Table of Contents

Namibia

Table of Contents

Currency

Namibian Dollar (NAD)

Payroll Frequency

Weekly/Monthly

Employer Taxes

0.90%

About Namibia

Namibia gained independence from South Africa in 1990 and is also bordered by Zambia and Angola. Its economy relies on mineral extraction and processing for export, with mining accounting for 12.5% of its GDP. Namibia is among the largest global producers of uranium as well as zinc and smaller quantities of copper and gold.

With its capital in Windhoek, Namibia has a population of 2.4 million and is one of the least densely populated countries in the world. Primary languages include Oshivambo, Nama, Afrikaans, Otjiherero, Kavango, Caprivi, and English (official). Namibians are mostly Christians, with at least fifty percent practicing Lutheranism. Namibia’s focus on environmental conservation and protection of natural resources has resulted in its government’s emphasis on allocating funds towards resource management in a climate that is one of the driest in the world.

Employment Relationship

• Permanent Employment

Namibia's Labour Act does not specifically define permanent employment or differentiate it from other kinds of employment. An employee is presumed to be employed indefinitely, unless the employer can establish a justification for employment on a fixed term.

• Fixed-Term or Specific-Purpose Contracts

Namibia's labor law contains no provisions regarding fixed-term employment. Still, the law does specify that an employee is considered to be hired indefinitely unless the employer can establish justification for employment on a fixed term.

• Temporary Employment Contratcs

Namibia's labor law does not contain specific provisions addressing temporary employees. The law does recognize independent contractors as self-employed individuals who work for a company or a customer as part of that individual's business, undertaking, or professional practice.

Probationary Period

Namibia's Labour Act does not contain provisions addressing the use of probationary periods. The International Labour Organization has identified it as a country in which no limits are placed on the duration of probationary periods. 

Working Hours

Namibia's Labour Act stipulates that an employer must not require or permit an employee to work more than 45 hours per week, 9 hours per day (for those who work 5 days a week), or 8 hours per day (for those who work for more than 5 days a week). The maximum number of hours a child above 10 years of age can work is 5 hours a day. The ordinary working hours of an employee whose duties include serving members of the public may be extended up to 15 minutes in a day, but not more than a total of 60 minutes in a week. In the case of employees working in emergency healthcare services and security officers, however, the workweek cannot exceed 60 hours, 12 hours per day (for employees working for 5 days a week), or 10 hours per day (for employees working for more than 5 days a week).

Holidays / PTO

• Statutory Holidays

New Year’s Day (January 1), Good Friday (date may vary), Easter Monday (date may vary), Independence Day (March 21), Workers Day (May 1), Cassinga Day (May 4), Ascension Day (date may vary), Africa Day (May 25), Heroes Day (August 26), International Human Rights Day (December 10), Christmas Day (December 25), Family Day (December 26).

• Paid Annual Leave

Every employee is entitled to an annual leave depending on the number of days they work in an ordinary workweek. Employees with a 5-day workweek are entitled to 20 working days of annual leave per year. If an employee does not typically work a fixed number of days per week, they are entitled to annual leave calculated based on the average number of days worked per week over the last 12 months multiplied by 4. The employer may determine when the annual leave is to be taken, provided that it is taken no later than 4 months after the end of the year in which it was accumulated. If the employee agrees in writing to an extension before the end of the 4-month period, the leave can be taken 6 months after the end of the annual leave cycle. Employees are entitled to their regular compensation while on annual leave. The law also provides employees with an additional paid leave day if a public holiday occurs during their annual leave. Employers are prohibited from providing monetary compensation in lieu of the annual leave, except in case of termination of employment.

• Sick Leave

Per Namibia's labor law, employees are entitled to sick leave depending on the number of days they work in a week, as follows: Not less than 30 working days of sick leave for employees who work 5 days per week Not less than 36 working days of sick leave for employees working 6 days per week Not less than the number of working days calculated on a pro-rata basis for employees who work fewer than 5 days during a week. The sick leave periods listed above are applicable for a sick leave cycle of 36 months and not on a 12-month basis. The employer must pay the employee their normal wages when they use the sick leave accrued in the specified manner. Any additional sick leave the employee takes will be paid by social insurance up to NAD 11,250.00 per month for the first 12 months and NAD 9,750.00 per month afterwards. An employee is entitled to 1 day's sick leave for every 26 days worked during the employee's first year of employment. The labor law provides that the employer is not entitled to pay for sick leave if the employee has been absent from work for more than 2 consecutive days and fails to present a certificate issued by a medical practitioner. The employer also does not have to pay for sick leave if the employee is entitled to payment for sick leave from a social insurance fund or organization.

• Maternity Leave

In Namibia, the law provides a maternity leave of at least 12 weeks to female employees who have 6 months of continuous service with an employer. The mother is entitled to commence maternity leave 4 weeks before delivery and is entitled to 8 weeks of maternity leave after confinement. If an employee's date of confinement occurred less than 4 weeks after the start of her maternity leave, the amount of additional time required to bring her total maternity leave to 12 weeks is added to her leave after confinement. The law also provides a maternity leave extension if a medical practitioner certifies any complications during birth. This extension is granted for a maximum of 1 month or the duration of sick leave that the employee has accrued by that time. During any maternity leave period, the employment contract provisions remain in force. As a result, the employer must pay the employee the remuneration payable during the maternity leave period, except for the basic wage benefit, which is provided by the Social Security Commission. The Social Security Commission pays 100% of an employee's basic wage up to a maximum amount of NAD 15,000.00 per month, payable for a maximum of 12 weeks.

• Paternity Leave

Namibian labor law does not provide a statutory paternity leave entitlement to employees.

Termination of Employment

• Notice Period

Per Namibian labor law, if a contract of employment is terminated with notice, the period of notice must not be less than: 1 day, if employed for 4 weeks or less 1 week, if employed for more than 4 weeks but less than 1 year 1 month, if employed for more than 1 year Notice of termination must be given in writing, stating the reasons for termination, whether the termination is by the employer, and the date on which the notice is given.  

• Severance Benefits

Namibia's Labour Act provides severance benefits to employees who have completed 12 months of continuous service, and: Are dismissed by their employer, or Die while employed, or Resign or retire upon reaching the age of 65 years. The employee is not eligible for a severance package if they are dismissed fairly on the grounds of misconduct or poor work performance. The severance pay must be equal to at least 1 week's pay for each year of continuous service with the same employer.