Seeking A Reliable Payroll Partner in Zambia?
With our Zambia 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 Zambia’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.
Zambia Country Overview
Geographic location: Zambia lies in a central position in southern Africa surrounded by quite a number of countries. It is a landlocked country between Angola in the west, Namibia, Botswana and Zimbabwe in the south, Mozambique, Malawi and Tanzania in the east, and the Democratic Republic of Congo in the north.
Population: While English is Zambia’s official language, its inhabitants speak a myriad of indigenous languages.
Economy: Zambia is a low-income country. Its predominant sectors are agriculture and mining which account for most of its gross domestic product (GDP) earnings. Rich in natural resources, Zambia also enjoys a politically stable environment.
Payroll in Zambia - What You Should Know
- Population: 19,473,125
- Gross Domestic Product (GDP): $22.15 B
- GDP Growth (April 2021): 4.6%
- Inflation, consumer prices: 22%
- Foreign Direct Investment (% of GDP): -3.7%
- Unemployment Rate: 13.0%
- Capital: Lusaka
- Currency: Zambian Kwacha
- Languages: English
Employer Contribution
- Employer contribution to the National Pension Scheme Authority (NAPSA) must match the employee’s
Employee Contribution
- Employee contribution to the National Pension Scheme Authority (NAPSA) is capped at the lower 5% of annual basic salary or ZMW21 476 per annum
Value-added tax (VAT)
The standard VAT rate is 16% in Zambia.
Paid Time-Off
Employees are generally entitled to 24 days of paid annual leave.
A full-time employee is entitled to at least 2 days of annual leave after one month of service.
Sick Leave
In Zambia, the maximum duration of a sick leave depends on the nature of the employment contract.
- On a short-term contract, an employee is paid fully for the first 26 days of illness and thereafter, paid at half rate (50%) for the next 26 days
- On a long-term contract, an employee is paid fully during the first three months of illness and thereafter, paid at half (50%) for the next three months
Maternity Leave
According to the Employment Code Act of 2019, women in Zambia are entitled to 14 weeks of paid maternity leave – 6 of which must be taken in the postnatal period.
In the event of multiple births (birth of twins or more), an employee can extend their maternity leave to 18 weeks.
Paternity Leave
In Zambia, men are entitled to 7 days of paid paternity leave.
- In Zambia, an employee is entitled to termination notice or payment in lieu of notice. This is not applicable to workers guilty of grave misconduct.
- The notice period is generally specified under the employment contract.
- The minimum notice period under the Labour Act is:
- 24 hours for a contract not exceeding 1 month
- 14 days for a contract ranging between 1 to 3 months
- 30 days for a contract of more than 3 months.
Any notice provided for a contract of more than 6 months must be in writing.
Severance pay in Zambia is regulated under the Employment Code Act of 2019 as “wages and benefits paid to an employee on contract termination.”
Compensation is as follows:
- Termination of an employment contract with a fixed duration: a minimum of 25% of the employee’s basic wages earned during the contract period.
- Termination of employment due to redundancy: 2 months’ basic wages for each completed year of service.
- Employee’s death in service: 2 months’ basic wages for each completed year of service.
Medical discharge: at least 3 months’ basic wages for each completed year of service.
- New Year’s Day (1st January)
- International Women’s Day (9th March)
- Youth Day (in Zambia) (12th March)
- Good Friday (10th April)
- Holy Saturday (11th April)
- Easter Monday (13th April)
- Labor Day (1st May)
- Africa Day (25th May)
- Heroes Day (in Zambia) (6th July)
- Unity Day (7th July)
- Zambia Farmers Day (3rd August)
- Zambian National Day of Prayer (19th October)
- Zambian Independence Day (24th October)
- Christmas Day (25th December)
Zambia 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!
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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.
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