Employer in Djibouti

The Djibouti Labour Code (Code du Travail) applies to private and public employers as well as enterprises in the free zones (zones franches). The permanent public service (Fonction publique), the military, the gendarmerie, the police and civil protection are outside this scope. An enterprise or establishment reports its opening to the labour inspectorate (Inspection du Travail) and keeps an up-to-date employer register. Each month, it reports vacancies, hires, the identity and qualifications of employees to the employment services (Services de l’Emploi). Closure, reopening, merger, transfer, change of location, change of legal form or change of activity each require separate notifications. If the employer status changes, existing employment contracts remain in force. Employers are generally free to select personnel. Foreign employees require a written contract, a visa and a work authorisation (autorisation de travail) from the competent minister; the employer submits the application. If the authority does not decide within 60 days, the authorisation is deemed granted. The departure of foreign employees must also be reported. Since 2018, a permanent employment contract (CDI) must be agreed in writing. A fixed-term contract (CDD) may last no more than twelve months and may be extended once. Private employment agencies require registration and must comply with reporting obligations. In temporary agency work (intérim), the agency is considered the employer. A written contractor agreement (tâcheron) must be sent to the labour inspectorate within 48 hours; the principal is liable if the contractor becomes insolvent. An apprenticeship (apprentissage) lasts from six months to two years, requires a written contract with a visa, provides for employer remuneration of at least 25 percent of the reference wage and ends with a certificate. Employers must treat employees equally in hiring, work allocation, training, promotion, remuneration, discipline and termination. They may not put pressure on employees or trade unions and must prevent, stop and sanction moral or sexual harassment. The statutory minimum wage (SMIG) is 35,000 FDJ; equal or equivalent work must receive equal pay. Regular working time is 48 hours per week. Unilaterally ordered overtime is limited to five hours per week; beyond that, prior authorisation from the labour inspectorate is required. Actual working time may not exceed 60 hours per week and twelve hours per day. Weekly rest is at least 24 hours and is generally on Friday. Employers display the work schedule and communicate it to the labour inspectorate. Upon termination, they issue a work certificate. Training agreements must specify the objective, duration and remuneration in writing. Every employer and every employee is registered with the National Social Security Fund (CNSS); employers also register employees and apprentices. The CNSS number appears on the payslip and employment certificate, and employers report the remuneration of every employed person. According to the CNSS, the total contribution is 21.7 percent of remuneration: the employer bears 5.5 percent for family benefits and 8.2 percent for healthcare and occupational accidents; the 8 percent old-age insurance contribution is shared equally by employer and employee, at 4 percent each. Payment is due by the tenth day of the following month. Late payments increase the contribution by ten percent and, after another month, by an additional three percent. An electronic declaration is available. The CNSS and the labour inspectorate may enter workplaces and inspect payroll records. Employers provide employees with practical hygiene and safety information upon hiring, when the workplace or technology changes and after a return lasting more than six months. They continuously monitor working conditions. In industry and construction, an establishment with at least 50 employees establishes a health and safety committee, which meets at least three times a year. The employer prepares annual accident and illness statistics and sends the meeting minutes to the labour inspectorate within one month. A medical examination takes place no later than eight days after hiring and annually thereafter; starting work depends on the examination result. First aid and evacuation must be ensured. The employer reports occupational accidents and diseases within 48 hours to the labour inspectorate and to OPS or the CNSS. In an acute danger situation, the labour inspectorate may require immediate measures. The employer may challenge such a measure within eight or 15 days through référé proceedings. From eleven employees onward, the employer organizes the election of employee delegates (délégués du personnel). Voting rights require six months of service, while eligibility requires one year. The mandate lasts two years; six hours and 40 minutes of paid leave per month are available for this purpose. The employer addresses complaints about working conditions, wages and employment and consults the representatives during restructuring. Meetings take place at least quarterly. Termination of a delegate requires the prior authorisation of the labour inspector (Inspecteur du Travail); without authorisation, reinstatement or a lump-sum payment of twelve months’ wages may follow. Trade unions may be freely established and employees may join them. The parties may voluntarily settle individual disputes, or do so upon application, through the labour inspectorate. The summons is issued within 15 days; the record of settlement or non-settlement is prepared within no more than three months. The Labour Court (Tribunal du Travail) then has jurisdiction. The parties immediately report a collective dispute to the local inspector or, where several jurisdictions are involved, to the Director of Labour. If conciliation fails, the dispute is referred within eight days to the arbitration council (Conseil d’arbitrage); a deposited settlement is enforceable before the Labour Court. Rules on economic or technical termination apply in cases of job reductions, substantial transformation, technological or organizational change, economic difficulties or closure of the establishment. Before deciding, the employer informs the inspector about personnel developments during the previous twelve months, the reasons, the number and qualifications of those affected and the period concerned. The employee delegates receive the information at the same time. The standstill period is at least eight days, or 21 days for more than ten terminations; the employer and the representatives discuss alternatives and reducing the number of terminations. Termination is made in writing and reported afterward. Affected employees have priority for rehiring for one year. Personal termination must be notified in writing within 48 hours. The notice period is 15 days for hourly-paid employees, one month for employees and workers, and three months for supervisors and managers.