Andorra HR Payroll Services
In 2018 one of Le Cheminant’s largest clients, a Spanish company, had to take over 15 employees in Andorra subsequent to a “spin off” of several divisions. The Spanish company did not have a legal entity in Andorra and preferred not to set one up for a relatively small number of employees. Le Cheminant therefore set up a company. The firm is administered by an Accountant in Andorra and Le Cheminant has a bank account there.
ANDORRA Terms and Conditions of Employment
The purpose of the company is to give technical and administrative assistance to clients.
It may involve outsourced employment of staff in Andorra. Andorra is not easy to reach -it involves a 3 hour bus journey from Barcelona.
- Probationary Period- The normal probationary period is maxim 2 months. An extension of the probationary period for another 4 months (complying with the requirements established by law) is permitted.
- Notice period- Employee: between 10 and 15 days
Employer: 12 days per worked year, maxim 30 days - Months of Salary- There are normally 12 months of salary.
- Retirement - - Men from 65 years and females from 65 years of age. The employee may extend it until 72, then is mandatory the retirement.
Sometimes variable according to the professional category. - Working Hours– Maximum is a 40 hours per week + maxim 12 extraordinary hours.
- Vacation– Minimum of 30 calendar days /22 Working Days for staff, regardless of the actual hours work per week. There are 14 Public Holidays.
Is Vacation permitted to be carried over from one year to next? Exceptionally during the first trimester of the next year.
- Maternity Leave- 20 weeks (mother) starting up with the childbirth, and 4 weeks (father or recognise partner), starting up with the maternity leave of the mother or at the end of it.
- Maternity leave- is paid by the State or by the Employer? By the State
- Sick Pay-The first 0 days are to be paid by the employer. After that the state takes over (not of 100%)
- Social Security EMPLOYER contribution- is 15,5% of remuneration.
- Maximum salary for Employer social security- – NO LIMIT
- Social Security- -Employee 6,5% of remuneration limited to NO LIMIT
- Income tax employee- -range from 0% up to 10%
- VAT % - 4,5%
- Corporate Tax Rate - 10%