Guide to employment, payroll and benefits in

Trinidad and Tobago

Rivermate offers complete payroll, benefits and compliance services for

Trinidad and Tobago

01. Overview

Last updated: 

August 19, 2021

Currency
Trinidad/tobago Dollar
Capital
Port of Spain
Ease of doing business
61.3
Language
English
Population
1399488
GDP growth
-2.34%

02. Grow your team in

Trinidad and Tobago

with Rivermate

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

Trinidad and Tobago

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

Trinidad and Tobago

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

Trinidad and Tobago, officially the Republic of Trinidad and Tobago, is the Caribbean's southernmost island nation, famous for its fossil-fuel reserves. It is located 130 kilometers south of Grenada and 11 kilometers off the coast of northeastern Venezuela, and consists of the key islands Trinidad and Tobago as well as several smaller islands. Trinidad is bordered to the northeast by Barbados, to the northwest by Grenada, and to the south and west by Venezuela. The island of Trinidad was populated for centuries by native Amerindian peoples until becoming a colony of the Spanish Empire following Christopher Columbus' arrival in 1498. In 1797, the Spanish governor José Mara Chacón surrendered the island to a British fleet led by Sir Ralph Abercromby. During the same time period, Tobago changed hands more than any other Caribbean island, passing through the hands of Spanish, British, French, Dutch, and Courlander colonists. Trinidad and Tobago were ceded to Britain as independent states under the Treaty of Amiens in 1802 and reunited in 1889. Trinidad and Tobago gained independence in 1962 and became a republic in 1976. After the United States and Canada, Trinidad and Tobago has the third highest GDP per capita in the Americas based on purchasing power parity. The World Bank classifies it as a high-income country. The Trinidadian economy is largely industrial, with an focus on petroleum and petrochemicals; much of the nation's wealth is derived from its vast reserves of oil and natural gas.Trinidad and Tobago is well known for its African and Indian cultures, as expressed in its large and popular Carnival, Diwali, and Hosay celebs.

04. Public holidays

05. Types of leave

Paid time off

Employees who have worked for the company for at least a year are eligible to two weeks of paid vacation.

Public holidays

There are 13 national holidays in the Trinidad and Tobago. For each of them, employees are entitled to paid time off.

Sick days

Employees in the Trinidad and Tobago are entitled to fourteen days of sick leave.

Maternity leave

Employees who are expecting a child are entitled to 14 weeks of paid maternity leave. The company is liable for paying the employee for one month of full salary and two months of half pay while on leave.

Paternity leave

There are no provisions in the labor laws in Trinidad and Tobago regarding paternity leave.

Parental leave

There are no provisions in the labor laws in Trinidad and Tobago regarding parental leave.

Other leave

06. Employment termination

Termination process

An employment contract may be terminated by either the employer or the employee. Termination procedures, notice periods, and severance obligations are normally defined by the individual employment agreement or collective bargaining agreement.


For redundancy dismissals, certain rules apply. Employers must provide employees at least 45 days' notice before terminating them for redundancy and paying severance.

Notice period

The notice period is one month for the majority of employees who are paid monthly.

Severance pay

Severance pay begins at two weeks and increases in accordance with the employee's length of service. Employees who are laid off are entitled to severance pay. Employees must receive two weeks' pay for each year of service under the Retrenchments and Severance Benefits Act. Employees who have worked for their employer for five years or more receive two weeks' pay for the first four years and three weeks' pay for the fifth and subsequent years.

Probation period

There are no provisions in Trinidad and Tobago's labor laws requiring a strict application of probation periods of any length. Three months is a typical duration.

07. Working hours

General

Eight hours per day and forty hours per week, spread over five days, is the standard work period.

Overtime

Overtime is defined as any work performed in excess of the standard eight hours per day. An employee is entitled to 150 percent of their normal hourly rate for the first four hours of overtime. After the first four hours of overtime, employees are entitled to receive 200 percent of their normal rate.


Employees who work on holidays and off days are entitled to receive a wage equal to 200 percent of their regular wage. Any additional overtime is calculated at 300 percent of their normal rate.

08. Minimum wage

General

Trinidad and Tobago sets a National Minimum Wage of $17.50 per hour.

09. Employee benefits

General

Health insurance benefits are administered by the National Insurance Board of Trinidad and Tobago (NIBTT). Employees who contribute to the National Insurance System are eligible for benefits. Those earning $200 or more each week must register and contribute, although employees earning less may still participate. Employers also make a proportionate contribution.

Sickness payments under the NIBTT reimburse individuals who are unable to work due to illness. These may be paid for up to 52 weeks. Employees who are unable to work due to personal injuries are compensated via employment injury benefits. They provide many unique advantages:

Injury benefit: This is provided for up to 52 weeks as the individual heals from their injury.

Disablement benefit: If a person becomes disabled, this benefit is provided either monthly or as a lump amount.

Medical costs: The individual may get a cash payout to cover medical bills.

Death benefit: This is a monthly payment made to a person's dependents in the case of his or her death.

Public health services in Trinidad and Tobago are provided free of charge to both citizens and non-residents. However, public institutions often face equipment and medication shortages, as well as lengthy wait periods. Private facilities provide better treatment but at a premium expense, thus the majority of private facility patients are expatriates.


Residents of Trinidad and Tobago may also receive additional benefits under the NIBTT, such as retirement and burial benefits.

Retirement pension: Residents who have made 750 payments to the National Insurance System and retire between the ages of 60 and 65 are entitled for a retirement pension. They are automatically eligible at the age of 65, whether or not they have retired. The amount of the pension is determined by the amount of contributions made.

Grants for retirement: Residents who have made less than 750 payments to the National Insurance System, on the other hand, may get a one-time lump amount in the form of a retirement award. The grant must be at least $3,000 in value.

Funeral benefits: Funeral benefits pay for the costs of a funeral. Residents who have made at least 25 payments to the National Insurance System or were receiving work injury benefits at the time of their death are eligible for funeral benefits.

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

Establishing an entity in

Trinidad and Tobago

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

Trinidad and Tobago

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

Trinidad and Tobago

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

Trinidad and Tobago

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

Trinidad and Tobago

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.