Employer of Record in Fiji

An Employer of Record, or EOR, is a company that legally hires employees on your behalf in Fiji. This means you can build a team in Fiji without setting up a local legal entity. The EOR handles all the administrative tasks like payroll, taxes, and benefits, ensuring you comply with local labor laws. You maintain control over your employee's day to day work while the EOR manages the HR and legal responsibilities. For companies looking to hire talent in Fiji, an EOR like Rivermate can simplify the process.

How an Employer of Record (EOR) Works in Fiji

Using an EOR in Fiji streamlines the process of hiring employees. It allows you to tap into the local talent pool quickly and compliantly. Here is a simple breakdown of how it works:

• You Find the Talent: You identify the candidate you want to hire in Fiji.
• The EOR Hires Them: The EOR legally hires the employee on your behalf through a local, compliant employment contract.
• Onboarding is Handled: The EOR manages the entire onboarding process, ensuring all necessary paperwork is completed according to Fijian law.
• HR and Payroll are Managed: The EOR takes care of all HR administrative tasks. This includes processing payroll, withholding taxes, and managing benefits. They ensure compliance with Fiji's regulations, like contributions to the Fiji National Provident Fund (FNPF).
• You Manage Daily Work: While the EOR handles the legal and HR aspects, you manage your employee's daily tasks and responsibilities.

Why use an Employer of Record in Fiji

Using an EOR in Fiji offers a straightforward way to grow your team without the complexities of establishing a legal entity in the country. This approach saves you time and reduces risk, letting you focus on your business goals.

Here are some key benefits:

• Enter the Market Quickly: An EOR allows you to hire employees in Fiji without the lengthy process of setting up a local company. This means you can get your team working in a fraction of the time.
• Ensure Compliance: EORs have expert knowledge of Fiji's labor laws. They ensure everything from employment contracts to termination procedures meets local legal standards. This minimizes your risk of non-compliance.
• Save on Costs: You avoid the significant expenses and administrative headaches associated with establishing and maintaining a legal entity in Fiji.
• Gain Local Expertise: An EOR provides valuable insights into local business practices and cultural norms, helping you manage your team effectively.
• Simplify HR and Admin: The EOR handles all the complex HR functions. This includes payroll, tax compliance, and benefits administration, freeing you to focus on your core business operations.

Rivermate's transparent pricing model eliminates complexity with a single, competitive monthly fee per employee. Unlike traditional PEO providers, our pricing in Fiji includes comprehensive HR support, benefits administration, compliance management, and access to our proprietary dashboard for real-time workforce analytics. No hidden costs, no setup fees—just straightforward pricing that scales with your business needs while ensuring full legal compliance in Fiji.

Hiring in Fiji can be a great way to grow your team. The country has a young, tech-savvy workforce with a high literacy rate. But before you start, it's important to understand the local labor laws. The Employment Relations Act of 2007 is the main legislation that governs employment in Fiji. It covers everything from employment contracts to working hours and termination.

Employment contracts & must-have clauses

You should always have a written employment contract in place for your employees in Fiji. The contract should be in English and outline the terms and conditions of employment.

Here are some of the essential clauses to include in an employment contract:

• Employee and employer details: Full names and addresses of both parties.
• Job title and description: A clear explanation of the employee's role and responsibilities.
• Place of work: The primary location where the employee will be based.
• Start date: The date the employment begins.
• Wages and payment: The employee's salary or wages, and how often they will be paid.
• Working hours: The standard hours of work.
• Leave entitlements: Details of annual leave, sick leave, and other types of leave.
• Termination: The notice period required for termination by either party.

Probation periods

In Fiji, you can include a probationary period in an employment contract to assess a new employee's suitability for a role. The length of the probation period is at your discretion, but it must be agreed upon in the contract. For private sector employees, probation periods of two to three months are common. However, for public servants, a six-month probation period is mandatory.

Working hours & overtime

The standard working week in Fiji is a maximum of 48 hours for those working six days a week, or 45 hours for those working five days a week. A standard workday is eight hours. Any work done beyond these hours is considered overtime and must be paid at a higher rate. The general overtime rate is 1.5 times the employee's regular hourly wage.

Public & regional holidays

Fiji has a number of public holidays throughout the year. Employees are entitled to a paid day off on these days. If an employee is required to work on a public holiday, they must be paid double their regular rate.

Here are the public holidays for 2025:

Hiring contractors in Fiji

When you hire independent contractors in Fiji, you need to be careful to classify them correctly. Misclassifying an employee as a contractor can lead to significant penalties, including back payment of taxes and other employee benefits.

An Employer of Record (EOR) can help you mitigate this risk. An EOR acts as the legal employer for your contractors, ensuring they are classified correctly and that you are compliant with all local labor laws. This means you can focus on finding the best talent for your team, without having to worry about the legal and administrative burdens of international hiring.

Navigating payroll in Fiji means understanding a few key local rules. The system is straightforward, but you need to get the details right to stay compliant and keep your team happy. It involves calculating pay, withholding the correct taxes, and making contributions to the national provident fund.

Payroll cycles & wage structure

In Fiji, you can pay your employees on a monthly or bimonthly cycle. Monthly is the most common approach.

Wages are not a single national standard for all jobs. Instead, different industries have wages councils that set the minimum wage and working conditions for their specific sector. This means the minimum you can pay an employee depends on the industry they work in.

Overtime & minimums

The standard work week in Fiji is either 45 hours over five days or 48 hours over six days. Normal working hours are typically 8 hours per day.

The national minimum wage is FJD 4.50 per hour, which is expected to increase. However, remember that wages councils often set higher minimums for specific industries.

