Payroll Cycle
Minumum Wage
Overtime Pay
Visa Immigration

Talent Wiki - Cape Verde

Your quick guide on talent and labor compliance norms in Cape Verde
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Capital
Praia
Currency
Cape Verde Escudo (CVE)
Languages
Portuguese, Cape Verdean Creole
Payroll Frequency
Monthly
GDP per Capita
$3,445.80
Employer Tax
15%

Supplementary Guide for Employment and Expansion in Cape Verde

Talent Overview

Cape Verde is a small archipelagic nation located near the coasts of Senegal and Mauritania. It is a service-oriented country lacking in natural resources. It experiences devastating droughts due to a lack of rain in the area (save a few islands) which totally limit the country’s agricultural development. However, Cape Verde boasts a strong tourism industry, largely due to significant cooperation with Portugal.

Major Economic Hubs:

Praia Town

Skills in Demand:

Education Professionals, Medical Professionals, Tourism Professionals, ICT Professionals

Local Universities

The top local universities in Cape Verde are as follows:

Universidade de Cabo Verde

RANKING

Local: 1

World : 4789

Universidade Jean Piaget de Cabo Verde

RANKING

Local: 2

World : 7525

Universidade do Mindelo

RANKING

Local: 3

World : 8899

Universidade Lusófona de Cabo Verde

RANKING

Local : 4

World : 9521

Instituto Superior de Ciências Económicas e Empresariais

RANKING

Local : 5

World : 9788

Salary Data

No. Job Title Average Salary Range (in CVE) Salary Range (in USD)
1 Information Technology Manager 342,000.00 3,159.35
2 Network Engineer 169,000.00 1,561.20
3 Developer / Programmer 197,000.00 1,819.86
4 Project Manager 222,000.00 2,032.33
5 Database Administrator 194,000.00 1,792.15
6 Business Analyst 245,000.00 2,263.28
7 Business Development Manager 310,000.00 2,863.74

Talent Sourcing Tips

Top Local Job Boards:

Jobs Island (Cape Verde), Jobnet Africa, Michael Page (Africa)

Number of LinkedIn users:

65, 710

Top Recruitment Agencies:

Congrexim

Employing in Cape Verde

Hiring in Cape Verde requires you to be aware of the local employment laws, benefits, payroll, and taxes. Given below is everything you need to know on how to successfully onboard talents from Cape Verde.

Employee Contract

Contracts in Cape Verde can either be verbal or written according to the Labour Code. The minimum age to sign a contract is 15 years old. If the employee is less than 18 years old then parents or legal guardians can demand the cancellation of the contract. The most common type of contract used by employers in Cape Verde is a written contract. Cape Verde uses two languages, Portuguese and Cape Verdean Creole. They can use either language in writing contracts but in practice, they use Portuguese the most. Therefore, it’s recommended that they use Portuguese; however, by law, they can use either.

Probation Period

The probationary period for employees ranges from 15 days to 2 months.

Public and Provincial Holidays

Date Name Type
14 Apr Public Sector Half Day Government Holiday
15 Apr Good Friday Public Holiday
17 Apr Easter Sunday Public Holiday
1 May Labour Day Public Holiday
1 Jun Children's Day Public Holiday
5 Jul Independence Day Public Holiday
15 Aug Assumption of Mary Public Holiday
1 Nov All Saints' Day Public Holiday
25 Dec Christmas Day Public Holiday

Employee Leaves

Type of leave Time period Mandatory
Annual leave/Earned Leave 22 - 44 days Yes
Maternity Leave 2 months Yes
Sick Leave 30 days Yes

Payroll

Payroll Cycle

Workers are paid monthly. The payroll schedule must not exceed more than 31 days from the last payment.

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Minimum Wage

The minimum wage in Cape Verde is CVE 11,000 ($101.59) for the public sector and CVE 12,000 ($110.83)  for entry-level workers.

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Overtime Pay

Regular overtime in Cape Verde should be at least 50% on top of the regular pay. 

For night work starting from 22:00 to 6:00, employees are entitled to a compensation of 25% on top of regular pay which cannot exceed more than 7 hours per week.

Weekend and holiday compensation rates are 100% on top of regular pay.

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Health Examination Clause

Bonus

13th Month Pay

The 13th-month pay is not mandatory in Cape Verde but is customary.

Employee Benefits

Full-time employees in Cape Verde are ensured to have insurance benefits such as

  • ~Old-Age Pension
  • ~Disability Pension
  • ~Survivor Pension
  • ~Temporary Disability Benefit
  • ~Permanent Disability Benefit
  • ~Worker’s Medical Benefit
  • ~Sickness and Maternity Benefit
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Taxes

Employer Payroll Tax

Employers are subject to 15% for social security contributions.

Employee Payroll Tax

Employees are subject to 8% of gross income for social security contributions.

Employee Income Tax

Employees who earn up to a net of CVE 220,000 annually are exempted from taxation.

Taxable Income (CVE) Tax Rate (%)
0 - 960,000.00 16.5
960,000.01 - 1,800,000.00 23.1
Over 1,800,000.01 27.5

VAT

The standard VAT in Cape Verde is 15% (8% for electricity and water for end-users).

Offboarding & Termination

Termination Process

Employers cannot terminate the employment contract without just cause. Valid reasons for termination include economic, market reasons, misconduct for a serious incident, or disciplinary issues destroying the employment relationship. 

Notice Period

The notice period before termination for probationary and regular employees is up to 30 days.

Severance Pay

An employee employed for less than 1 year is entitled to 1.75 days’ basic pay per month. Employees with 1 year of service are entitled to 21 days of basic pay. 

Employees with more than 1 year but less than 5 years of service are entitled to 15 days of basic pay per year. 

Employees with more than 5 years of service are entitled to 10 days of basic remuneration per year after the first five years.

Visa and Immigration

Business visas to Cape Verde are easily processed. However, you must visit their consulates inside your country to obtain your business visa according to their requirements. You can also email (address depends on Cape Verde’s consulate within your country) your application for easier processing.

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