DRC

DRC PEO & Employer of Record

WeHG provides an International PEO and global Employer of Record service in Democratic Republic of Congo to companies willing to enter the Congo market or hire local/expat employees in this region.

Traditional approach requires establishing a subsidiary in DRC.  However, our solution affords you to start the operations in DRC within days hence save time and money.  WeHG would hire job-seekers on your behalf when you maintain total operational control of their work. So legally they would be our employees, on our local payroll, 100% compliant but will work on your behalf.

DRC fast facts

Population, million: 106
Land area: 2,345,409 km²
Capital: Kinshasa
Local currency: Congolese franc (CDF)

GDP per capita:$ 843
GDP in currency:$ 77.486 billion

Democratic Republic of the Congo, country located in central Africa. Officially known as the Democratic Republic of the Congo, the country has a 25-mile (40-km) coastline on the Atlantic Ocean but is otherwise landlocked. It is the second largest country on the continent; only Algeria is larger. The capital, Kinshasa, is located on the Congo River about 320 miles (515 km) from its mouth. The largest city in central Africa, it serves as the country’s official administrative, economic, and cultural centre. The country is often referred to by its acronym, the DRC, or called Congo (Kinshasa), with the capital added parenthetically, to distinguish it from the other Congo republic, which is officially called the Republic of the Congo and is often referred to as Congo (Brazzaville).

Hiring, Negotiating and Doing Business in DRC

Necessity of written employment contract

Necessity of written employment contract

Any employment contract should be evidenced in writing, mention certain details, and in absence of a written contract the employee may prove by all legal means including witnesses the existence and scope of the contract.

Different forms of engagement: employment, contracting, work with private entrepreneur

The Labor Code stipulates that every employment contract can be accompanied with a probation period as long as this period is evidenced in writing and does not exceed a period of 1-6 months depending on the specialization of the employee.

The probation period may not exceed 1 month for an unskilled laborer without specialization, and 6 months for the other employees. Any stipulated longer duration will be automatically reduced to the allowed maximum.

Any employer willing to hire an expatriate is to file with the regional Employment office a dossier consisting of:

  • the application for an expatriate “carte du travail” i.e. work card;
  • a draft employment contract;
  • the CV of the contemplated expatriate employee;
  • evidence of the professional skills and expertise of the applicant;
  • the job description;
  • a list of the company’s expatriate employees;
  • the training, advance training and professional adjustment programs;
  • and copy of the letter of application for the expatriate work card.

After submitting this dossier, the expatriate worker must apply for an expatriate work card, upon which the National Commission of Hiring Expatriate Workers, Commission Nationale de l’Emploi des Etrangers in French will decide. Once the work card is granted, the expatriate worker can obtain a visa for settlement with employment purpose as laid down by current employment regulations. If granted, the visa is issued for the same duration as the work card. In case of termination of the employment contract, the expatriate worker must be repatriated or find another job that would provide proof of holding the work card.

DRC Employment Contract

Types of employment agreements

Four categories of employment contract are envisaged:

  • Daily contracts, which will apply to employees recruited for daily casual-labour requirements. The contract may not exceed 22 working days in a two-month period. If it does, the agreement will become an open-ended contract with associated obligations.
  • Fixed-term contracts, which will apply to a specified term.
  • Defined-scope contracts; FQM has defined scope contracts with Labour brokers within Indonesia and the Philippines for the employment of the estimated 400 Filipino’s and Indonesians who will be hired for the construction phase. When the scope is completed the artisans will be moved by their agency to another job. If the scope changes along the way, i.e. if construction continues past the agreed date, or if additional work is added the labour broker company is notified well in time and agreed.
  • Open-ended contracts, which will be the typical form of contract for Congolese staff hired on a permanent basis. The minimum age is 18 years. A probation period will apply to all open-ended contracts.
  • Independent Contracts are simplified contract agreements specifying the task and the payment due on completion. Independent contractors are not KMT staff, and apart from contractually agreed provisions, there will be no benefits.

All safeguards in DRC law and international best practice are applied to contracts, including provisions relating to child and forced labour. The contracting arrangements described above ensure the full documentation of working arrangements. Contractual arrangements will always be clearly communicated.

