Hire and manage employees in Tunisia

Complying with labor and employment laws in Tunisia

Tunisian employment law is driven by local statutes. The Code du travail (Labour Code) is the backbone, published in the Journal Officiel and frequently referenced both by public bodies and the private sector. No matter what industry you work in, you have a responsibility to abide by the Code and other Tunisian labor and employment laws, which were created to foster a safe, fair working environment for all people in the country.

No matter where in the world you hire, learning the ins and outs of labor and employment laws in new jurisdictions isn’t easy, and Tunisia’s laws are as complex as any other country’s. If you’re looking to hire in Tunisia, simplify your compliance work by partnering with Rippling EOR, which can offer expert HR support on local employment regulations so your business is always up to date on the latest laws in Tunisia and beyond.

Employment contracts in Tunisia

An employment contract is a legally binding agreement between an employer and an employee that outlines the terms and conditions of the employment relationship. Tunisian employment relationships are governed by the Code du travail and must reflect its mandatory rules.

Generally, the law doesn’t require employment contracts in Tunisia to be made in writing. However, foreign employers should be aware of new laws passed recently that made sweeping changes to the types of employment contracts allowed. Prior to 2025, employers had far more leeway when hiring in Tunisia, but under the new Law No. 2025-9, indefinite employment contracts are now the default, fixed-term contracts are strictly limited, and subcontracting is criminalized.

While written contracts aren’t required, it’s still a best practice to put them in writing to formalize the terms of the employment agreement and avoid disputes down the line. Use a language both the employer and employee understand (Arabic, French, and English are common in Tunisia), and include information such as:

• The employer's and employee’s names and addresses

• The employee’s start date

• The work location

• The employee’s job title and description

• The employee’s payment information, including how much they’ll be paid, when it will be disbursed, and any benefits they will receive

• The employee’s work hours and schedule

• Termination procedures

• The employee’s probationary period, if there is one

• Details about the collective agreement, if applicable

Labor unions in Tunisia

In Tunisia, labor unions aren’t just legal—they’re deeply woven into the history and culture of work. One of the largest and most prevalent is the Union Générale Tunisienne du Travail (UGTT), a powerhouse built in 1946 that represents over a million workers.

What’s unique about Tunisia’s labor union landscape is that the UGTT’s influence goes well beyond just workplace disputes—it played a key role in the nation’s democratic journey. As part of the Nobel‑winning National Dialogue Quartet, it (and other trade unions) helped shepherd Tunisia toward a rights‑based constitution in the 2010s. The UGTT remains extremely active—in August 2025, it mobilized thousands in Tunis to protest the erosion of union and civic freedoms amid economic strain and mounting political tension with President Saied.

What foreign employers need to know about Tunisia’s unions:

• Understand the power dynamics upfront. UGTT isn’t just a stakeholder in the workplace. It’s a huge national player with a real appetite for change and historical clout.

• Expect activism, not just engagement. Protests and strikes are toolkit elements—not outliers.

• Build trust preemptively. Especially in sectors where UGTT is active (like public services, transportation, and manufacturing), engaging early can mean smoother operations ahead.

Another thing to note: All companies with at least 20 permanent employees are required to have a worker representation organization.

Mitigating permanent establishment risk in Tunisia

Permanent establishment (PE) is a concept in international tax law that refers to a fixed place of business through which a company conducts its business activities in a foreign country. It is a key factor in determining whether a company is subject to corporate tax in a foreign jurisdiction. If a company has a permanent establishment in a foreign country, it may be required to pay taxes on the income generated from its activities in that country.

The definition of permanent establishment can vary depending on tax treaties and local laws, but it typically includes a place of management, a branch, an office, a factory, a workshop, or any other fixed place where business activities are carried out. Some activities, like preparatory or auxiliary functions, may not constitute a permanent establishment under certain tax treaties.

Tunisia doesn’t define PE in its domestic law. Instead, it follows definitions in Double Tax Treaties (DTTs). What that means for employers is that generally, profits from a PE are taxed as if they were a domestic business, under corporate income tax rules, whether you're resident or not.

