Country Information

The Cayman Islands is an autonomous British territory located in the western portion of the Caribbean Sea. The territory is comprised of the Grand Cayman, Cayman Brac and Little Cayman. The Caymans have gained an international reputation as an offshore financial center. Residents enjoy the highest standard of living throughout the Caribbean. The Caymans offer low unemployment rate, strategic location, and an investment-friendly government for those considering expansion in the region.

Employment Contracts

Employers must provide employees with a written employment contract within 10 days of their employment. It must contain details of the annual leave, sick leave, maternity leave, probation period, notice period, work hours and health and safety. Employers can use fixed-term contracts for employees with both a fixed start date and end date. They can also use indefinite contracts where the employment is permanent after the probation period is successfully completed.

Working Hours

The standard workweek is 45 hours and is capped at nine hours a day. Employees receive a 24-hour rest period every week and they receive a 30-minute break after five hours of work per day. Overtime is typically paid at a percentage above the regular rate.

Sick Leave

Employees receive 10 days of fully paid sick leave and the employee must provide a medical certificate after three days of absence.

Maternity/Paternity Leave

Female employees receive 12 weeks of maternity leave after a year of service and it is pro-rated if they have worked less than a year. The first 20 days are fully paid and then the reminder is at half pay. They can determine how much leave can be taken before and after the due date. The employer pays the maternity leave.They are also entitled to nine weeks of adoption leave for a child under the age of three years old. There is no statutory paternity leave.


The Cayman Islands has a minimum wage. Bonuses are not required but are common.

Vacation Leave

Employees receive two weeks of paid annual leave if they have up to four years of service. This increases to three weeks for up to 10 years of service. After 10 years, this increases to four weeks.

Public Holidays
  • New Year’s Day
  • National Heroes’ Day
  • Ash Wednesday
  • Good Friday
  • Easter Monday
  • Discovery Day
  • Queen’s Birthday
  • Constitution Day
  • Remembrance Day
  • Christmas Day
  • Boxing Day
Health Insurance Benefits

Employers must provide employees with Standard Health Insurance and the cost is split evenly with the employees.

Employment / Termination / Severance

The probation period is capped at six months and can be extended once. However, it can be terminated at any time. The notice period is typically a month and employees with a year of service receive severance pay. The pay is one week for every year of service, up to 12 weeks of pay. Employers can terminate employees when their fixed-term contract finishes or by providing notice. When there is misconduct, which isn’t serious enough for dismissal, the employee can be given a written warning and if they commit misconduct again within a year, the employer can terminate the employment. If the employee feels the dismissal is unfair, they can file a complaint with the company director within 90 days of the dismissal and a labor tribunal can determine whether the dismissal was unfair.

Local Laws & Regulations

We understand that local laws and regulations change and sourcing an accurate reference guide is not easy. Our data is researched and verified by our team of local international Employment Attorneys, HR and Benefit Professionals and Tax Accountants through our Atlas team and consultants, to ensure information up-to-date and accurate.

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Partnering with Atlas when expanding into Cayman Islands, can dramatically reduce the standard brick and mortar processes of doing business in foreign markets and allow you to focus on what you do best, growing your company! To discover more about how Atlas can simplify your ability to expand globally, please feel free to contact us.
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