Hire compliantly inBarbados Talk to an Expert

Written Agreements

The Employment Rights Act does not mandate the provision of written employment contracts. If a written agreement is concluded, however, the employer is required to include name of the parties, nature of the job and its duration, wages, and hours of work.

Oral Agreements

The Employment Rights Act recognizes employment contracts made orally. However, the oral contract must meet criteria in the First Schedule in order to be considered valid.

Implied Agreements

The Employment Rights Act recognizes employment contracts made in an implied manner. However, the implied contract must meet criteria in the First Schedule in order to be considered valid.

The Bajan Shops Act sets the standard workweek at 40 hours per week (8 hours per day). Employees are also entitled to 2 days of rest per week which usually occur on Saturday and Sunday. Employees who work above the standard hours are eligible for overtime.

There are no statutory provisions or guidance on probationary periods. Probation periods may be stipulated in the employment contract.

Notice Period

Per the Employment Rights Act, employment contracts can be terminated by either party by providing prior notice. The notice period is applicable to employees who maintain continuous employment.

The notice required to be given by an employer to terminate the contract of employment of an hourly, daily or weekly paid employee who has been continuously employed for one year or more is no less than:

• 1 week's notice where the service period is less than 2 years
• 2 weeks' notice where the service period is 2 years but less than 5 years
• 4 weeks' notice where the service period is 5 years but less than 10 years
• 6 weeks' notice where the service period is 10 years but less than 15 years
• 10 weeks' notice where the service period is 15 years or more

The notice required to be given by an employer to terminate the contract of employment of a bi-weekly paid employee who has been continuously employed for 1 year or more is not less than:

• 2 weeks' notice where the service period is less than 5 years
• 4 weeks' notice where the service period is 5 years but less than 10 years
• 6 weeks' notice where the service period is 10 years but less than 15 years
• 10 weeks' notice where the service period is 15 years or more

The notice required to be given by an employer to terminate the contract of employment of a monthly-paid employee who has been continuously employed for 1 year or more is not less than:

• 1 month's notice where the service period is less than 10 years
• 1.5 months' notice where the service period is 10 years but less than 15 years
• 2.5 months' notice where the service period is 15 years or more

The notice required to be given by an employee who has been continuously employed for 1 year or more to terminate his contract of employment is not less than:

• 1 week's notice in the case of hourly, daily, or weekly paid employee
• 2 weeks' notice in the case of bi-weekly paid employees
• 1 month's notice in the case of a monthly paid employee

Severance Benefits

Per the Barbados Severance Payments Act, an employee's eligibility for severance pay is dependent on the following criteria:

• 104 continuous weeks with the same employer
• Working at least 21 hours per week
• At least age 16 and no older than age 65
• Dismissed due to redundancy, natural disaster, or laid-off or short-term dismissal.

Severance pay is calculated by utilizing the 104-week period and backtracking through the years of service and the rates are as follows:

• 2.5 weeks' basic pay for each year up to 10 years
• 3 weeks basic pay for each year that exceeds 10 years but does not exceed 20 years
• 3.5 weeks' basic pay for each year that exceeds 20 years but does not exceed 33 years.

The basic weekly average should not exceed the maximum insurable earnings ceiling which is currently BBD 1,201.

Minimum Wage

Employers in Barbados are required to pay employees at least minimum wage. As of April 2021, the current minimum wage is set as follows:

• BBD 340.00 (Barbados Dollars) for 40 hour work week
• BBD 68.00 for an 8-hour workday where the employee is not employed on a weekly basis
• BBD 8.50 per hour when the employee is not employed on a weekly or daily basis.

Additionally, employers are required to provide at least minimum overtime wages. The minimum overtime rates are as follows:

• BBD 12.75 for ordinary working days
• BBD 17.00 for Public Holidays.

Payroll frequency is determined by the employment contract, either weekly or monthly.

Overtime, Holiday & Vacation Pay

According to the Bajan Shops Act, Employers should note that employees must be paid at least twice their regular rate if they work on their day off or a public holiday. In all other cases, employees are entitled to 1.5 times as much as their ordinary rate.

Since employees are not obligated to work extra shifts, employers should provide reasonable advance notice for additional hours (overtime), except in unexpected situations.

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

Visitors require an entry visa to enter Barbados, while citizens of several countries do not, which include some of the following:

• United Kingdom;
• United States;
• Canada;
• France;
• Spain;
• United Arab Emirates;
• Switzerland:
• Portugal;
• Australia;
• And many more.

Visas

Barbados offers single entry and multiple entry visas. Single entry visa allows foreign nationals to make one entry within a 3-month period while a multiple entry visa allows numerous entries within a 6-month period.

Work Permits

Barbados offers 2 types of work permits: short-term and long-term. Short-term work permits are valid for a period up to 11 months while long-term work permits are valid for up to 3 years. The employer or 'sponsor' has the responsibility to make the application on behalf of the employee.