Businesses expanding to, doing business in, or hiring in Tunisia can mitigate their PE risk by:

• Keeping business activities short. If you’re doing site-based work, make sure you stay under the 183-day window used by many DTTs to establish PE.

• Avoid having staff sign contracts on Tunisian soil or running visible operations. Do your major deals from abroad.

• Engage a local tax advisor to map your activities against PE risk.

Probationary period in Tunisia

A probationary period is used to assess and monitor the performance of new employees. Employers should state the length of the employee’s probation period in the employment contract. In Tunisia, the same new law that brought sweeping changes to employment contracts also codified rules around probationary periods for new employees:

• Probation can last for a maximum of six months, renewable only once.

• If you rehire someone who previously failed probation, you cannot impose a new probation period—the contract shifts directly to a CDI (indefinite-term) status.

• If you terminate an employee during probation, you still must give them the 15-day notice required by law.

Local laws in Tunisia

When expanding into a new country, it’s essential to maintain solid compliance and keep operations friction-free. That means knowing the local labor and employment laws. Read about the most important ones in Tunisia below:

• Subcontracting is now criminalized. Companies using subcontracted labor face fines up to TND 10,000 (~USD 3,470), and repeat offenders—including managers—may face three to six months’ imprisonment. 

• Overtime rates are tiered and scaled. Tunisia’s overtime compensation structure is tiered, and employers are responsible for accurately tracking total hours and correctly categorizing overtime. Collective agreements may even bump these rates higher, adding another compliance layer employers need to stay cognizant of.

• Many employees are entitled to compassionate or “special” leave for family emergencies. Compassionate leave can be essential for inclusion and morale. The duration and pay status of such leave can vary based on the Labour Code or sector-specific collective agreements, so it’s important to know what your employees are owed—or risk complaints and inspections.

Worker classification and misclassification in Tunisia: Contractors vs. employees

In Tunisia, the default is employment, not freelancing. The Code du travail defines an employment relationship by the worker’s legal subordination to the employer (or the amount of control present in the relationship). By contrast, a true contractor delivers a result independently under a civil or commercial “contract for services/works,” or louage d’ouvrage / contrat d’entreprise, governed by the Code of Obligations and Contracts (COC).

When hiring new talent anywhere in the world, you need to decide which type of working arrangement is better suited for your business needs. If you misclassify workers in Tunisia, you could face penalties, back taxes, and serious legal action.

Worker classification in Tunisia: Key differences between contractors and employees

Consequences of misclassification in Tunisia

Misclassifying workers in Tunisia can result in serious consequences. If you set schedules, direct day-to-day tasks, supply the core equipment, and rely on the person exclusively, you’re likely in employee territory—especially after the 2025 reforms that overhauled employment contracts and other aspects of employer-employee relationships. When in doubt, use a compliant employment contract (or an EOR) rather than a services agreement.

If a labour inspector or court finds a contractor was, in fact, an employee, some of the risks include: 

• Back CNSS contributions and late-payment penalties. Employers must affiliate and register employees. Noncompliance can lead to assessments and late payment penalties under CNSS rules.

• Tax exposure. Tunisia enforces withholding and return obligations, so missing or incorrect withholdings or using manual WHT certificates instead of the e-platform can trigger administrative fines.

• Back wages and benefits. Requalified workers can claim paid leave, notice, severance, and other Labour Code entitlements for the requalified period.

Take our FREE misclassification analyzer quiz

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Wages and payroll in Tunisia

When expanding into (or hiring in) a new, foreign jurisdiction, managing wages and payroll is one of the most complex parts of the process—though global payroll software can help simplify it significantly. And luckily, payroll in Tunisia is manageable once you lock down the right minimum wage band, the pay frequency, and the tax/CNSS mechanics. Here’s what employers need to know about wages and payroll in Tunisia.

Minimum wage in Tunisia

Minimum wages in Tunisia are set by decree and vary by industry, sector, and the number of hours an employee works. The government consults with trade unions when setting minimum wages for different sectors (especially the public sector). Collective agreements may set higher wages than the minimums, so it’s important for employers to pay attention to those, too, as the law prohibits violating any of these controls and paying employees lower wages than they’re entitled to.

