About Us
Workforce Guide in Tanzania
Tanzania boasts a diverse and vibrant economy, with key industries encompassing agriculture, mining, fishing, manufacturing, energy, telecommunications, and information technology. The tourism industry plays a huge and significant role in drawing many workers due to the country’s renowned attractions such as the Serengeti National Park, Mount Kilimanjaro, Lake Victoria, and Olduvai Gorge. Data from 2019 indicates that 65.06% of the workforce was engaged in agriculture, 6.47% in industry, and 28.44% in the service sector.
Minimum Wage
Tanzanians' minimum wage varies by sector, with domestic workers earning a minimum of Tsh60,000 per month as of 2023, while those in financial services, international companies, and telecommunication can expect a minimum of Tsh400,000
Payroll Cycle
Employers in Tanzania offer employees flexible pay cycles, allowing them to receive payments daily, weekly, bi-weekly, bi-monthly or monthly.
Taxation
Income Tax
|
Monthly Taxable Income Exceeding (TZS) |
Monthly Taxable Income Not Exceeding (TZS) |
Tax on Lower Amount (TZS) |
Rate on Excess % |
|---|---|---|---|
|
0 |
270,000 |
0 |
0 |
|
270,000 |
520,000 |
0 |
8 |
|
520,000 |
760,000 |
20,000 |
20 |
|
760,000 |
1,000,000 |
68,000 |
25 |
|
1,000,000 |
- |
128,000 |
30 |
Annual Leave
Tanzanian employees become eligible for paid annual leave after completing 12 months of service, though the leave accrues after the initial six months. The leave includes weekly rest days and any public holidays that fall within that period. The leave includes 28 consecutive days per year.
Sick Leave
Tanzania labor laws grant employees up to 126 days of paid sick leave within 36 months, contingent upon providing a medical certificate. However, the pay structure is divided into two brackets where the employee is entitled to full salary for the first 63 days and then half salary for the remaining 63 days. If the employee's illness persists beyond 126 days and they remain unfit to work, the employer may initiate termination based on medical grounds.
Maternity Leave
Maternity leave in Tanzania allows for female workers up to 12 weeks (84 days) of fully paid leave within a 36-month cycle. In the case of multiple births, mothers are entitled to 100 consecutive days. Additionally, if an employee sadly experiences the loss of a newborn within their first year, they are eligible for an additional 84 days of paid leave within the same leave cycle.
Paternity Leave
Tanzanian fathers are entitled to a maximum of three days of parental leave within a 36-month cycle, regardless of the number of births that occur during the cycle
16 September
Maulid
14 October
Mwalimu Nyerere Day
9 December
Independence Day
25 December
Christmas Day
26 December
Boxing Day
Once a written notice is laid out the termination process begins, and it should specify the reason and effective date of termination.
Notice Period
Once a written notice is laid out the termination process begins, and it should specify the reason and effective date of termination.:
First month of employment: 7 days’ notice.
Weekly or daily employees: 4 days’ notice.
Monthly employees: 28 days’ notice.
Severance Pay
To qualify for severance, pay in Tanzania, employees must have completed 12 months of continuous service in an organization. Severance pay is calculated at a rate of seven days compensation for each year of employ payment, with a maximum calculation based on 10 years of service.
Probation period
The Tanzanian labor law does not mandate a specific probation period, however, the law protects the employee from unfair dismissal claims if dismissed within the first six months of employment. Once a written note specifying the reason and date of termination, is given, the termination process commences.