DRC working hours

Normal working hours will not exceed nine hours per day or 45 hours per week. Normal working hours and a duty-shift schedule will be established and made known to employees. Key elements of the working hour’s policy are the following:

  • Standard office hours for non-shift duty will be 8h00 to 5h00 Monday to Friday, with a lunch break between 12h30 and 13h30. Times may vary from department to department.
  • Shift duty will be defined in duty rosters. A three-shift system will apply, and employees should not work less than an average of 43 hours per week. The maximum number of hours per week should not exceed 60, including overtime. A 48 hour off-duty period must be allowed for every 7 days of work. Night shift duty will be compensated.

Overtime

Overtime is work done outside the normal daily and shift hours, or on the weekly rest day or public holidays. A supervisor must request overtime. Overtime compensation will vary between +30% (normal overtime) and +100% (work on the weekly rest day).

Construction workers hired via labour brokers (Indonesians, Filipino’s and Congolese) will work 13 days on and 1 day off in a two week cycle.

Vacation leave in DRC

Paid leave includes annual leave, sick leave, maternity leave and compassionate leave. The general provisions in the four cases are:

  • Staff at all levels is entitled to annual leave days for each full year worked. The period will vary between 24 and 30 working days per full year of service (for different employment categories) and will be increased by two days for every five years worked.
  • Staff with fixed-period contracts of more than six months and staff with open-ended contracts are entitled to sick leave after three month’s continuous service. The first 10 days will be at full basic salary, reducing in ten-day increments thereafter. If the employee is unable to resume work after 30 continuous working days, the contract will be suspended for temporary leave of absence. If the suspension is work-related, two thirds of the wage and the full child care allowance will be paid for a period not exceeding six months.
  • After three months of continuous service, fixed and open-ended contractees are entitled to between two and five days of compassionate leave per annum, depending on circumstances.

DRC Maternity Leave

A woman employee who has become pregnant and who has been employed for a continuous period of no less than six months is entitled to maternity leave. If not employed for six months at the expected date of birth, the woman will be entitled to leave without pay. A woman employee will be entitled to a maximum of 14 consecutive weeks, with a maximum of 8 after childbirth.

DRC Severance Laws

Termination of employment contracts are governed by strictly enforced procedures, in compliance with DRC laws and international best practice. Termination may occur in the following situations:

  • At the end of a fixed-term contract.
  • At the will of the employee, for example in cases of retirement and resignation.

In one of the following situations: dismissal during or at the end of the trial period; dismissal by issue of notice of termination or payment in lieu of notice; dismissal due to disciplinary reasons; dismissal due to economics, reduction of activities, restructuring, or closure. The last situation is one of redundancy / retrenchment.

Targeted training will prepare employees for redundancy, addressing topics such as life and entrepreneurial skills. All employees with six-month or more fixed contracts or open-ended contracts will be eligible for severance pay. This will be calculated according to a formula which is based on salary at the time of severance and length of service.

DRC Tax

National insurance fund (Institut National de Sécurité Sociale or INSS): The Prime Minister of the Democratic Republic of the Congo signed the Decree n°18/041, dated 24 November 2018, fixing the rates of social contributions. These rates of social contributions are applicable to the branches of family benefits, pensions, and occupational risks. The said rates are set as follows:

  • 1.5% borne by the employer (branch of occupational risks).
  • 5% borne by the employer (pension branch).
  • 5% borne by the worker (pension branch).
  • 6.5% exclusively borne by the employer (family benefits branch).

National office for professional training (Institut National de Préparation Professionnelle or INPP): INPP contribution is paid only by the employer at:

  • 3% for state-owned companies and private companies with up to 50 employees.
  • 2% for private companies with 51 to 300 employees.
  • 1% for private companies with over 300 employees.

National office of employment (Office National de l’Emploi or ONEM): ONEM contribution is paid only by the employer at 0.2%.

The deadline to file INSS, INPP, and ONEM returns is the 15th day of the month following the month where the salary has been paid.