The current minimum wages are:

Note, however, that the average salary in Tunisia for high-demand jobs, such as those in startups, medicine, tech, and other growing sectors, is much higher than minimum wage. To attract top talent, plan to pay more than the minimum threshold.

Payroll frequency in Tunisia

The standard payroll cycle in Tunisia is monthly, but other pay frequencies are allowed. Employees who are paid by the hour or day must be paid at least weekly, and pay shouldn’t be scheduled on an employee’s designated weekly rest day. It’s also a best practice to clearly state the pay cycle in the employment contract so employees know what to expect.

13th month pay in Tunisia

13th month pay is an additional payment given to employees, usually equivalent to one month’s salary. Employers commonly give this payment as a holiday or year-end bonus. Unlike many European and South American countries and some other African countries, Tunisia doesn’t mandate a 13th month payment. However, many employers still grant year-end bonuses by policy or under sectoral CBAs. Note that if you promise it in the employment contract or your policy, it becomes binding, so be sure to clearly define your rules and then follow through. 

Run payroll compliantly in Tunisia

Complying with payroll and wage laws in Tunisia means paying at least the minimum wage to all full-time employees, applying the standard salary deduction and allowances, paying CNSS under the applicable regime, and filing and paying on time (we’ll cover this in the sections to come). 

Working with an EOR means getting all the help you need to handle deductions, adhere to local wage laws, and make accurate, on-time payments. Rippling EOR handles the hiring and payroll of Tunisian employees on your behalf, taking care of contracts, payroll, taxes, and filings from start to finish. This ensures that your team in Tunis, Sfax, or Sousse receives timely and accurate payments.

Employer and employee taxes in Tunisia

In Tunisia, complying with payroll tax regulations is crucial as the penalties for noncompliance can be steep. Employers are generally responsible for calculating and withholding contributions from employees’ paychecks, which include IRPP (personal income tax) and CNSS social security (plus work-injury insurance). But understanding Tunisian tax codes can be challenging. Here are the most important things to know about payroll taxes in Tunisia.

Employer taxes in Tunisia

Note that in Tunisia, the tax rates employers pay may change based on the sector.

Here are the mandatory employer payroll taxes in Tunisia:

Employee taxes in Tunisia

The following contributions must be deducted from employees’ paychecks as a percentage of their income:

Additionally, Tunisian employees pay personal income tax on a progressive scale, which means they pay higher tax rates the more annual income they earn. Employers deduct this tax from their wages and remit it on their employees’ behalf.

Penalties for not paying taxes in Tunisia

Failing to file taxes on time (or filing the wrong amount) can result in serious penalties. The common ones foreign employers run into:

• Late or missing monthly returns: Missed deadlines can trigger late payment interest and administrative penalties.

• CDPF late payment penalties: The Code des droits et procédures fiscaux (CDPF) sets monthly late-payment penalties and fines for failures to withhold and remit employees’ taxes.

• CNSS liabilities: Failure to affiliate or register workers or to declare or pay CNSS on time can lead to assessments, surcharges, and recovery proceedings.

The bottom line: If you want to avoid errors that could result in costly penalties and fines, you need a robust payroll system or local accounting support that can save you from such pitfalls. Or you can mitigate international tax compliance problems by letting an EOR handle payroll taxes on your behalf. The EOR can ensure all your local taxes are paid correctly and on time, allowing you to focus on growing your business in Tunisia and beyond.

Employee benefits in Tunisia

In Tunisia, full-time employees covered by the Labour Code are entitled to a package of statutory benefits that’s broader than many foreign employers expect—especially after the 2024 overhaul of parental leave. But more than that, offering competitive employee benefits in Tunisia can help your company stand out and attract top talent in a competitive labor landscape. If you’re hiring in Greater Tunis or Sfax, you should probably consider layering optional perks on top of the legal minimum to stand out when competing for the country’s best talent.

Understanding benefits requirements early on can also keep you from landing in hot water with Tunisian authorities down the line. Here’s an overview of the mandatory and optional benefits in Tunisia.

