Hiring in Ghana

The terms set out role, salary in GHS, working time, leave, notice and any restrictive covenants. The EOR is the counterparty to the employee, which is what removes the need for your own entity.

English is the standard contract language for commercial roles.

Fixed-term contracts are permitted, but a temporary worker kept on continuously for six months or more is treated as permanent, and most EORs default to indefinite terms.

Set probation from day one. An extension needs the employee's agreement and a documented reason.

Some EORs shorten probation as policy because they, not you, carry the dismissal risk. Ask before you agree a start date.

Market practice pays overtime at 1.5 times the hourly rate, rising to double on rest days and public holidays.

Overtime cannot be required until a rate has been set, so it is a contractual matter from day one. Put the position in writing either way.

Market practice for professional roles sits above the statutory floor, so quote the market figure when you budget.

The Labour Act fixes no number of paid sick days, so sick pay rests on the contract and a medical certificate. Maternity leave is 12 weeks on full pay, funded entirely by the employer, and there is no statutory paternity leave yet. A pending Labour Bill would extend maternity leave to 14 weeks and add paternity leave, so check the EOR tracks it.

Either side may terminate on notice or pay in lieu, but the employer needs a fair reason under the Labour Act. Redundancy pay is negotiated rather than set by a statutory formula, and the Chief Labour Officer and any union must be told three months ahead.

The EOR runs the process as the legal employer and will want the paperwork in order, including final pay, unused leave and any redundancy settlement. Unfair termination claims go to the National Labour Commission, so keep a documented reason.

Part of the SSNIT contribution funds the National Health Insurance Scheme, but private medical cover, dental and group life are standard for professional roles even though they are not mandatory.

EORs often bundle benefits through a group scheme. Ask what is included in the fee and what is billed on top.

Employer contributions add 13% on top of basic salary, for local and expatriate hires alike. That is before the EOR fee.

The two-tier pension split is the trap. Of the 18.5% total, 13.5% goes to SSNIT within 14 days of month end and 5% goes to a licensed Tier 2 trustee, so check the EOR remits both on time.

Ask whether the EOR sponsors directly or refers to a partner. A partner-model EOR often cannot sponsor at all, and immigrant quotas belong to the sponsor, not to you.

A residence permit is also needed before work begins, so set start dates after approval, not before.

Get the data processing terms in the service agreement, not just the privacy notice. Cross-border transfers need a lawful basis.

Controllers must be registered with the Data Protection Commission, so ask for the EOR's certificate. Check where payroll data is hosted and who in the partner chain can see it.

Incorporation here is straightforward, and the new investment law has dropped minimum capital for most non-trading businesses. The running cost is the point: two directors with one resident in Ghana, a qualified company secretary, accounting, audit and payroll software set an annual floor.

Permanent establishment risk is about what people do, not where payroll sits. Revenue-generating activity can create exposure regardless of the employment route.