How to hire remote employees in

Cape Verde

Cape Verde is gorgeous, Portuguese-speaking, a home to some great remote talent. Want to hire someone there, but not sure how to do it—maybe because your company’s HQ is located somewhere else? Then, welcome: You’re in the right place. In the next few minutes, you’ll learn how to hire remote talent in Cape Verde, quickly, without wading into months and thousands of dollars of legal red tape.

Country snapshot

CURRENCY
Cape Verdean Escudo (CVE)
EMPLOYER TAXES
15%
PAYROLL FREQUENCY
Monthly
OFFICIAL LANGUAGE
Portuguese

What to know before you hire in 

Cape Verde

Hiring abroad is difficult: New labor laws, entities, a lot of words you’d rather not hear again. But we’ve got good news. It doesn’t need to be that way. Below, we’ll break down your two main options for hiring in Cape Verde (and the one we prefer).

If you want to successfully hire in 

Cape Verde

, you have two options:

Hire talent as contractors

Laws about hiring contractors are significantly more simple in 

Cape Verde

. Onboarding talent takes days, not weeks or months. Both you, the company, and your talent have more flexibility. And in many cases, since you’re remote, the talent you’re hiring is better classified as a contractor, anyway. Of course, it’s not possible in every case, but it’s what we built Panther for.

Hire talent as employees

This is the long route. You can either establish a physical presence with an entity and register as an employer, or you can use an Employer-of-Record (EOR) solution. Odds are, you’ll find using an EOR to be the easier route. Still, using an EOR in 

Cape Verde

 is expensive—it can often be $500 per month per employee—and sometimes prone to lengthy onboarding times.

Why hire independent contractors in 

Cape Verde

Hiring contractors is normally the easier, faster, more flexible choice—but don’t just take it from us. Below are the specific benefits and drawbacks to hiring contractors in 

Cape Verde

.

It’s the fastest way to hire globally

Hiring employees takes months, at the minimum. When you hire with Panther’s locally-generated contracts, it’s a matter of days or weeks. This means you can hire the best talent, fast, without losing them to a hellish procession of paperwork.

It’s a lot cheaper

It costs just $0 to sign up for Panther, then $49 per month to hire your contractors with Panther. If you hired employees manually (or did contracting on your own), you’d likely be on the hook for thousands of dollars each month. Setting up an entity alone can cost tens of thousands of dollars.

It’s more flexible for you & your team

Hiring contractors in 

Cape Verde

 means you’re generally not on the hook for things like health insurance and paid time off. This makes hiring flexible for you, and it gives your talent more options.

It’s less risky than hiring employees

Hiring employees is a bigger commitment, and generally puts you at a bigger risk for legal fees. When you hire contractors overseas, your biggest risk is misclassification—but even then, misclassification penalties are often minimal and just require you to pay off any compensation that the person would have been owed as an employee.

Some people want to be employees

The contractor life isn’t for everyone—some people want the security that being an employee often appears to provide. Though it’s rare, this does happen, and it’s one disadvantage of manage an all-contractor team.

You might not have as much control over your talent

Most countries’ contractor-employer relationship laws stipulate that the employer can’t set fixed working hours, among other things. These laws give contractors more freedom over how and when they do their work than an employee would have. In reality, however, most contractors are willing & able to work on the company’s schedule—it’s a matter of setting expectations beforehand.

How can I pay people in 

Cape Verde

?

If you’re hiring contractors in 

Cape Verde

, you can pay them with Panther in a single click. You won’t need to worry about complicated wire transfers, fees, or currency conversions. We’ll take care of it all. Just make a click and your contractor will get paid in their currency of choice. This is a valuable bonus for talent in countries where the local currency is particularly weak—most people appreciate the ability to receive their payment in stronger currencies.

Hiring and paying your team in 

Cape Verde

Hire and pay with Panther

Pay everyone with a single click
Get great currency conversion rates
Pay $0 in platform fees
Run payroll in seconds
Let Panther automatically create & store invoices
Let Panther automatically write locally-compliant contracts
Let Panther automatically file local tax documents

Hire and pay without Panther

Pay all your contractors individually
Do all currency conversions yourself
Shoulder the burden of platform fees
Spend hours each month making payments
Manually track & store invoices
Manually write & sign contracts
Manually file relevant tax documents

Let Panther save you from hiring headaches.

Sign up today for $0

If you want to hire employees in 

Cape Verde

If you’ve read up until this point, you’ll know that it’s easier, cheaper, and more flexible to hire contractors in Cape Verde than employees. Still, there are valid reasons why you might want to hire employees instead. The content below is for you—we’ll cover employer taxes and obligations in Cape Verde.

Taxes in 

Cape Verde

Employer tax

Social security Fund

Individual tax

Leave

Paid Time Off (PTO)

Fixed-term contract employees are eligible for annual leave, which is proportional to the length of service once the period contracted is halfway complete.

Employees receive 22 days of paid annual leave.

This leave must be taken in the year it was given unless there was a specific agreement between the employee and employer regarding transferring unused annual leave.

Public Holidays

There are 9 public holidays.

Sick Days

Employees in Cape Verde  must have made at least four months of contributions, including 30 days in the three months before leave.

Employees receive up to 1,095 days of paid sick leave.

The first three days are paid at 100% by the employers. Starting on the fourth day, pay is provided to eligible employees through Cape Verde’s social security program.

Maternity Leave

Employees are eligible for maternity benefits through social security if they have made at least four months of contributions, including 30 days in the three months before leave.

Female employees in Cape Verde are entitled to 60 days of paid maternity leave. If the employee is not eligible for social security benefits, the employer pays the employee’s entire amount.

Paternity Leave

A male employee is entitled to paternity leave only if, within 120 days of the birth, the mother is unable to take care of the child due to physical or mental incapacity or the mother dies.

A minimum of 30 days’ leave is provided to the father if the mother dies.

Parental Leave

There are no statutory provisions for parental leave.

Other Leave

No Info.

Marriage Leave

No Info.

Bereavement Leave

No Info.

Termination

Termination Process

The termination of employment in Cape Verde is different for each case. an employer has the right to terminate the employee’s contract due to acts of misconduct, such as:

  • Bad behavior
  • Intoxication during working hours
  • Frequent disobedience
  • Repeated conflict
  • Not fulfilling duties
  • Lack of proper hygiene
  • Being irregular to work

Notice Period

In case of termination due to misconduct, the employer must send 40 days of notice before terminating the employee.

The employee has five days to respond to the notice.

The reason for termination must be provided if the employer still wants to terminate the employee.

Employees must provide notice to employers prior to terminating an employment contract. The notice period is 15 days, increasing by an additional 15 days per year of service up to two months.

Severance Pay

The expiry of a fixed-term contract, severance pay is not provided.

Employees are entitled to receive severance pay (pay in lieu of notice) if the notice is late.

Probation Period

The probation period is 6 months.

Employee requirements in 

Cape Verde

Working Hours

The standard working hours in Cape Verde is 44 hours.

Overtime

In Burkina Faso, employees are allowed overtime work of up to two hours a day. Overtime is provided only at the cost of not hiring new employees or if there’s urgent work.

The standard overtime limit is 160 hours per annum, but if employees agree, it can be extended up to 300 hours.

The annual limit is increased to 300 if there is written consent from the employee.

Want to hire contractors, anywhere? Start with Panther today for $0.

Start for $0
No credit card required