Mandatory benefits in Tunisia

Mandatory benefits are legally required, meaning employers have to offer them to their employees. In Tunisia, this includes:

• Social security contributions: Both employers and employees pay into the CNSS, which funds pensions and family allowances, and the CNAM, which helps pay for national healthcare. Employers must register employees and collect and remit their contributions on their behalf.

• Workplace injury and occupational disease insurance: While work injury insurance is managed by the CNSS, only employers pay into it. It provides benefits to employees in case of workplace injuries, accidents, or illness.

Optional benefits in Tunisia

Investing in optional and fringe benefits improves your chances of attracting top talent, but choosing which ones to offer can feel overwhelming. Here are the most common additional benefits in Tunisia:

• Private medical insurance: Many employers offer private medical coverage to complement CNAM reimbursements, life or disability coverage, or accident top-ups, especially for white-collar workers. 

• Meal and transportation benefits: Canteens, meal vouchers, and transportation allowances help offset employees’ living costs, especially in bigger cities.

• Flexible hours or hybrid schedules: This perk is especially popular during summer or Ramadan.

These types of benefits are discretionary, but they’re valued—especially where competition for talent is tight and you want to attract the best of the best employees looking for Tunisian jobs.

Working hours, overtime, and leave in Tunisia

One of the most complex aspects of running a global team is how working hours, overtime, and leave laws all vary significantly across international borders—and sometimes even in different jurisdictions within the same country. When you hire international employees, you must be familiar with all the relevant laws, because compliance is crucial to avoid penalties and ensure a safe, fair working environment.

Luckily, working time rules in Tunisia are straightforward once you map them to your operations calendar, even though they differ in key ways from EU norms. Below, learn about Tunisian laws so you can follow them to protect employees from overwork and ensure restful breaks.

Standard working hours in Tunisia

A standard workweek in Tunisia is 48 hours, but it can be reduced to 40 hours per the employee’s contract. Employees typically work eight hours per day. Agricultural workers may work less consistent hours, but they are limited by law to no more than 2,700 hours over 300 effective working days.

Overtime laws in Tunisia

Overtime is allowed in Tunisia, but overtime and makeup hours cannot cause the employee’s workweek to exceed 60 hours unless there’s urgent work needed to prevent imminent accidents or organize lifesaving measures. Overtime is tightly regulated by the Code du travail and must be paid at special tiered rates that are tied to the employee's regular work schedule:

• If their normal workweek is 48 hours, overtime hours are paid at 1.75x their normal rate.

• If their normal workweek is less than 48 hours, overtime hours are paid at 1.25x their normal rate until 48 hours, then 1.5x their normal rate beyond 48 hours.

Rest period and break laws in Tunisia

Under the Code du travail, employers are required to offer one or more breaks per workday. However, the Code isn’t specific about how many breaks employees are entitled to, or how often they should occur. Because of this, collective agreements and employer policies typically pick up the slack, and it’s customary for employees to take regular rest and meal breaks. Breaks are longer and more frequent during the hot summer months and Ramadan, when many employees are fasting.

In addition to daily breaks, employees are entitled to a minimum of 24 consecutive hours off per week. This typically takes place on Friday, Saturday, or Sunday, depending on operations. It’s up to employers to plan their schedules so employees get weekly rest that is truly contiguous and meets the law’s requirements.

Leave laws in Tunisia

In Tunisia, employees are entitled to certain types of leave under labor and employment laws. Here are the types of leave employees are entitled to receive in Tunisia:

• Annual leave: Under Tunisian labor law, employees are entitled to a minimum of two days of paid vacation for every month worked, which equates to 24 days per year. A company can provide additional vacation days beyond the statutory minimum, subject to the terms of the employment contract, collective agreement, or company policy, but cannot give fewer than the statutory minimum.

• Sick leave: The first five days of sick leave are unpaid (or can be paid by the employer, depending on company policy and/or the collective agreement). After that, sick leave is paid by social security, typically at two-thirds of the employee’s standard wage. There are no restrictions on the amount of sick leave an employee can take. While on sick leave, their employment contract is suspended, but sick leave cannot be deducted from annual leave, and illness is not cause for termination unless it is sufficiently serious and prolonged.

