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Qatar PEO & EOR

Doing Business With a Qatar PEO/EOR

Qatar is one of the wealthiest countries in terms of GDP per capita. The country relies predominantly on natural gas and petroleum. To overcome its reliance on non-renewable energy sources, Qatar is driving growth across various sectors and inviting businesses worldwide to explore its industries.

In the last few years, numerous companies have explored Qatar to expand their business. However, the complicated hiring laws in the country are a major challenge. The labor laws in Qatar demand you to register with the Immigration Department, within the Ministry of Interior, before hiring foreign workers. Hence, you must be well-accustomed to the HR operations, like the onboarding, payroll, employment contracts, etc before starting the hiring process.

To make the process seamless, you can partner with a Qatar PEO or an Employer of Record. Multiplier’s PEO solution can be your partner and manage all HR operations in the country, while you focus on growing your business in the country.

Why Use a Qatar PEO?

If you are looking to hire on a global scale, you must be aware of a particular country’s laws and regulations. Understanding the hiring, taxation, contracts and mandatory benefits for Qatar locals demands a lot of research and know-how.

According to the labor law of Qatar, the parties involved in the negotiation must submit an employment contract translated into the Arabic language. In addition, foreign workers must have a permanent residency visa and a work permit to work in Qatar legally. The law also mentions that the company is responsible for obtaining the permit and all the necessary visas required for employing a candidate. 

A Qatar PEO solution provider such as Multiplier will help you create a seamless onboarding process. Our team of experts ensures that all the employee documentation and other HR-related activities are in accordance with the labor and employment laws of Qatar. 

Qatar PEO Costs

A PEO’s costs are based on two pricing models – fixed and variable. Commonly, PEO services cost a business between 2% to 11% of all wages per employee per year. 

Multiplier is one such platform that offers Qatar PEO solutions. We offer onboarding and managing global teams from $200 per employee per month. However, the complexity of the employment laws in the worker’s country dictates the final price. Every employee onboarded through our PEO also gets HR support, benefits management, and a live dashboard to track the spending in real-time.

How to Hire in Qatar?

Qatar is considered one of the most Western-friendly nations in the Gulf. This is one of the reasons ex-pats from around the world look for job opportunities in industries like the petrochemical and engineering sectors. Moreover, the country is also growing in sectors like construction and tourism. 

Partnering with a Qatar EOR like Multiplier will reduce the majority of your workload. We have SaaS-based PEO & EOR solutions, which can be your helping hand to get a competitive edge in Qatar. 

Here are a few things to understand about the employment laws in Qatar which can help you expand in Qatar:

Type of employment agreements 

  • Indefinite contracts: According to Article 69 of the employment law in Qatar, either of the parties can terminate unlimited or long-term agreements with a written notice. A written notice is mandatory if the probation period is over. The involved parties are also not required to mention the reason for the termination of employment. 
  • Termination without notice: According to Article 61, the law of Qatar have certain conditions that allow organizations to terminate employment without notice: 
  • Submitting false documents
  • False nationality or identity
  • An act of financial loss for the company on purpose is committed by an employee
  • Sharing confidential information
  • If the worker is found under the influence of drugs or found drunk during work hours
  • Definite contract: The organization and the employee must mutually agree to terminate the agreement under the fixed-term contract. The termination must happen before the expiration date if the reason for termination involves gross misconduct. In addition, if the company needs to terminate the contract and the employee disagrees, the company must pay the salaries and other benefits for the remaining length of the term. 

Working hours In Qatar 

As per the employment law of Qatar, the maximum duration of a workweek must not exceed six days. And the duration of a shift must not be more than 8 hours. Typically, the work hours are reduced to 6 hours during Ramadan. 


In Qatar, the companies follow a monthly payroll cycle. However, there is no legal requirement for the 13-month payments. The employers can issue bonuses at their discretion. 

Maternity leave 

The circumstances of maternity leave for foreign and national workers have a slight difference: 

  • If a foreign female employee has worked for more than one year in an organization, they are entitled to receive 50 days of leave. According to the employment law of Qatar, a female worker can take 15 days before the delivery date and 35 days post-delivery.
  • For certifying the start of the leave, the foreign female workers must provide all the medical certificates and the expected date of birth
  • Foreign female workers are permitted 1 hour of nursing time per shift in the 1st year after birth
  • Either of the parties cannot terminate the employment contract in this period

Qatar sick leave 

As per the employment laws in Qatar, the companies must provide health insurance for employees who have been working for more than three months. However, the employees must give relevant medical certificates to get approval on sick leave. In this case, the employee who obtained sick leave for two weeks has the right to receive compensation for this period. 

In other words, if any employee is not available due to illness for four weeks, they must receive compensation for half of their salary. However, if the sick leave is more than six weeks and the employee cannot resume work/terminate employment/or do not resign, they will not be entitled to get the sick compensation. 

Furthermore, if a worker terminates the employment or dies in the six weeks of sick leave, they are entitled to receive compensation equivalent to the rest of the days.  

Taxation in Qatar

There is no income tax on employees in Qatar. The following rules apply while paying payroll tax in Qatar:

  • Employer contributes 10% of the employee’s payroll towards Qatar Labour Law Monthly Contribution on their behalf
  • Employer does not have to contribute any amount as payroll tax if the entity is wholly owned by Qatari and Gulf Cooperation Council (GCC) nationals
  • Employee contributes 5%-8% of their salary towards Qatar Labour Law Monthly Contribution
  • Companies in the oil and gas sector have to pay 35% corporate tax

Qatar supplementary benefits 

Supplementary benefits in Qatar include the following:

  • Housing allowance
  • Transportation allowance
  • Health insurance
  • Life insurance

It is your responsibility to mention the supplementary benefits in the employment contract.

Termination/severance in Qatar 

In Qatar, the maximum probation is six months. The employee may not be given more than one probation period with the same employer. An employer can terminate the contract within the probation period along with a three days notice if the employer deems the candidate unfit for the job. 

All employees who complete more than one year of employment with an organization are entitled to end of service benefits in Qatar. In this case, the compensation due includes the base wage along with the cost of living allowance, if any, and: 

  • 3 weeks for every year of service (Up to 5 years of continuous service)
  • 4 weeks for each year of service (Up to the second 5 years of continuous service) 
  • 5 weeks for each year of service (Up to the following ten years of service) 
  • 6 weeks for each year of service (Up to exceeding 20 years of continuous service) 

The severance pay is due to the employee within seven days of their last working day. Some companies also provide an amount equivalent to one months’ salary for every year or partial year of employment. An employee on an indefinite contract must serve a notice period of 30 days. And if the period is more than five years, the notice period is at least two months before the date of termination.  

The employers must also incur the expense of returning the employee to their home country. And one should also ensure that the employee leaves the country within seven days after the exit permit is issued. If this 7-day duration is exceeded, the employer can report the violation to the police or the immigration authorities.

Why Multiplier?

Multiplier’s Qatar PEO/EOR solution can help the companies tread into the new market smoothly. We are a mediator between you and the employee and act as a co-employer of your international workforce

Our team of experts will support you during onboarding and managing employee payroll, benefits, expenses, and HR services. We also ensure total compliance with the state and federal laws of the country.

Frequently Asked Questions

Yes. According to the employment laws of Qatar, a woman is entitled to get 50 days of maternity leave. So, women can take a leave for 15 days before the delivery and 35 days after the delivery.

No. The minimum period of probation is one month, which an employee has to complete to get the compensation due from the employer.

In any case, an employee dies during the sick leave period, employers must offer the total compensation for the rest of the days.

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