The Employment Act provides the following forms of statutory leave:

  • Annual leave
  • Sick leave
  • Maternity leave

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Contract Provision on Remuneration

Amount of payment Clearly stating what the basis for determining payment will be, and how much (per hour, week, month or year) will be paid is at the heart of any employment relationship and should be stated.

How and when payment is to be made should be stated so that employees know when and where payment can legitimately be expected.

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Hours of Work

Usual hours of work need to be clearly stated in order to ensure that the employee is not being required to work more than statutory maximum hours of work.

  • How hours of work can be extended (overtime) should be explained, particularly if the employer can require the employee to work extra hours.
  • Overtime compensation Whilst paying overtime is about remuneration, clauses on overtime payments are often found in the hours of work section. It does not really matter about order and placement of these clauses, just so long as they are included somewhere.
  • Breaks should be stated in order to ensure that the employee is being provided their legal entitlements. If the employee is paid a wage based on the number of hours worked it is also useful to state whether breaks are paid or unpaid.

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Employer and Decent Work Place

Vanuatu joined the International Labour Organisation (ILO) in 2003. This UN agency works on a “tripartite” basis, with employers, employees and the government working together to further labour market development. As a member of the ILO Vanuatu has made a commitment to its values. As employer partners in Vanuatu’s tripartite labour market development the VCCI is also committed to promoting these values.

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Work Permit

Working in Vanuatu is possible for any investor under the activity authorized by VIPA, or any holder of a work permit for the employer mentioned in the work permit application. It is necessary for any employer who wishes to recruit a foreign national to seek a work permit to the Labour Department.

The delivery of this work permit allows the issuance of a residence permit. Any work permit is renewable annually 30 days before its expiry date.

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