• Maternity leave: Female employees are entitled to 30 days of maternity leave, paid by social security.

• Paternity leave: Male employees are entitled to two days of paternity leave, paid by social security.

• Military leave: Employees may be entitled to leave for compulsory pre-military training and service in the armed forces, which may be paid or unpaid, depending on their circumstances.

• Compassionate leave: Employees may be entitled to paid or unpaid leave for circumstances like marriage, bereavement, caring for a sick family member, and other situations. This type of leave depends on the industry, the employment contract, the collective agreement, company policy, and other factors.

• Public holidays: Tunisia observes 12 public holidays. These include:

  • New Year’s Day

  • Independence Day

  • Eid al-Fitr

  • Martyrs’ Day

  • Labour Day

  • Eid al-Adha

  • Islamic New Year

  • Republic Day

  • Women’s Day

  • The Prophet’s Birthday

  • Evacuation Day

  • Revolution and Youth Day

• New Year’s Day

• Independence Day

• Eid al-Fitr

• Martyrs’ Day

• Labour Day

• Eid al-Adha

• Islamic New Year

• Republic Day

• Women’s Day

• The Prophet’s Birthday

• Evacuation Day

• Revolution and Youth Day

Work permits in Tunisia

If you’re staffing up in Tunisia, you may need to bring in talent from outside the country to get things off the ground. And if you do that, it’s on you to make sure all candidates can legally work in Tunisia before they start their new job. In Tunisia, foreign nationals generally need both a work authorization issued by the Ministry of Vocational Training and Employment (MEFP) and a residence card issued by the Ministry of the Interior. Tunisia’s framework is built on two cornerstone texts: Law No. 68-7 of 8 March 1968 (status of foreigners) and Decree No. 68-198 of 22 June 1968 (entry, visas, and residence cards).

Who needs a work visa in Tunisia?

If a non-Tunisian plans to work (not just visit), they likely need proper authorization first. In Tunisia, that typically means they need two things:

1. Employment authorization from MEFP

2. A visa or residence card tied to the stay

The Labour Code also makes this explicit: Any foreigner who wants to perform salaried work must hold a work contract and a residence card stating they’re authorized to work, or an official certificate of non-submission (an exemption route for certain industries).

These requirements kick in when a foreigner is staying in Tunisia longer than three months. When that’s the case, they need to obtain a stay visa and a residence card (carte de séjour). This rule is outlined in Law 68-7 and its implementing decree. Visa-exempt entry for tourism/business does not authorize employment in Tunisia.

There are two pathways offered by MEFP:

• “Contrat de travail visé,” where MEFP formally endorses or stamps the applicant’s work contract.

• “Attestation de non-soumission au visa du contrat de travail,” which only applies to listed categories of work (legal representatives of companies, workers in hydrocarbons/mining, international organizations/associations, certain investment-law companies, Moroccan nationals, etc.). Workers in these categories can file a declaration and receive a certificate rather than a contract visa.

MEFP accepts online submissions and in-person filings in Tunis or at regional labor offices.

How long does it take to get a work visa in Tunisia?

Processing a work visa in Tunisia can take anywhere from a few weeks to a few months, depending on a wide variety of factors like how complete the application is upon submission and the volume of applications in processing at the time. But it’s important to keep in mind that there’s no single statutory timeline. In practice, the process has two tracks that move at different speeds and are handled by different authorities:

1. Work authorization (MEFP): You’ll submit either a contract visa application or an exemption (non-submission) file. Regardless of which route you take, the application will require supporting company and role documents.

2. Residence card (Ministry of Interior): Once in Tunisia with the appropriate stay status, the foreign worker applies for a carte de séjour. The Interior Ministry requires an application form and other documentation, such as proof of accommodation, a copy of their passport, and ID photos.

If you need your employee to start in Tunisia by a certain date, it’s a good idea to begin the visa process well in advance, in case of processing delays. Work with them to move their application forward and gather and provide all the documents needed for both government agencies.