When an employee works beyond their normal hours, you must pay them overtime. The rate is one and a half times their normal hourly rate. For work on weekends or public holidays, the overtime rate increases to double the normal hourly rate.

Employer taxes and contributions

As an employer, you have a couple of main contributions to make. You are responsible for paying into the Fiji National Provident Fund (FNPF) for your employees and paying a tax on any fringe benefits you provide.

Employee taxes and deductions

Your employees also have deductions taken from their pay. This includes their contribution to the FNPF and income tax, which is handled through a Pay As You Earn (PAYE) system.

Understanding employee benefits and leave in Fiji is straightforward. The government sets minimum standards that all employers must follow. This ensures you and your team get fair treatment. These rules cover your time off, holidays, and other key benefits. Think of them as the foundation for your employment relationship.

Statutory leave

Fijian law requires employers to provide several types of paid leave.

• Annual Leave: You are entitled to 10 days of paid annual leave after one year of continuous service with your employer.
• Sick Leave: You can take up to 10 days of paid sick leave per year. You'll need to have worked for at least three months to be eligible. A medical certificate may be required. Unused sick leave does not carry over to the next year.
• Maternity Leave: Female employees receive 98 consecutive days of maternity leave. For the first three births, this leave is fully paid.
• Paternity Leave: Male employees are entitled to 5 working days of paid paternity leave.
• Bereavement Leave: You can take 3 days of paid leave if an immediate family member passes away.

Public holidays & regional holidays

Fiji observes a number of public holidays each year. If you work on a public holiday, you are typically entitled to extra pay.

Typical supplemental benefits

Many employers offer benefits beyond the legal requirements to attract and retain talent.

How an EOR can help with setting up benefits

Setting up a competitive and compliant benefits package in a new country can be complex. An Employer of Record (EOR) simplifies this process.

An EOR already has a legal entity in Fiji. They understand the local laws and market expectations. They handle the administration of all statutory benefits, like payroll deductions for the Fiji National Provident Fund (FNPF). An EOR can also advise on and manage supplemental benefits that make your offer attractive to local talent. This saves you time and reduces risk, ensuring your business is compliant from day one.

Letting an employee go is a tough part of business, no matter where you are. In Fiji, it is important to handle the process with care and follow the local laws. This ensures you treat your departing employees fairly and protect your business from legal issues. The process involves giving proper notice, calculating final pay, and managing the offboarding process smoothly.

Notice periods

When ending an employment contract in Fiji, you must provide a written notice period. The length of this notice depends on how long the employee has worked for you. For employees with less than one year of service, the standard notice period is one week. For those who have been with the company longer, the notice period can be up to three months. If the employment contract is for a fixed term of one month or less, no notice is required from either party.

Here is a general breakdown of notice periods:

It's important to check the individual employment contract, as it may specify a longer notice period. You can also provide payment in lieu of notice, which means you pay the employee their wages for the notice period instead of having them work.

Severance pay

Severance pay is not always required in Fiji. However, if you are terminating an employee for economic reasons, such as redundancy, you must provide redundancy pay. This is calculated as at least one week's wages for each year of service. For a termination to be considered a redundancy, it must be due to economic, technological, or structural reasons.

In cases of termination for just cause, like serious misconduct, severance pay is not required. It is crucial to have a valid reason for termination and to provide the employee with a written statement outlining these reasons.

How Rivermate handles compliant exits

At Rivermate, we make sure that every termination and offboarding process in Fiji is handled correctly and compliantly. We understand that navigating local labor laws can be complex, so we manage the entire process for you.

Here’s how we help:

• Legal Compliance: We ensure that every step of the termination process adheres to Fiji's Employment Relations Act 2007. This includes providing the correct notice periods and calculating any required severance or redundancy pay.
• Clear Communication: We help you prepare all necessary documentation, including the written notice of termination. We make sure the reasons for termination are clearly communicated to the employee to maintain transparency and fairness.
• Final Pay Calculation: We handle the calculation of the employee's final pay. This includes any outstanding wages, accrued leave, and other entitlements.
• Smooth Offboarding: Our team manages the entire offboarding process. We ensure a smooth transition for the departing employee, protecting your company’s reputation and minimizing the risk of legal disputes.

Navigating Fiji's visa and work permit system is straightforward when you understand the process. The government of Fiji requires foreign nationals who intend to work in the country to obtain the proper authorization. This ensures that the local workforce is prioritized while allowing foreign talent to fill roles where there is a skills gap. For companies looking to hire in Fiji, sponsoring a work permit is a key responsibility.

Employment visas & sponsorship realities

An Employer of Record (EOR) can be your legal employer in Fiji and sponsor a work permit on your behalf. This is a practical solution if your company doesn’t have a legal entity in the country. Here’s what you need to know about the process:

• Sponsorship is necessary: You must have a job offer from a registered Fijian employer to apply for a work permit. The employer is responsible for sponsoring your application.
• Local labor market test: Your employer must demonstrate that they have advertised the position locally and were unable to find a suitable Fijian candidate. This is a crucial step in the application process.
• Required documentation: Both you and your employer will need to provide a range of documents. This typically includes your employment contract, educational qualifications, and medical and police clearances.

Types of Work Permits

Fiji offers different types of work permits depending on the duration and nature of your employment:

Business travel compliance (short-term visits)

If you are visiting Fiji for short-term business activities, you may not need a formal work permit. Citizens of visa-exempt countries can receive a business visitor permit upon arrival. This permit allows you to engage in the following activities for up to 14 days:

• Business meetings
• Consultancy work
• Research
• Study

For some nationalities, a business visitors permit is granted on arrival for 21 days. If your work-related activities extend beyond this period, you will need to apply for a short-term work permit. It is important to declare that you are traveling for business purposes upon arrival to ensure you receive the correct permit.