Hire compliantly in the Bahamas Talk to an Expert

Written Agreements

The Employment Act of the Bahamas does not mandate the provision of written employment contracts. If a written agreement is concluded, the employer must provide information that includes the names of the parties, the nature of the job and its duration, wages, workplace address, and hours of work. A valid contract may be oral.

Any contract, implied or otherwise, requires the employer to provide information to the employee ranging from the name of the parties, nature of the job and its duration, to wages, workplace address, and hours of work.

Oral Agreements

An oral contract requires the employer to provide specific information to the employee, such as the names of parties, the nature of the job and its duration, wages, workplace address, and hours of work.

Implied Agreements

Any contract, implied or otherwise, requires the employer to provide information to the employee ranging from the name of the parties, nature of the job and its duration, to wages, workplace address, and hours of work.

In the Bahamas, the Employment Act indicates that the standard workweek is 40 hours (8 hours per day). Minors under 18 years of age cannot be employed for more than 24 hours in a school week or 40 hours in a non school week.

In every 7-day period, an employer must allow each employee at least 48 hours of rest with not less than 24 of such hours being consecutive.

• New Year's Day - January 1
• Good Friday - date subject to change every year
• 1st Monday after Easter - date subject to change every year
• Whit Monday - date subject to change every year
• Labour Day - first Friday in June
• Independence Day - July 10
• Emancipation Day - first Monday in August
• National Heroes Day - second Monday in October
• Christmas Day - December 25
• Boxing Day - December 26

In the Bahamas, there are no statutory provisions or guidance on probationary periods. Collective agreements can stipulate the inclusion of a probationary period in an employment contract.

Notice Period

When an employee (at least 1-year tenure) is dismissed because of redundancy, the following notice periods must be observed:

• 2 weeks or 2 weeks' basic pay in lieu of notice if the employee has been employed for more than 12 months
• If the employee holds a supervisory or managerial position - 1 month or 1 month's basic pay in lieu of notice

In case of dismissal due to causes other than redundancy, the following notice period must be observed:

• 1 week or 1 week pay in lieu of notice if the employee has been employed for more than 6 months or more but less than 12 months
• 2 weeks or 2 weeks pay in lieu of notice if the employee has been employed for more than 12 months
• 2 weeks’ notice if the employee has been employed for one year or more but less than 2 years.
• 4 weeks’ notice if the employee has been employed for more than 2 years.
• If the employee holds a supervisory or managerial position - 1 month or 1 month's pay in lieu of notice

Severance Benefits

Dismissed employees receive severance pay that varies according to their tenure, supervisory status, and reason for dismissal:

Dismissal due to redundancy

• 2 weeks' basic pay (or a part thereof on a pro-rata basis) for each year up to 24 weeks of pay
• If the employee holds a supervisory or managerial position - 1 month's basic pay (or a part thereof on a pro-rata basis) for each year up to 48 weeks.

Dismissal due to causes other than redundancy

• If the employee has been employed for 6 months or more but less than 12 months, 1 week's basic pay
• If the employee has been employed for more than 12 months, 2 weeks' basic pay (or a part thereof on a pro-rata basis) for each year up to 24 weeks of pay
• If the employee holds a supervisory or managerial position - 1 month's basic pay (or a part thereof on a pro-rata basis) for each year up to 48 weeks.

Employees who are summarily dismissed are not entitled to severance benefits.

Minimum Wage

The minimum wage is BSD 260 (Bahamian dollars) per week beginning January 2023.

Salary must be paid at regular intervals, not exceeding 1 month, and employers must maintain a payroll record for at least 3 years.

Overtime, Holiday & Vacation Pay

According to the Employment Act of the Bahamas, the employer is obligated to pay for overtime (work done in excess of the standard working hours of 40 hours per week) at 1.5 times the regular wages of the employee for regular workdays and 2 times the regular wages for a public holiday or day off.

Employees are entitled to their basic wage for the duration of annual leave.

Visas

The Bahamas has the following categories of visas:

• Tourist visa - issued to foreign nationals traveling to the Bahamas for leisure purposes
• Seaman visa - issued to crew members of boats or cruise ships temporarily visiting the Bahamas. The visa fee is BSD 110 (Bahamian dollars).
• Diplomatic visa - issued to the holders of Diplomatic and Official passports
• Single entry visa - issued for one entry within 3 months, for foreign nationals temporarily visiting the Bahamas. The visa fee is BSD 100.
• Multiple entry visa - issued to foreign nationals for multiple entries to the Bahamas for the periods of 3 months, 6 months, 1 year and 3 years; this type is also for a foreign national who is married to a Bahamian national but is not a resident of the Bahamas, or the spouse of a foreign national who works in the Bahamas.
• Extended Access Travel Stay -- issued to foreign nationals wishing to study or work remotely in the Bahamas. The visa acts as a residence and work permit for 12 months and costs BSD 1,025 for remote workers and BSD 525 for students.

Work Permits

Foreign nationals who wish to work in the Bahamas for more than 90 days are required to obtain a work permit with the following documents (not a full list):

• A letter of request from the prospective employer stating reasons for the application, the position, and the period of time required
• A police certificate of character covering five years of residence in the Bahamas
• A medical certificate dated not more than 30 days prior to the submission of the application
• Written references from previous employers (up to two)
• A certificate from the Department of Labour, with Notification of Vacancy attached, indicating that a Bahamian is not available to fill the position.

For short-term work lasting less than 90 days, a short-term work permit (also with application requirements) is required.

For foreign nationals wishing to work remotely for a foreign company, a visa program named BEATS grants a residence and work permit for 12 months. The cost of this program is BSD 1,025, and it can be renewed annually for a maximum duration of 3 years. No minimum length of stay is required. Citizens from the USA, Canada, the EU, and Britain do not need an additional travel permit.