Types of work visas in Tunisia

Those landing jobs in Tunisia for foreigners can’t just apply for an EU-style “Type D” work visa. Instead, Tunisia’s Decree 68-198 defines visas of entry/stay and then residence cards—temporary or ordinary—issued by the Directorate-General of National Security. Your foreign hire typically needs:

• The right stay status (meaning they’ll need a visa of stay if they aren’t visa-exempt) and then a residence card (temporary or ordinary)

• MEFP work authorization (contract visa or non-submission certificate) aligned to the correct role or category

For short stays (less than 90 days), some nationalities are visa-exempt for tourism/business, but that does not legalize employment. It can be allowed for business trips in limited circumstances, but not for employees getting hired by companies with a presence in Tunisia.

Termination and redundancy in Tunisia

When making your first hire in Tunisia, termination policies might be far from your mind. But if you don’t know the basics about offboarding employees in Tunisia, you could be setting yourself up for trouble when it’s time to part ways with an employee down the road.

Terminating in Tunisia is structured and documentation-heavy. The Labour Code requires cause, notice, and—depending on the situation—statutory payments and agency consultations. Cutting corners risks an “abusive dismissal” accusation, which, if found to be accurate, could mean damages for your business.

Here’s what you need to know about terminating employment the right way in Tunisia.

Does at-will employment exist in Tunisia?

At-will employment is a legal doctrine in which either the employer or the employee can terminate the employment relationship at any time, for any reason (or no reason), without prior notice, as long as the reason is not illegal (such as discrimination). In Tunisia, at-will employment doesn’t exist. Employers must state valid reasons in writing, and dismissals without “cause réelle et sérieuse” or following procedures can be ruled abusive and subject to damages.

The Code du travail explicitly requires the employer to indicate the grounds in the notice letter (Art. 14 ter) and defines abusive termination with an associated damages framework (Arts. 23, 23 bis). Employer protections also restrict dismissal of certain workers (for example, you cannot terminate a pregnant employee, or one who is on sick leave, except under specific and very limited circumstances). 

If your business is found to have committed an abusive termination, courts can award up to two months of salary per year of service, capped at three years of salary, adjusted for seniority, age, pay, and procedural compliance.

Notice periods in Tunisia

A notice period is the amount of time an employee or employer is required to give before ending an employment relationship. During this period, the employee continues to work while preparing for their departure, and the employer has time to find a replacement or manage the transition.

For indefinite (CDI) contracts, statutory notice is one month in Tunisia, and notice must be given by registered letter. Collective agreements and contracts can grant longer notice periods, but employers cannot give less than the statutory minimum. 

Employers who don’t want to observe the notice period can choose to pay the employee in lieu of notice. During the second half of the last month of the notice period, employees may take paid time off to job-hunt.

If the termination is with cause (faute grave), immediate termination is possible, but you must be able to evidence the “serious fault” grounds for termination according to the Labour Code.

Severance pay in Tunisia

Severance pay is compensation provided to an employee when they are laid off, terminated, or leave a company under certain conditions. In Tunisia, employees are entitled to severance pay in all termination cases as long as they are not terminated for serious cause. Severance is calculated according to the employee’s collective agreement.

How to terminate employees compliantly in Tunisia

A clean termination—whether performance-based or economic—follows a set playbook under Tunisian law. Here’s what to do to stay on the right side of the rules:

1. Choose a lawful ground and document it. Cite facts and evidence, and keep investigation notes and witness statements.

2. Serve statutory notice correctly. At least one month of written notice is required by law, but longer if the employee’s contract or CBA says so. Notice must be served in writing by registered letter, and the employee isn’t required to work for the second half of the final month; instead, they can look for a new job while still receiving pay.

3. Calculate and pay the final settlement. Include unpaid wages, accrued leave, severance pay, and any other owed settlements under the employee’s contract and/or CBA.

If you employ a global workforce, keeping track of termination requirements gets complicated. Without any assistance, employers need to master conflicting just-cause considerations, probationary and notice periods, and severance pay laws that vary both within and among countries. An alternative is to hire through an EOR, which can monitor termination requirements for you—ensuring you compliantly onboard and offboard employees every time.