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Discover global hiring strategies from leading recruitment platforms
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Speed up your global expansion! Expand smartly in 150+ countries with the #1 rated EOR globally.
Explore Multiplier EOR
Your guide to the employment landscape, working customs and local labor laws in Tanzania.
Capital
Dodoma
Currency
Tanzanian Shilling (TZS)
Languages
Swahili and English
GDP per Capita
$1,340.82
Employer Tax
25.5% - 29.5%
Payroll Frequency
Daily/Weekly/Bi-weekly/Monthly
Tanzania is described as having a lower-middle income economy and has sustained high economic growth in the past decade. Their agricultural sector alone has been growing by 4% every year. Their economic success is also contributed by their industrial activities, strategic location and rich natural resources.
Major economic hubs:
Dar es Salaam, Mwanza, Dodoma
Skills in demand:
Local: 3
World : 5536
Brighter Monday, CVPeopleAfrica, Vipawa Works
1,019,400
Epic Business Resources, LTD, Kaparama Professional Recruiters, LTD
Top Local Job Boards:
Top Local Job Boards
Number of LinkedIn users:
Number of LinkedIn users
Top Recruitment Agencies:
Below are monthly average salaries for some positions in Tanzania:
| Job Title | Average Monthly Salary (TZS) | Average Monthly Salary ( USD) |
| Account Manager | 1,400,000 | 599.32 |
| Software Engineer | 1,190,000 | 509.42 |
| Data Analyst | 1,210,000 | 517.98 |
| Graphic Designer | 823,000 | 352.31 |
| Project Manager | 1,480,000 | 633.56 |
| Sales Manager | 2,100,000 | 898.97 |
The first step to exploring Tanzania’s labor market is to gain familiarity with its labor regulations and rules. Below are some factors you must look into when employing Tanzanian employees.
Employee Contracts in Tanzania must be expressed in a language that is understandable for both parties. Most commonly, these legal documents are in Swahili or English.
Newly hired Tanzanian employees will be under a probationary period of up to 6 months before they can be regularized.
| Date | Name | Type |
| 1 Jan | New Year’s Day | Public Holiday |
| 12 Jan | Zanzibar Revolution Day | Public Holiday |
| 29 Mar | Good Friday | Public Holiday |
| 1 Apr | Easter Monday | Public Holiday |
| 7 Apr | Karume Day | Public Holiday |
| 10 Apr | Eid el Fitri (Tentative Date) | Public Holiday |
| 11 Apr | Eid el Fitri Holiday (Tentative Date) | Public Holiday |
| 26 Apr | Union Day | Public Holiday |
| 1 May | Worker’s Day | Public Holiday |
| 17 Jun | Eid al-Adha (Tentative Date) | Public Holiday |
| 7 Jul | Saba Saba | Public Holiday |
| 8 Aug | Farmers’ Day | Public Holiday |
| 16 Sep | Maulid (Tentative Date) | Public Holiday |
| 14 Oct | Mwalimu Nyerere Day | Public Holiday |
| 9 Dec | Independence Day | Public Holiday |
| 25 Dec | Christmas Day | Public Holiday |
| 26 Dec | Boxing Day | Public Holiday |
| Type of Leave | Time Period | Mandatory |
| Annual Leave | 28 days | Yes |
| Sick Leave | 126 days | Yes |
| Maternity Leave | 84 to 100 days | Yes |
Leave Compliance
Payroll cycle
The Tanzanian salary management can be released daily, weekly, bi-weekly or monthly, depending on what was stated in their contract.
Minimum wage
The minimum wage in Tanzania varies across different sectors. It ranges from TZS 40,000 to TZS 400,000 per month.
Overtime pay
Overtime work in Tanzania is compensated with 150% of an employee’s regular pay rate.
| Type of Contribution | Tax Rate |
| National Social Security Fund (NSSF) | 10% |
| Public Service Social Security Fund (PSSSF) | 15% |
| Skills and Development Levy (SDL) | 4% (for companies with at least 10 employees) |
| Workers compensation fund tariff | 0.5% |
| Type of Contribution | Tax Rate |
| National Social Security Fund (NSSF) | 10% |
| Public Service Social Security Fund (PSSSF) | 5% |
| Taxable income bracket (TZS) | Tax on column 1 (TZS) | Tax on excess (%) | |
| 0 – 270,000 | – | 0 | |
| 270,000 – 520,000 | – | 8 | |
| 520,000 – 760,000 | 20,000 | 20 | |
| 760,000 – 1,000,000 | 68,000 | 25 | |
| 1,000,000 – And above | 128,000 | 30 | |
The standard rate for VAT in Tanzania is 18%.
A 13th month pay is not mandatory in Tanzania.
Some of the benefits that Tanzanian employees are entitled to are the following:
Terminating an employment contract may be caused by varying circumstances. Some of the reasons are misconduct, incapacity, incompatibility and operational requirements. Regardless of the grounds for termination, a notice must be given to inform either parties of the decision to end the contract.
Notice Period in Tanzania can be 7 to 28 days, depending on the employee’s length of service.
Severance Pay in Tanzania will be equivalent to 7 days of an employee’s regular wage for each year of service (up to a maximum of 10 years). This compensation will not be entitled to employees being terminated due to misconduct.
Foreigners opting to work in Tanzania must secure a work permit and residence permit in order to legally stay in the country. There are 3 classifications for this legal document:
Expats must apply for the appropriate permit classification that befits their purpose in the country. Most employees, however, would qualify for the Class B work permit.
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Overtime Pay
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Tanzania
