Djibouti Payroll Outsourcing

Pay Your Talents in Djibouti Compliantly

Seeking A Reliable Payroll Partner in Djibouti ?

With our Djibouti Payroll Outsourcing services, your talents are paid on time and without error! Our team at Africa HR Solutions also provides your company with much-needed guidance to ensure that your operations comply with Djibouti’s Labor Code and tax policies. Over the years, we have played a pivotal role in the expansion of over 400 clients across Africa by providing reliable HR and payroll and cross-border payment outsourcing solutions.

Djibouti Country Overview

Geographic location: With a territory of 23,200 km2, Djibouti is one of the smallest countries in Africa and is bordered by Somalia, Eritrea, and Ethiopia.

Population: Despite its sparse population of about 990,000 people, Djibouti’s citizens offer great value, particularly as they speak both Arabic and French as official languages.


Economy: This small African nation should not be to underestimated. Indeed, Djibouti’s strategic geographical location offers it several advantages that many other countries do not possess.

  1. Proximity to shipping lines: For instance, access Red Sea and Indian Ocean in the Horn of Africa is partially controlled by Djibouti. The close proximity to the busiest shipping lines in the world means it plays a role as a crucial hub for refueling and trans-shipment.
  2. Imports: Djibouti is the main maritime port for imports from and exports to the neighboring country of Ethiopia.
  3. Trans-country connection: Djibouti serves as a bridge between Africa and the Middle East. The country, a developing commercial center, is also home to numerous international military installations.

Payroll in Djibouti - What You Should Know

  • Population:
  • Gross Domestic Product (GDP): $3.37 B
  • GDP Growth (April 2021): 4.3%
  • Inflation, consumer prices:
  • Foreign Direct Investment (% of GDP): 5.0%
  • Unemployment Rate:
  • Capital: Djibouti City
  • Currency: Djiboutian franc (DJF)
  • Languages: French, Arabic

Employer Contribution

  • 7% of the employer’s payroll must be contributed to social security.

Employee Contribution

4.00% of the employee’s payroll must be contributed to social security.

  • Value-added tax (VAT)

    The standard VAT rate is 10% in Djibouti.

Paid Time-Off

Employees are generally entitled to 30 days of paid annual leave in Djibouti.

Sick Leave

For the first 29 days of illness/disability, a worker in Djibouti is entitled to receive half of their regular wage. After 29 days, they are then entitled to receive 75%.

Maternity Leave

In Djibouti, women are entitled to a maximum of 14 weeks of paid maternity – 8 of which must be taken before the birth and the remaining, postpartum.

Paternity Leave

In Djibouti, men are entitled to 3 days of paid paternity leave.

An employer can terminate a worker’s contract for:

  • Personal reasons (if the employee’s health is compromised, for example).
  • Grave misconduct – as defined by any of the nine cases clearly stated in article 59 of the Labor Code or by the company’s regulations.

Under Djibouti’s Labor Code, the employer is required to provide at least one month’s notice to their employees. The notice period is extended to not more than three months for supervisors or any similar positions of responsibility.

In Djibouti, the damages and interest payable in respect of a termination of the contract without just reason can vary between two and six months’ salary depending on the size of the company.

The employer must pay 12 months’ salary if staff representatives are dismissed without the authorization of the labor inspectorate.

However, if the ground of termination invoked constitutes a real and serious reason, even without observance of the usual forms of notice, a labor tribunal may require the employer to pay compensation which will not exceed one month’s salary.

  • New Year’s Day (1st January)
  • Prophet’s Ascension
  • Labor Day (1st May)
  • Eid al-Fitr
  • Independence Day (28th June)
  • Day of Arafat
  • Eid al-Adha
  • Islamic New Year
  • Prophet’s Birthday
  • Christmas Day (25th December)

Djibouti Payroll Done The Easy Way. The Right Way.

12 Years of Experience

Over more than a decade, Africa HR Solutions has become a leading payroll service provider across Africa with a proven track record of success with over 400 clients across many industries.

Bulletproof Compliance

Ensuring your operations are carried out compliantly is a must. From country-specific regulations to government laws, we make sure your company is up to code with Africa's legislation at all times.

+44 Countries in Africa

Operating in more than 44 countries in Africa, our team of experts gathered the required knowledge and local expertise to handle your needs and demands - wherever, whenever.

Single Point of Contact

Avoid unnecessary headaches and mistakes thanks to our centralized services and manage everything from a single database. A single point of contact for all of your needs across the continent.

Maximize your ROI

It is cheaper to let a third-party organization handle your payroll than to do it yourself. By saving on the overall cost of payroll, you can reallocate your budget elsewhere to promote company growth.

Swift Payroll Implementation

With Africa HR Solutions you are one call away from implementing an accurate and timely payroll operation to ensure your talents are paid on time no matter where they are in Africa.

We Can Help. Just Tell Us How!

Related Services

Djibouti EOR

Onboard and pay your talents in Djibouti without having to set up a legal entity with our extensive Employer of Record solutions.

Djibouti PEO

Outsource your payroll and benefits administration to us and get access to best in class advantages for your employees.

Djibouti HR Outsourcing

We take care of your HR functions to help you save up on the overall cost and ensure your operations are carried out compliantly.

Countries We Cover

In the last 10 years, the scenario surrounding compliance in African countries has changed dramatically. Africa HR Solutions understands this and has become a major player in the African payroll market.