Guide to employment, payroll and benefits in

Macao

Rivermate offers complete payroll, benefits and compliance services for

Macao

01. Overview

Last updated: 

August 19, 2021

Currency
Hong Kong Dollar
Capital
-
Ease of doing business
Language
Chinese
Population
649335
GDP growth
9.10%

02. Grow your team in

Macao

with Rivermate

Payroll, benefits, taxes, and compliance can be difficult to manage in

Macao

, particularly if you don't have established local relationships. You can hire employees in

Macao

effectively, conveniently, and in full compliance with all relevant labor laws using Rivermate's global employment solution. We handle the responsibilities and legal risks associated with foreign employment so you can concentrate on growing your company.

03. Summary

Macau, also spelled Macao, and officially the People's Republic of China's Macao Special Administrative Region, is a city and special administrative area in the western Pearl River Delta bordering the South China Sea. With a population of around 680,000 people and a surface area of 32.9 km2, it is the world's most densely populated city. After Ming China leased the territory as a trading post in 1557, Macau became a former Portuguese colony. Portugal paid an annual rent and controlled the territory under Chinese control until 1887, when the Sino-Portuguese Treaty of Peking granted it permanent colonial rights. The colony was ruled by Portugal until 1999, when it was handed over to China. Macau is a Chinese special administrative area that operates under the concept of "one nation, two systems," with different governing and economic systems from mainland China. The city's Historic Centre was inscribed on the UNESCO World Heritage List in 2005 for its unusual combination of Portuguese and Chinese architecture. Originally a sparsely populated cluster of coastal islands, the territory has grown into a major resort city and a top destination for gambling tourism, with a gambling industry seven times greater than Las Vegas. The city has one of the highest per capita incomes in the world, as well as one of the highest GDP per capita by purchasing power parity; however, income inequality remains high. According to the Macau government, it has the world's fourth-highest life expectancy and a very high Human Development Index. The territory is densely populated, with reclaimed land accounting for two-thirds of the total land area.

04. Public holidays

05. Types of leave

Paid time off

Public holidays

Sick days

Maternity leave

Paternity leave

Parental leave

Other leave

06. Employment termination

Termination process

According to Macau's Labour Law (Article 72), in the absence of contractual provisions specifying the length of previous notice, or when the length of previous notice specified in the contract is less than the period specified in the notice period, the minimum period of previous notice required to terminate a labour contract shall be fifteen days in the case of employer-initiated rescission; and seven days in the case of employee-initiated rescission. In the event of a fair cause termination, the initiating party is not required to serve prior notice.

Notice period

The minimum period of notice required to terminate a labor contract is fifteen days in the case of employer-initiated rescission and seven days in the case of employee-initiated rescission.

Severance pay

According to Macau's Labour Law (Article 70), termination payment is applicable in the event of employer-initiated revocation without just cause.


The employer may rescind the contract at any time, regardless of the reason, in which case the employee is entitled to compensation equal to the following: seven days of basic remuneration if the employment relationship lasts longer than the probationary period and up to one year; ten days of basic remuneration per year of service if the employment relationship lasts longer than one year and up to three years; thirteen days of the basic remuneration per year of service if the labour relation has duration above three years and up to five years; fifteen days of the basic remuneration per year of service if the labour relation has duration above five years and up to seven years; sixteen days of the basic remuneration per year of service if the labour relation has duration above seven years and up to eight years; seventeen days of the basic remuneration per year of service if the labour relation has duration above eight years and up to nine years; eighteen days of the basic remuneration per year of service if the labour relation has duration above nine years and up to ten years; and twenty days of the basic remuneration per year of service if the labour relation has duration of more than ten years.


For the purposes of the preceding paragraph, the length of service of the employee in the calendar year in which the labour relation is terminated shall be calculated by months, in the proportion of one-twelfth for each month or period of less than a month but more than fifteen days.

Probation period

The probationary period is 30 days for a term contract and 90 days for an indefinite contract.

07. Working hours

General

Overtime

08. Minimum wage

General

As of January 2021, the minimum monthly salary in Macau is 6656 Macanese patacas, or $833 USD. This minimum wage is applicable to security guards and cleaners, and it can help expats better understand Macau's economic situation.

09. Employee benefits

General

Mandatory benefits postulated by law include a probationary period, pay on annual leaves, public holidays, sick leaves, maternity leave, paternity leave, and overtime pay. Statutory benefits also include social security benefits.

10. Why Rivermate as your Employer of Record / PEO?

Establishing an entity in

Macao

to hire a team takes time, money, and effort. The labor law in

Macao

has strong worker employment protection, requiring great attention to details and a thorough awareness of local best practices. Rivermate makes expanding into

Macao

simple and effortless. We can assist you with hiring your preferred talent, managing HR and payroll, and ensuring compliance with local legislation without the hassle of establishing a foreign branch office or subsidiary. Our PEO and Global Employer of Record solutions in

Macao

give you peace of mind so you can focus on running your business.

Please contact us if you'd like to learn more about how Rivermate can help you hire employees in

Macao

via our Employer of Record / PEO solution.

Ready to get started? Our friendly staff is ready to assist you with all your questions, let's connect.