Your quick guide on talent and labor compliance norms in Isle of Man
Capital
Douglas
Currency
Manx Pound (IMP) (rate is equivalent to to that of British Pound sterling)
Languages
Manx, English
Payroll Frequency
Monthly
GDP per Capita
$86,614.12
Employer Tax
0 - 12.8%
Talent Overview
The Isle of Man’s economy largely depends on its financial, manufacturing, and tourism industry, which has provided employment opportunities for its citizens. This Island nation also entices technology and financial companies to establish their business in the area by way of low tax rates. As a result, the Isle of Man is a popular choice for tech start-ups, particularly in e-gaming, e-sports, media, film, fintech, and blockchain.
Major economic hubs:
Douglas, Ramsey, Peel
Skills in demand:
Financial services, engineering, healthcare, manufacturing teaching, retail and hospitality
Local Universities
The top local universities in Isle of Man are as follows:
Local: 1
World: 18466
Salary Data
| Job Title | Average Monthly Salary (in IMP) | Average Monthly Salary (in USD) |
| Financial Manager | 3,238 | 4,156 |
| General Manager | 2,945 | 3,780 |
| Business Development Manager | 2,725 | 3,498 |
| Financial Analyst | 2,709 | 3,478 |
| Business Analyst | 3,221 | 4,135 |
| Project Manager | 3,246 | 4,167 |
Employment law policies in this nation are well regulated by the Department for Enterprise, one of the eight departments in the Isle of Man Government. They have stipulated some legislations and best practices for employees and employers to observe when conducting business in the area. Below is some helpful information that employers must keep in mind when taking in talents from the island.
A written contract containing the employment details and employee rights is necessary when employing workers in the nation. However, there is no statutory language requirement for employment contracts in the Isle of Man.
| Date | Name | Type |
| 1 Jan | New Year’s Day | Public Holiday |
| 29 Mar | Good Friday | Public Holiday |
| 1 Apr | Easter Monday | Public Holiday |
| 6 May | Early May Bank Holiday | Public Holiday |
| 27 May | Late May Bank Holiday | Public Holiday |
| 7 Jun | T. T. Bank Holiday | Public Holiday |
| 5 Jul | Tynwald Day | Public Holiday |
| 26 Aug | Summer Bank Holiday | Public Holiday |
| 25 Dec | Christmas Day | Public Holiday |
| 26 Dec | Boxing Day | Public Holiday |
| Type of Leave | Time Period | Mandatory |
| Annual Leave | 4 weeks | Yes |
| Sick Leave | 26 weeks | Yes |
| Maternity Leave | 39 weeks | Yes |
Payroll
Payroll Cycle
Salaries in the Isle of Man are paid on a monthly basis.
Minimum Wage
The Minimum wage in the Isle of Man is 10.75 IMP/hour.
Overtime Pay
The standard working hours in the Isle of Man are 40 hours in a five-day work week. Overtime pay for civil servants is based on their annual pay and allowances. The hourly overtime rate is calculated as follows:
Annual Salary / 37 (hours) x 52.2 (weeks) = Plain-Time Rate
Bonus
A 13th month pay is not compulsory in the Isle of Man.
The Isle of Man social security scheme offers a lot of coverage for its members. Below are some benefits they provide:
Taxes
Employer contributions for their employees National Insurance may be dependent on individual circumstances. However, below is the standard rate for their contributions:
| Salary Bracket (Per week) | Rate |
| Up to IMP 120 | 0% |
| IMP 120 and over | 12.8% |
Below are the Employee contribution rate for Isle of Man’s National Insurance Scheme:
| Salary Bracket (Per week) | Rate |
| Up to IMP 138 | 0% |
| IMP 138 – IMP 823 | 11% |
| IMP 823 and over | 1% |
| Employee Category | Salary Bracket | Rate |
| Single Person | Up to IMP 6,500 | 10% |
| IMP 6,500 above | 20% | |
| Married Couple | Up to IMP 13,000 | 10% |
| IMP 13,000 above | 20% | |
| Non-Resident | Any amount | 20% |
The Standard VAT rate in the Isle of Man is 20%.
Offboarding & Termination
The employment contract set out before the employee upon onboarding becomes the basis for the termination process and the notice period. It should state the obligations of both parties should either one choose to terminate the contract.
The notice period will depend on the employee’s years of service and on which party chooses to terminate the employment.
If the employer terminates the employee:
| Years of Service | Notice Period |
| Less than two (2) years | One (1) week |
| Two (2) years to 12 years | One (1) week for each year of continuous service |
| 12 years and above | 12 weeks |
If the employee resigns:
| Years of Service | Notice Period |
| Less than two (2) years | One (1) week |
| Two (2) years to Four (4) years | One (1) week for each year of continuous service |
| Four (4) years and above | Four (4) weeks |
Employees who are terminated due to redundancy are entitled to a one (1) week’s worth severance pay for each year of continuous service (capped at IMP 540). The maximum amount of years to be paid is 26 years.
Visa and Immigration
There are two types of visas that foreign workers can apply to legally work in the Isle of Man.
Below are following:
| Type of Visa | Validity | Purpose |
| Work Permit | 1 year (can be renewed) |
|
| Standard Visitor’s Visa | 6 months (can be renewed) |
|
