Countrypedia · Africa
Hiring in Botswana
A practical guide to employing staff in Botswana — reflecting the new Employment and Labour Relations Act 2025, in force from 1 July 2026.
The new Employment and Labour Relations Act
The Employment and Labour Relations Act 2025 took effect on 1 July 2026. It replaces the Employment Act, the Trade Unions and Employers’ Organisations Act and the Trade Disputes Act with a single law, and creates a new Mediation and Arbitration Commission in place of the district labour offices and the Industrial Court.
- Written contracts are now required for all employees, including domestic, farm and construction workers.
- Late payment of wages can lead to a fine of up to P10,000 or 12 months’ imprisonment.
- Workers under the employer’s control and dependency are presumed to be employees, even if labelled contractors.
- Discrimination (including on health status, pregnancy and disability) and sexual harassment are expressly prohibited; employers need complaint procedures.
Contracts and probation
| Fixed-term contracts | Limited to 12 months unless objectively justified; fixed-term staff must be treated equally with permanent staff |
|---|---|
| Probation | Up to 6 months, with feedback and support required before termination |
| Language | English |
Working hours
| Standard hours | 48 hours a week |
|---|---|
| Overtime pay | 1.5 times the normal rate; double on rest days and public holidays |
Leave and holidays
| Annual leave | 15 working days a year |
|---|---|
| Sick leave | Paid sick leave with a medical certificate |
| Hospitalisation leave | 20 days, separate from sick leave (new) |
| Maternity | 14 weeks at 70% of salary (new — previously 12 weeks) |
| Paternity | 5 days (new) |
| Public holidays | Around 15 days a year |
Notice and termination
Dismissals must be for a fair reason and follow a fair disciplinary process, with reasons documented. Retrenchments require consultation and a negotiated package.
| Notice (previous Act, pending detailed regulations) | 2 weeks (2–5 years’ service), 1 month (5–10 years), 6 weeks (over 10 years); pay in lieu allowed |
|---|---|
| Severance (previous Act) | After 5 years: 1 day’s basic pay per month of service for the first 60 months, 2 days per month thereafter — not payable where a pension or gratuity applies |
Truerix confirms notice and severance terms against the new Act and its regulations for each hire.
Payroll and employer costs
Employers deduct PAYE monthly and pay it to the Botswana Unified Revenue Service (BURS) by the 15th of the following month. There are no statutory social security contributions; pension and medical schemes are provided by contract.
| Up to P48,000 | 0% |
|---|---|
| P48,001 – P84,000 | 5% |
| P84,001 – P120,000 | 12.5% |
| P120,001 – P156,000 | 18.75% |
| Above P156,000 | 25% |
Annual resident individual rates; non-residents are taxed from the first pula.
Benefits and practice
- A 13th cheque is not mandatory.
- Gratuity at the end of a fixed-term contract is common market practice.
- Foreign nationals need a work permit and residence permit before starting work.
Hire in Botswana with Truerix
Truerix employs your Botswana staff through our own local entity — written contracts under the new Act, PAYE filings, work permits and payroll handled for you.
Sources: Daily News – Employment Act comes into effect July 1 · Andersen Botswana – Key employment legislative highlights 2025 · ILO – Botswana landmark labour reform · WageIndicator – Notice and severance (previous Act) · BURS – Botswana Unified Revenue Service
