How to Hire and Pay Employees in Tunisia: An Employer Guide

You need tech talent. Tunisia has it - skilled developers who speak Arabic, French, and English, sitting just across the Mediterranean from Europe. The time zones align. The costs make sense. Everything points to Tunisia being your next hiring move.

Then you dig into the details. Employment contracts must be in Arabic. Social security contributions have specific deadlines. Work permits need proof that you couldn’t find someone locally. What looked straightforward at first is suddenly making your head spin.

We’ve got you covered with this guide. It walks you through how to confidently hire and pay employees in Tunisia the right way. No fluff, just practical steps to help you stay compliant and move fast.

Step 1: Identify legal hiring requirements in Tunisia

Before you send out your first offer letter, you’ll want to get familiar with Tunisia’s employment landscape. The labor code is worker-friendly and packed with detail, especially around contracts, wages, and protections. Getting even one step wrong could set you back. If you’re unsure how co-employment works or how to avoid risk, take a look at this overview of co-employment.

Here’s what you need to know:

Employment contracts must be written in Arabic. You can include a second language, but Arabic wins in legal disputes. If the role is project-based, you can use a fixed-term contract, but it automatically becomes indefinite after four years.

The Guaranteed Minimum Wage (SMIG) for non-agricultural jobs is about Tunisian dinars (TND) 528/month for a 48-hour workweek. Probation periods range from one to six months and must be clearly outlined in the contract.

If your ideal candidate isn’t Tunisian, you’ll need to secure both a residence permit and a work permit before they start. You’ll also need to show that the role couldn’t be filled locally. High-skilled roles have a better chance of approval, but there are quotas, so plan ahead. Tunisia has bilateral agreements with several countries, which might make the work visa process easier. You can find the latest rules through ANETI.

You have two options if you want to hire full-time: set up a legal entity in Tunisia—which includes registering with the tax office, commercial registry, and CNSS—or use an Employer of Record (EOR) like Pebl. The EOR is the legal employer on paper and handles payroll, taxes, and local compliance. You still manage the person’s day-to-day work. If you’re wondering what an EOR actually does, here’s a deeper look at what an Employer of Record is.

Using an EOR is a smart shortcut when you’re testing the market or hiring a few key roles without committing to a full local setup.

Step 2: Create employment contracts and onboard properly

Employment contracts in Tunisia must be written in Arabic and include the contract type (fixed-term or indefinite), salary, job duties, hours, benefits, and leave entitlements. They also need to clearly spell out probation terms, notice periods, and how the contract can end.

Standard notice is about a month, but collective agreements can change that. CBAs are common in industries like healthcare, transportation, and manufacturing.

During onboarding, you’ll need to collect a valid ID or passport, tax ID number, bank details for salary payments, and register the employee with CNSS for social security. This must happen before day one, or you could face penalties.

Step 3: Build a compensation and benefits package that works

Let’s talk pay and perks. Salaries vary by role and region, but all must meet or exceed Tunisia’s SMIG. For context, software engineers in Tunis often earn between TND 2,000–3,500/month, per Salary Explorer.

Here’s how deductions work:

• Employers contribute around 16.57% of gross salary to social security
• Employees contribute about 9.18%, deducted at the source
• Income tax is progressive and ranges from 0% to 35%

Legal entitlements include at least 12 days of paid vacation, six public holidays, 30 days of maternity leave, paid sick leave (after the third day), and severance pay in most dismissals. Perks like meal vouchers or transport stipends aren’t required but are common and help with retention.

Step 4: Set up payroll and pay employees in Tunisia

Once you’ve got your employee and contract set, you’ll need a working payroll process. Here’s what that looks like:

1. Calculate gross salary
2. Apply deductions
3. Add employer contributions
4. Submit declarations to CNSS and tax offices
5. Pay net salary in Tunisian dinar (TND) via local bank transfer

You’ll also need to file monthly CNSS reports, quarterly tax filings, and an annual wage declaration used to reconcile income tax. Late filings or missed contributions can lead to back pay.

Tips and resources for a successful setup

You don’t need to go it alone. To stay compliant, work with a local labor lawyer or a global employer of record. Keep airtight records for payroll, contracts, and tax filings, and stay current with updates from ANETI and CNSS.

What an Employer of Record (EOR) can do for you

An EOR takes the pressure off. They act as the legal employer on paper, so you don’t have to open a local entity. They draft compliant contracts, handle payroll and taxes, and stay up to date on Tunisian labor laws so you don’t have to. You still lead the team. They just make it all legal, fast, and stress-free.

Let Pebl make hiring in Tunisia simple

Tunisia might feel like unfamiliar territory, but we’ve got your map. With Pebl as your EOR service provider, you can hire, onboard, and pay employees in Tunisia without setting up an entity or navigating the legal maze alone.

Our EOR in Tunisia handles payroll, compliance, contracts, and taxes so you can focus on what actually matters: growing your business.

Need to make your first hire in Tunisia? Let’s talk.

This information does not, and is not intended to, constitute legal or tax advice and is for general informational purposes only. The intent of this document is solely to provide general and preliminary information for private use. Do not rely on it as an alternative to legal, financial, taxation, or accountancy advice from an appropriately qualified professional. The content in this guide is provided “as is,” and no representations are made that the content is error-free.

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