Table of Contents

Chad

Table of Contents

Currency

Central African CFA franc (XAF)

Payroll Frequency

Monthly

Employer Taxes

16.5%

About Chad

Located in the north of the African continent, Chad is bordered by Niger, Nigeria, Libya and Sudan, with a population of almost 12 million people. After having been colonized by France, Chad gained independence in 1960, becoming an oil producing nation by 2003. The geography of Chad includes a desert zone in the north, a dry belt in the centre and a more fertile zone in the south. Lake Chad, after which the country is named, is the largest wetland in Chad and the second-largest in Africa. The capital is N’Djamena which is also the largest city. Official languages are Arabic and French and most people identify as Muslim (at 55%), followed by Christianity (at 40%).

Employment Relationship

• Permanent Employment

Chadian Labor Law does not specifically define permanent employment but differentiates employees by whether their contract is concluded for a determined duration or an indefinite duration. Contracts that do not meet the requirements of a fixed-term contract are considered to be of indefinite duration. Fixed term contracts that continue after the end of their term are considered contracts of indefinite duration.

• Fixed-Term or Specific-Purpose Contracts

Chadian labor law allows the use of fixed-term employment contracts. Such contracts must be in writing and must specify the last date of work or the period for which it is valid. Fixed-term contracts cannot be concluded for more than two years and are renewable once. Contracts with a duration of six months or less can be concluded freely. A contract that lasts over six months is subject to prior approval from the National Office for the Promotion of Employment. Fixed-term contracts must include a probation period of one working day per week of the contract duration, but the probation period cannot exceed 15 days. Contracts that continue after the end of their term are considered contracts of indefinite duration.

• Temporary Employment Contratcs

Chadian labor law allows an employer to hire a temporary employee for the absence of a permanent one. In this case, the parties conclude a fixed-term contract of an imprecise term. The temporary employment contract must indicate its foreseeable duration, and cannot be more than 6 months.

Probationary Period

Chadian Labor Law mandates that fixed-term contracts include a probation period of 1 working day per week of the contract duration. However, such a probationary period cannot exceed 15 days. It also permits the use of a probationary period for employment contracts of indefinite duration. When the parties to the employment contract decide to subject their relations to a probationary period, the contract must be in writing and mention the duration of the probationary period. The probationary period is limited to 6 months for executives, 3 months for technicians and supervisors, and 1 month for other employees. 

Working Hours

Per Chadian labor law, the regular working hours for employees in non-agricultural establishments cannot exceed 39 hours per week. Any work done beyond this limit is considered to be overtime. The duration of overtime work performed by an employee cannot be more than 94 hours in a year. In agricultural establishments, the working hours cannot exceed 2,400 hours in a year. 

Holidays / PTO

• Statutory Holidays

All Saints Day (November 1), Anniversary of the Proclamation of the Republic (November 28), Christmas Day (December 25), New Year’s Day (January 1), Labor Day (May 1), National Day (August 11), Freedom and Democracy Day (December 1), Easter Monday (date may vary), Maouloud El Nebi (date may vary), Eid El Fitr (date may vary), Eid El Adha (date may vary)

• Paid Annual Leave

Employees accrue at least two days of paid annual leave per month, for a total of 24 days of leave per year. Periods equivalent to four weeks or 24 working days are counted as a month of actual work. The employee is eligible to take the annual leave after working in the company for one year. Leave must be taken within the following 12 months after it is accrued. The employer determines the period of leave, taking into account the employee's wishes and the organization’s requirements. The employee must be informed of the start of the leave at least 15 days in advance. The annual leave can be split such that the employee gets at least 14 consecutive days of rest.

• Sick Leave

Chadian Labor Law stipulates that the employment contract of an employee who is the victim of a non-occupational disease or of an accident other than a duly justified industrial accident is suspended for at least the first six months of their absence from work. The employer must pay the employee their regular remuneration while the employment contract is suspended due to non-occupational illness or injury. At the end of the six month period, the employer can dismiss the employee if they justify the need to replace the absent employee permanently.

• Maternity Leave

Per Chadian Labor Law, female employees are entitled to 14 weeks of maternity leave. An employer may not allow a pregnant employee to work in the four weeks preceding the presumed date of delivery, as well as in the six weeks following childbirth. Employees have a right to suspend their employment contracts for six weeks before delivery and eight weeks after delivery. Employers are responsible for paying 50% of their employee's last daily earnings for the duration of maternity leave if the employee qualifies for social insurance benefits.

• Paternity Leave

Chadian Labor Law does not contain statutory provisions addressing paternity leave. Employees who are subject to the general collective agreement are entitled to 1 day of paid paternity leave.

Termination of Employment

• Notice Period

Per Chadian Labor Law, termination of an employment contract for an indefinite period does not become effective until the expiration of a notice period. The notice period begins on the day on which the letter notifying the dismissal is presented to the employee's home or on the day it is delivered directly to the employee by hand with receipt. A dismissed employee is entitled to a notice of one month if the employee has at least one year of service in the company, two months' notice when the employee has at least three years of service in the company, and 15 days' notice in all other cases. An employee who has committed gross negligence justifying their dismissal is not entitled to notice, subject to the assessment of the competent court with regard to the seriousness of the fault.

• Severance Benefits

Per Chadian labor law, employees who, at the time of the effective termination of their work, have at least two years of service with the company, are entitled to a termination indemnity payable by the employer. However, employees dismissed for gross misconduct are not eligible for a termination indemnity. The termination indemnity is represented by a percentage of the average gross monthly salary over the last 12 months, excluding any allowance for dependents. This percentage is equal to: 25% per year for the first five years 30% per year for the next five years 35% per year from the 11th year onwards For employees who become disabled due to a work injury or occupational disease, severance pay is increased by 5% in each case.