Health Insurance Benefits in DRC

DRC will provide employees and their family’s access to medical and health care facilities and services. The main provisions of the medical and health care policy are the following:

  • Access to Kolwezi clinic and hospital facilities for DRC employees and their family members, upon presentation of a medical ID card. This will entitle the holder to free medical and dental attention and prescribed drugs. Yearly limits based on Ministry of Health tariffs will apply for spectacles, orthopaedic devices and prostheses.
  • New Employees or potential employees living with HIV / AIDS will work or pursue work without discrimination. Confidentiality will be respected. Voluntary counselling and testing will be promoted among all DRC employees. DRC will bear the cost of treatment in Kolwezi for employees, if the employee has completed probation and six months of services, and if the employee and/or immediate family have undergone voluntary testing and counselling, and have disclosed HIV status to the DRC doctor
  • A health dispensary within the plant will provide first aid and emergency care as well as preventative care for all employees. In acute situations, the patient will be transferred to hospital. Severe and life-threatening situations may require evacuation to a larger medical centre.
  • Employees and family members with conditions that cannot be treated in Kolwezi may be referred to a Lubumbashi hospital.

Additional Benefits in DRC

The benefits to be made available are either taxable or non-taxable:

  • Taxable benefits will include an annual gratuity, severance pay , a salary adjustment in case of temporary incapacity, an indemnity in case of death and salary advances. The latter will only be granted in exceptional circumstances.
  • Non-taxable benefits will include the following allowances: family and child care; housing; transport and child education.

Details of all benefits (including eligibility) are clearly laid out in the KMT HR policy and procedure guideline.

General market practice benefits/additional allowances

Companies that attract the most investors are private limited liability companies (sociétés à responsabilité limitée) (SARL).

The DRC has a wealth of natural resources. The country has more than 80 million hectares of arable land and a range of more than 1100 minerals and precious metals, including iron, aluminium, copper, lead, zinc, chrome-nickel, wolframite, manganese, vanadium, cobalt, beryllium, monazite, lithium, colombite, tantalum, gold, silver, platinum, diamond, oil, limestone, bituminous shale and methane gas.

DRC is expected to be one of Africa’s future growth engines and richest countries. The main sources of DRC’s economic performance include:

  • A very active extractive industry (mining and forestry).
  • Growing demand for, and favourable pricing of, raw materials.
  • Activity in the industries of telecommunications, agro-business and housing and construction.
  • Public investment, mainly in infrastructures (such as the building of roads and electricity facilities) also contributed to stimulate growth.

It is anticipated that, in the medium term, economic activity will grow at a steady pace, with a growth rate estimated of about 7% to 8%. The economic prospects look positive as the factors that have contributed to economic development are expected to be maintained and consolidated.

DRC Holidays

There’re 9 public holidays:

  • New Year’s Day
  • Day of the Martyrs
  • Heroes Day. Remembrance of Laurent Kabila
  • Heroes Day. Remembrance of Patrice Lumumba
  • Labour Day
  • Liberation Day
  • Independence Day
  • Parents’ Day
  • Christmas Day

Why Choose WeHireGlobally

WeHG takes care of all the onboarding hurdles, payroll, compensation and benefits, tax filing, and termination of employment. Our Employer of Record solution allows you to manage your overseas teams efficiently while minimizing cost and risk.

FAQ DRC

  • Working hours in DRC

    Standard office hours for non-shift duty will be 8h00 to 5h00 Monday to Friday, with a lunch break between 12h30 and 13h30. Times may vary from department to department.

  • What are the main holidays in DRC?

    • New Year’s Day
    • Day of the Martyrs
    • Heroes Day. Remembrance of Laurent Kabila
    • Heroes Day. Remembrance of Patrice Lumumba
    • Labour Day
    • Liberation Day
    • Independence Day
    • Parents’ Day
    • Christmas Day
  • What are payroll taxes in DRC?

    National insurance fund (Institut National de Sécurité Sociale or INSS): The Prime Minister of the Democratic Republic of the Congo signed the Decree n°18/041, dated 24 November 2018, fixing the rates of social contributions. These rates of social contributions are applicable to the branches of family benefits, pensions, and occupational risks. The said rates are set as follows:

    • 1.5% borne by the employer (branch of occupational risks).
    • 5% borne by the employer (pension branch).
    • 5% borne by the worker (pension branch).
    • 6.5% exclusively borne by the employer (family benefits branch).
    National office for professional training (Institut National de Préparation Professionnelle or INPP): INPP contribution is paid only by the employer at:
    • 3% for state-owned companies and private companies with up to 50 employees.
    • 2% for private companies with 51 to 300 employees.
    • 1% for private companies with over 300 employees.
    National office of employment (Office National de l’Emploi or ONEM): ONEM contribution is paid only by the employer at 0.2%. The deadline to file INSS, INPP, and ONEM returns is the 15th day of the month following the month where the salary has been paid.
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