Labour law in the Bahamas

In general, the main employment statute (Employment Act) applies to every employee in the Bahamas, including Crown and public bodies. Disciplinary forces do not fall within the same scope. An employment contract may be made orally or in writing. The employer must promptly provide the employee with information about the parties to the contract, the work, any fixed term, wages, benefits, how wages are calculated and paid, and daily working hours. Contractual rights that are more favourable to the employee remain protected. The law protects against discrimination on the grounds of race, creed, sex, marital status, political opinion, age or HIV/AIDS. For substantially the same or equal work performed in the same establishment, the principle of equal pay applies. Employers must provide reasonable accommodation for employees with disabilities where this remains reasonable and does not create undue hardship. The regular maximum working time is eight hours per day or 40 hours per week. For irregular work, the limit applies as an average over four weeks. In areas such as industry, construction, manufacturing, loading and unloading, and essential services, up to twelve hours per day may apply. Supervisory and managerial employees are subject to exceptions under certain working-time rules. Within every seven-day period, employees are generally entitled to 48 hours of rest, including 24 consecutive hours. Overtime is generally paid at 1.5 times the regular rate; on public holidays and days off, double pay generally applies. Special rules apply to tipped employees in tourism and hospitality. After twelve months of employment, an employee is entitled to at least two weeks of paid annual leave. If a public holiday falls during the leave, the leave is extended by one day. After six months of employment, employees receive one week of paid sick leave per year; this entitlement cannot be accumulated. The first sick day is generally unpaid unless a medical certificate is provided. The employer may require an examination by an independent doctor. After at least twelve months with the same employer, an employee is entitled to at least twelve weeks of maternity leave. At least one week must be taken before the expected birth date and at least eight weeks after it. The same employer must pay maternity pay no more than once within three years. After the birth, up to six additional weeks of unpaid leave may be granted on medical recommendation. After six months of employment, an employee may also have up to one week of unpaid family leave per year because of the birth, death or illness of a child, spouse or parent. Dismissal because of pregnancy or maternity is unlawful. On return, seniority, the same or an equivalent position and remuneration remain protected. Since 1 January 2023, the statutory minimum wage has been 6.50 Bahamian dollars per hour, 52 dollars per day or 260 dollars per week. Payment must be made regularly and no more than monthly in Bahamian currency, for example in cash, by cheque or into a bank account. With each payment, the employer must issue a written statement showing the pay period, hours worked and wage rate. Wage records must be kept for at least three years. Deductions for loans may not exceed one fifth of the relevant pay period. The rules for contributions to the national insurance system concern the national insurance authority (National Insurance Board): since 1 July 2024, contributions are generally calculated at 4.65 percent for employees and 6.65 percent for employers. The insurable ceiling is 810 dollars per week. Arrears in employer contributions are borne solely by the employer. Statutory entitlements are generally financed by the employer; the employee contribution to National Insurance is deducted from wages. For ordinary dismissal by the employer, notice periods vary according to length of employment. After six months and before twelve months, at least one week and the statutory pro-rated payment are required. From twelve months onward, at least two weeks plus two weeks for each completed year of employment apply, up to a maximum of 24 weeks. Supervisory and managerial employees receive longer periods of at least one month plus one additional month for each year, up to a maximum of 48 weeks. Employees generally give two weeks' notice after one year and before two years, and four weeks' notice after two years. Summary dismissal requires legally recognised grounds such as misconduct, wilful breach of duty, breach of contract, dishonesty, repeated neglect, incompetence or gross misconduct. The employer must show an honest and reasonable belief and a reasonable investigation. In a redundancy caused by business closure or reduced staffing needs, an employee with at least one year of continuous employment is generally entitled to payment on or before the termination date. The calculation under Section 26 is generally two weeks of basic pay or termination pay for each year of employment, up to a maximum of 24 weeks. The claim may be pursued before the employment tribunal (Industrial Tribunal) as a preferential debt. An exception applies to fixed-term contracts of less than two years relating to a specific construction project. A dismissal may be challenged as unfair dismissal if it is not based on sufficient substantive grounds. This includes dismissal because of trade-union membership or activity, pregnancy, or discriminatory selection for redundancy. The employment tribunal may order reinstatement, re-employment or compensation. Compensation is generally limited to 18 months' wages, or 24 months' wages for supervisory and managerial employees. Children under 14 may generally not be employed, except in the cases provided for in the statutory First Schedule (First Schedule). No work may take place during school hours. Night work between 20:00 and 06:00 is prohibited for children; exceptions apply to young people aged 14 to under 18, including in hotels, restaurants, food shops, general merchandise shops and service stations. Young people may work no more than three hours on a school day, 24 hours in a school week, eight hours on a non-school day and 40 hours in a non-school week. Persons under 16 may generally not work on ships, except in family crews or in Bahamian waters under the conditions established by law. Employers must protect the health, safety and welfare of all employees so far as reasonably practicable. Employees must take reasonable care and cooperate. The workplace inspection unit (Labour Inspection Section) can issue improvement and prohibition notices and intervene in cases of immediate danger. Anyone may report a health or safety violation free of charge and without a fixed time limit; processing time depends on the case. Reports go to the inspection unit, including through labour@bahamas.gov.bs. Trade unions are registered with the Registrar of Trade Unions and Industrial Agreements. Secret ballots are required for certain resolutions and strikes. The registered collective agreements (Industrial Agreements) must be registered and may regulate negotiations, employment conditions and dispute resolution. Dismissal because of trade-union membership or activity may be unfair. Strikes and lockouts generally require statutory notice, conciliation and referral steps and are prohibited while tribunal proceedings are ongoing. Special procedures apply to essential services, including possible referral by the Minister. In an employment dispute, employees or trade unions may first submit a registered dispute report (Report of Trade Dispute) to the labour authority (Department of Labour). The parties must participate in conciliation in good faith. After the statutory periods, the Minister may refer the dispute to the employment tribunal. The tribunal decides disputes in essential and non-essential services, collective agreements and other matters assigned by law. It operates from Nassau on New Providence and from Freeport for the Northern Region. Proceedings are governed by the tribunal procedure rules (Industrial Tribunal (Procedure) Rules 2025); enforcement of a tribunal decision may take place through the Supreme Court. Reliable general information on specific procedural fees is not available. The 2024 apprenticeship statute (Apprenticeship Act 2024) has been in force since 6 August 2024. An apprenticeship is structured training both on and off the job that is paid or otherwise financially compensated and provides recognised skills or qualifications. Responsibility lies with the national apprenticeship board (National Apprentice Board) and the national apprenticeship unit (National Apprenticeship Unit). Access and details depend on the sector and the relevant agreement. The national system is supported by labour-department offices on several islands, including Nassau, Abaco, Andros and the Berry Islands, Bimini, Eleuthera, Exuma and Grand Bahama.