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Expand your global workforce in Vanuatu

Your guide to the employment landscape, working customs and local labor laws in Vanuatu.

Capital

Port Villa

Currency

Vanuatu Vatu

Languages

French, English, Bislama

GDP per Capita

$3,491.86

Employer Tax

4%

Payroll Frequency

Monthly

Talent overview

Vanuatu is a country in the South Pacific Ocean comprising almost 80 islands that cover 1,300 kilometres. The country primarily depends on agriculture and fishing, which employ almost 80% of the population. Vanuatu recorded a GDP of USD 0.98 billion in December 2021, and its GDP grew by 0.5% in FY21.

Major economic hubs:

Port Villa, Luganville, Norsup

Skills in demand:

Tourist guides, Financial Manager, Fishing, Subsistence farming

Top local universities in Vanuatu

Uni1 28

Vanuatu Institute of Teacher Education

RANKING

Local: 1

World : 29448

Uni2 24

Vanuatu Institute of Technology

RANKING

Local: 2

World : 30635

Top Local Job Boards:

Employment Vanuatu

Number of LinkedIn users:

18,280

Top Recruitment Agencies:

Link Personnel Services

Where to find talent

Top Local Job Boards:

Number of LinkedIn users:

Top Recruitment Agencies:

Salary Data

Some common jobs in Vanuatu with average monthly salary are:

Job Title Average Monthly Salary (in VUV) Average Monthly Salary (in USD)
Financial Manager VUV 196,858.33 1,688.93 USD
General Manager VUV 610,472.67 5,237.51 USD
Business Development Manager VUV 152,083.33 1,304.77 USD
Financial Analyst VUV 125,066.66 1,072.99 USD
Business Analyst VUV 120,891.66 1,037.17 USD
Project Manager VUV 123,933.33 1,063.26 USD

Employ in Vanuatu

Employing in Vanuatu

The employment relationships in the Republic of Vanuatu are overseen by the Employment Act 1 of 1983, Act 20 of 1986, Act 33 of 1989, and Act 8 of 1995. Both foreign and domestic employees must follow the regulations laid down by the Acts or face hefty penalties. The sections below cover the major points of the Employment Acts applicable in Vanuatu.

Employee Contract:

Employment contracts in Vanuatu can be of both written and verbal forms. However, contracts that exceed 6 months or require employees to relocate for work must be in writing. Furthermore, written contracts must include the names of the parties involved, the nature of employment, compensation amount and mode, and all terms and conditions that apply to the relationship.

Probation Period

The standard probationary period in Vanuatu is 15 days, that can be increased to a maximum of 6 months on mutual agreement.

Public and Provincial Holidays

Date Name Type
1 Jan New Year’s Day Public Holiday
21 Feb Father Lini Day Public Holiday
5 Mar Custom Chief’s Day Public Holiday
29 Mar Good Friday Public Holiday
1 Apr Easter Monday Public Holiday
1 May Labor Day / May Day Public Holiday
9 May Ascension Day Public Holiday
24 Jul Children’s Day Public Holiday
30 Jul Independence Day Public Holiday
15 Aug Assumption of Mary Public Holiday
5 Oct Constitution Day Public Holiday
29 Nov Unity Day Public Holiday
25 Dec Christmas Day Public Holiday
26 Dec Family Day Public Holiday

Employee Leaves

Type of Leave Time Period Mandatory
Annual leaves
  • 1 working day for every month of service, if tenure is 12 continuous months
  • 2 working days for every month of service, if tenure is 20 years
  • 4 working days for every month of service, if tenure is 25 years
  • 6 working days for every month of service, if tenure is 30 years
Yes
Sick leaves 21 working days Yes
Maternity leaves 12 weeks (6 week before birth and 6 weeks after birth) Yes

 

Leave Compliance

Payroll in

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Payroll cycle

Vanuatu follows a monthly payroll cycle.

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Minimum wage

The minimum wage in Vanuatu is VUV 220 per hour, VUV 38,134 per month (40-hour work week) and VUV 41,947 (44-hour work week).

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Overtime pay

The standard work week in Vanuatu is a maximum of 8 hours per day, 6 days per week and 44 hours per week. If an employee works for an extended period, they are liable to receive overtime pay as per the following rate:

Read more

How taxes work

Employer Payroll Tax:

Contribution Tax
Vanuatu National Provident Fund (VNPF) 4%

Employee Payroll Tax:

Contribution Tax
Vanuatu National Provident Fund (VNPF) 4%

Employee Income Tax:

There is no income tax in Vanuatu.

VAT:

The standard rate of Value-Added Tax in Vanuatu is 12.5%.

Bonus

13th Month Pay:

Vanuatu laws do not mandate 13th-month pay for all employees living in the country.

Employee Benefits:

  • Vanuatu National Provident Fund
  • Severance pay
  • Paid holidays

Employee offboarding

A fixed-term contract in Vanuatu is terminated on its expiry date. However, indefinite contracts expire after either party requests a termination and the employee serves the notice period, as mentioned in the employment contract. The notice of termination can be in written or verbal form and can be given at any point of time.

The notice period in Vanuatu is dependent on the following:

Scenario Length of notice period
The employee is paid within a 14-day interval 14 days before the end of the final working month
The employee is paid in less than a 14-day interval The same payment interval
The employee has served continuously for 3 years or more 3 months

The severance pay in Vanuatu is paid according to the table below:

Period of employment Severance pay
Every 12 month ½ month’s pay, if employee is compensated at least once a month
15 days’ pay, if employee is compensation at intervals less than a month
Every period less than 12 month 1/12th of their annual pay multiplied by their length of service

 

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Visa and
immigration

Vanuatu offers three types of work visas:

  • Long-term: Valid for one year, for employees who are interested in extending their stay in the country. The visa can be extended for up to four years.
  • Temporary: For employees who are in the country for business purposes for four months or less.
  • Exempted: For employees who are in the country for a month or less for business purposes.

The employer is responsible for applying for the work visa on behalf of the foreign employee. They must contact the Department of Labor and Employment Services and submit the following documents:

  • Valid passport of the employee
  • Passport size photographs of the employee
  • Reason to employ a non-citizen of Vanuatu
  • Copy of the employment notice
  • Applications that were accepted from the job advertisement
  • Filled out application form for the work visa

Read more

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