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Bhutan Employment Guide

Your quick guide on talent and labor compliance norms in Bhutan




Bhutanese Ngultrum (BTN)


Nepali, Dzongkha, Lepcha, Tshangla

Payroll Frequency


GDP per Capita


Employer Tax


Talent Overview

Bhutan is one of the least developed countries in the world with a freedom score of 59.3. Over 60% of its population depends on agriculture and animal husbandry making up 50% of its GDP. Its close trade relations with India assist them through monetary and trade exceptions. It had a downturn in GDP growth sliding to -10.1% in 2020. Bhutan largely protects its culture hence its apprehension toward progressive modernization.

Major economic hubs:

Thimphu, Phuntsholing

Skills in demand:

Construction and Trade Professionals, Information and Communications Technology Professionals, Tourism Professionals

Map Bhutan

Local Universities

The top local universities in Bhutan are as follows:

Uni1 Bhutan

Royal University of Bhutan


Local: 1

World : 5481


Royal Thimphu College


Local: 2

World : 15669

Uni3 New

Royal University of Bhutan Paro College of Education


Local: 3

World : 8648


Royal University of Bhutan College of Science & Technology


Local: 4

World : 16763


Royal Institute of Management


Local: 5

World : 17927

Salary Data

The monthly salary in Bhutan for some job title are:

Job Title Average Monthly Salary (BTN) Average Monthly Salary (USD)
Developer / Programmer 37,900 460
Network Engineers 33,500 407
Lawyers 72,100 876
General Manager 64,700 786
Chief Executive Officer 83,010 1,008
Chief Financial Officer 74,500 904
Information Technology Manager 62,500 759
Talent Source - Bhutan

Talent Sourcing Tips

Top Local Job Boards:, JobsInYangong,

Number of LinkedIn users:


Top Recruitment Agencies:

Bhutan Recruitment, BISHT Overseas Employment Agency

Employing in Bhutan

Hiring employees in Bhutan is a breeze when you are knowledgeable about its employment laws, benefits, payroll, and tax systems. Know how to employ and onboard talents from Bhutan with the information below.

Employee Contract

Written employment contracts in Bhutan are required if the contract schedule is more than one year of service. When a written contract is not met, the employer must adhere to the Labor Law of Bhutan. Contracts are generally written in Choke but as a rule, they must be understood by both parties.

Public and Provincial Holidays

Date Name Type
3 Jan Winter Solstice (Nyilo) Public Holiday
12 Jan Traditional Day of Offerings Public Holiday
10 Feb Losar (New Year) Public Holiday
11 Feb Losar Holiday Public Holiday
21 Feb King’s Birthday Public Holiday
22 Feb King’s Birthday Holiday Public Holiday
23 Feb King’s Birthday Holiday Public Holiday
18 Apr Death Anniversary of Zhabdrung (Zhabdrung Kuchoe) Public Holiday
2 May Birth Anniversary of Third Druk Gyalpo Public Holiday
23 May Buddha’s Parinirvana Public Holiday
16 Jun Birth Anniversary of Guru Rinpoche Public Holiday
10 Jul Buddha’s First Sermon Public Holiday
9 Sep Thimphu Drubchoe (Thimphu only) Municipal Holiday
13 Sep Thimphu Tshechu (Thimphu only) Municipal Holiday
14 Sep Thimphu Tshechu (Thimphu only) Municipal Holiday
15 Sep Thimphu Tshechu (Thimphu only) Municipal Holiday
22 Sep Blessed Rainy Day Public Holiday
12 Oct Dashain Public Holiday
1 Nov King Jigme Khesar Namgyel’s Coronation Public Holiday
11 Nov Birth Anniversary of the Fourth Druk Gyalpo/Constitution Day Public Holiday
22 Nov Descending Day of Lord Buddha Public Holiday
17 Dec National Day Public Holiday

Employee Leaves

Type of leave Time Period Mandatory
Annual leave/Earned Leave  Minimum 18 days Yes
Sick Leave Based on requirement Yes
Maternity Leave 3 to 6 months Yes


Payroll 1

Payroll Cycle

Compensations in Bhutan are paid monthly.

Payroll 2

Minimum Wage

The minimum wage in Bhutan is BTN 3,750 per month.

Payroll 3

Overtime Pay

Overtime hours should not exceed 2 hours per day or 12 hours per week. A worker is paid at a minimum of their normal rate of pay or may depend on the employee-employer contract. If the employee is needed to work from 10:00 p. m. – 8:00 a. m. then the rate is 50% in addition to their normal rate.


13th Month Pay

The 13th-month salary is mandatory in Bhutan.

Employee Benefits

  • Pension
  • Permanent Disability Benefit
  • Surviving Spouse Benefit
  • Surviving Children Benefit
  • Orphan Benefit
  • Dependent Parent Benefit


Employer Payroll Tax

The contribution taxes are dependent on which contributions the employee is available to provide.

Type Contribution Rate
Employer Not lower than 5%

Employee Payroll Tax

Type Contribution Rate
Employee Not lower than 5%

Employee Income Tax

Income tax is levied at a progressive rate on all annual income as follows:

Income Group (in BTN) Taxes
0 – 300,000 0%
300,001 – 400,000 10%
400,001 – 650,000 15%
650,001 – 1,000,000 20%
1,000,001 – 1,500,000 25%
1,500,001+ 30%


The GST (VAT) rate in Bhutan is 7%.

Offboarding & Termination

An employer must provide an employee with at least two weeks written notice of their intention to terminate the employment of an employee. Thereafter, the employer must pay the employee two weeks wages at a regular rate.

However, federally regulated employees do not have to give their employer notice if they choose to quit.

An employer is required to provide a minimum 30 days notice period in the employment contract.

On termination of contract, employees with a minimum service of 5 years with constant contribution will receive the provident fund contributions including interest from employee and employer contribution. With less than five years of constant contribution, employees are entitled to their provident fund contributions with interest but not the employer’s contribution.

It is not stipulated in the law that requires the employer to provide a severance pay package.

Visa and Immigration

Getting a Business Visa or Work Permit in Bhutan depend on the rules and regulations of the Ministry of Foreign Affairs (MFA).

For a Business Visa, you must have documentary evidence of the business existing in the country.

For a work permit, it depends on the relevant agencies for processing but generally, you must apply for a permit from the Department of Labour and must be over 18 years of age.

Visa and Immigration - Bhutan
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Minimum Wage

Overtime Pay

Visa & Immigration