include housing, education/training, company car or health insurance coverage.
Investment Income
This includes income earned from investments, such as dividends, interest, and capital gains. Investment income is taxable in Burkina Faso.
Retirement Funding
Employers and employees contribute 5.5% to the Social Security Fund for old-age pension.
Old-Age Pension Requirements: Age 56 (for blue-collar employees and the voluntarily insured), 58 (for white-collar employees), 60 (for supervisors, managers, and technicians), or 63 (for physicians and university professors), with at least 180 months of contributions.
A reciprocal arrangement allows for the old-age pension to be paid overseas.
Health Insurance
In order to increase access to healthcare for mothers and children under the age of five, Burkina Faso established a free healthcare policy to help them. Private health insurance is available in Burkina Faso.
Risk Insurance
Risk insurance is often not required by labor legislation in Burkina Faso, however some businesses may provide it as a choice for their staff.
Taxable Income
Personal income is taxable and includes all wages, salaries, bonuses, and other benefits received by an employee from their employer. Investment income is also taxable in Burkina Faso. Other forms of income that are taxable include : rental income, business income ( profits ) and royalties.
Allowable Deductions
Social security/pension fund contributions, union dues (if applicable), health/life insurance premiums (if applicable), repayment of loans (if applicable) and income tax.
PAYROLL TAXES AND EMPLOYER CONTRIBUTIONS
Payroll Taxes
Employers in Burkina Faso are required to pay payroll taxes on wages and salaries, including social security contributions, professional training taxes, apprenticeship taxes, occupational health and safety taxes, and national employment fund contributions.
Unemployment
Employees with at least a year of continuous work must get severance pay from their employers (except if dismissed due to misconduct).
For each year of service, a certain proportion of the employee’s average monthly income from the six months before termination of work will be paid. For one to five years of service, 25% is paid; for six to ten years, 30%; and for more than ten years, 40%.
Social Security
Social security contributions are based on an employees’ salary.
Employers contribute 16%, ( 3.5% occupational accident, 7% family allowance and 5.5% old-age pension ).
Employees contribute 5.5% ( old-age pension ).
Workers Compensation
Work injury/occupational disease must first be assessed. Accidents occurring on the way to and from work are covered. Employers contribute 3.5% of employees’ salary to the Social Security Fund for occupational accidents.
ADMINISTRATION
Income
Employers in Burkina Faso are required to use a Pay-As-You-Earn (PAYE) system to withhold and remit taxes on behalf of their workers. Based on the employee’s gross pay and the appropriate tax rates for their income level, the amount of tax withheld is calculated.
Payroll Taxes
Employers in Burkina Faso are required to pay payroll taxes on wages and salaries, including social security contributions, professional training taxes, apprenticeship taxes, occupational health and safety taxes, and national employment fund contributions.
Unemployment
Employees with at least a year of continuous work must get severance pay from their employers (except if dismissed due to misconduct).
For each year of service, a certain proportion of the employee’s average monthly income from the six months before termination of work will be paid. For one to five years of service, 25% is paid; for six to ten years, 30%; and for more than ten years, 40%
Social Security
Social security contributions are based on an employees’ salary.
Employers contribute 16%, ( 3.5% occupational accident, 7% family allowance and 5.5% old-age pension ).
Employees contribute 5.5% ( old-age pension ).
Workers Compensation
Work injury/occupational disease must first be assessed. Accidents occurring on the way to and from work are covered. Employers contribute 3.5% of employees’ salary to the Social Security Fund for occupational accidents.
Statutory Benefits
The probationary term, yearly leave, public holidays, sick leave, maternity leave, paternity leave, overtime pay, notice period, and severance compensation are some of these. Social Security payouts are also considered to be statutory benefits.
Employee Benefits
Yearly leave, sick leave, maternity leave and paternity leave. Employees are also entitled to have public holidays off.
LEGISLATION
- Constitution of Burkina Faso 1991, last amended in 2012
- Labour Act, 2008
- Decree No. 2006-655/PRES/PMT/MTSS/MFB
- Order No. 1234/FPT/DGTLS from 1976
- Order No. 539/ITLS/HV 1954
- Decree No. 2010-812/PRES/PM/MTSS 2010
- Order No. 436/ITLS/HV, 1953
- Law No. 019-2000 / AN of 27 June 2000
- Order on Paid Annual Leave 1994 no. 94-00011/ETSS/SG/DT
- Inter-Professional Collective Agreement, 1974
- Decree No. 2010- 356 IPRES/PM/MTSSIMS
- Social Security Law Act No. 015-2006
- Order No. 2008-008/MTSS/SG/DGPS
- Law No. 2013-010/MFPTSS/MS
- Decree No. 2011-928 / PRES / PM / MFPTSS / MS / MATDS
- Decree No. 2011-883 / PRES / PM / MFPTSS / MICA / MAH/MEED
- ISSA Country Profile for Burkina Faso 2015
- Decree N° 2016-504 / PRES / PM / MFPTPS / MS / MFSNF of 09 June 2016
STATUTORY BODIES
- Ministry of Labor, Employment and Social Security
- National Social Security Fund
- Labor Inspectorate
- National Employment Agency
- National Consultative Committee for Employment
