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Curaçao is an island republic in the southern Caribbean Sea and the Dutch Caribbean area, roughly 65 kilometers (40 miles) north of Venezuela's coast. It is a member of the Kingdom of the Netherlands (Dutch: land). It is one of the ABC islands, along with Aruba and Bonaire. Curaçao, Aruba, and other Dutch Caribbean islands are commonly referred to as the Dutch Caribbean.
Curaçao was previously known as the Curaçao and Dependencies colony from 1815 to 1954, and then as the Netherlands Antilles from 1954 to 2010, as the "Island Territory of Curaçao" (Dutch: Eilandgebied Curaçao, Papiamento: Teritorio Insular di Krsou), and is now formally known as the Country of Curaçao (Dutch: Land Curaçao, Papiamento It consists of Curaçao's main island and the considerably smaller, uninhabited island of Klein Curaçao ("Little Curaçao"). Curaçao has a population of 158,665 people (as of January 2019) and an area of 444 square kilometers (171 square miles); its capital is Willemstad.
In general, there are four ways in Curaçao to cancel an employment contract:
Termination without cause, in which case prior approval from the Director of the Ministry of Social Development, Labor, and Welfare (Ministerie van Sociale Ontwikkeling, Arbeid en Welzijn) is required pursuant to the National Ordinance Terminating Employment Agreements (Landsverordening Beindiging Arbeidsovereenkomst). Without such permission, a notice-based termination would be deemed null and invalid, unless the National Ordinance Termination Employment Agreements does not apply to a particular labor connection. For example, the National Ordinance on Termination of Employment Agreements does not apply to teaching and lecturing employees employed by educational institutions.
Termination agreed to by both parties. Termination by mutual consent is conceivable at any moment, and in such case, the employer and employee may freely discuss the terms and conditions of the employment agreement's termination.
Dissolution of the employment contract by the Curaçao Court of First Instance.
Immediate termination of the employment agreement, which is permitted only if there is an urgent cause to do so. Such an emergency cause and the impending termination must be disclosed to the employee 'immediately.'
If an employee is terminated by giving notice after receiving the requisite consent or if the employment agreement is dissolved by the Court of First Instance, it is conceivable that the employee will be entitled to (termination) compensation.
For the interest of completeness, it is noted that employment agreements entered into for a specified length of time automatically end at the expiration of the specified period of time (unless otherwise agreed).
When an employment arrangement is terminated by giving notice, a notice period must be taken into account. The length of the notice period is proportional to the number of years the employee has worked at the time of termination. The following are the mandatory notice periods that the employer must consider. The notice period will be one month if the work relationship is less than five years. The notice period is two months for employees who have worked for the organization for more than five but less than ten years. If the position lasted more than ten years but less than fifteen, the notice period will be three months. The notice period is four months if the employment relationship has lasted longer than fifteen years. If both parties agree in writing, employers may extend the notice time they take into account (shortening the notice period to be taken into by the employer can only take place in a collective employment agreement).
If the remaining notice period is at least one month, the waiting period for approval from the Director of the Ministry of Social Development, Labor, and Welfare may be reduced from the notice period.
There is no statutory probation period in Curacao.
Severance pay is computed as follows. Severance pay is equal to one week's earnings for each complete year of service from the first to the tenth. From the eleventh to the twentieth complete year of employment, severance compensation is equal to one and a quarter weeks' salary. For future years of service, severance compensation is equal to two weeks' salary for each year of service. A period of duty lasting more than six months beyond the first year is considered a full year of service.
Curaçao's new minimum wage for employees 21 years or older is ANG 9.62 gross per hour in 2020. This represents an increase of 0.25 cents gross per hour over the previous year. 9.62 ANG per hour equates to 384.80 ANG per week or 1,666.18 ANG per month.
Companies in Curacao are subject to a corporate tax rate of 22 percent.
Individuals in Curacao are imposed an income tax rate that ranges from 9.75 percent to 46.5 percent. The actual percentage varies depending on the income tax bracket the individual belongs to.
The value-added tax (VAT) and goods and sales tax (GST) in Curacao vary depending on the type of good or service provided. Generally, the tax rates are either 6 percent, 7 percent, or 9 percent.
In general, travellers with a valid passport may enter Curaçao without a formal authorization and stay for up to 90 days. However, certain nations (for example, Cuba and Haiti) are required to submit a tourist visa as part of our admission criteria. A visa should be sought for at least one month in advance at any Dutch representation (in the concerning country). Visitors from the United States must have a passport in order to re-enter the country.
Nationals of the Dominican Republic, China, and India are exempt from applying for a visa if they have a valid multiple entry visa for the United States, Canada, or the Schengen nations (Europe).
Colombian nationals no longer need a visa to enter Curaçao as of July 1, 2015. Venezuelan citizens will need a visa to visit Curaçao from January 15, 2021.
In the Netherlands, employment contracts must be drafted and presented in the local language. They might be indefinite or for a set period of time no greater than three years. The following are the important clauses of the employment contract:
If the contract is for a certain period of time, the term
The work environment
Salary information
Working hours and overtime policies
The notice period for termination
The employee's responsibilities
Whether or whether a collective labor agreement is applicable
The employment contract may include a trial period that is no longer than one month if the contract length is two years or less, or two months if the contract term is more than two years.
There is no set length for assignments. This is usually indicated in the employment contract for fixed-term employments.
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