Talent Wiki - Cook Island
Your quick guide on talent and labor compliance norms in Cook Island
Capital
Avarua
Currency
New Zealand Dollar (NZD)
Languages
English and Cook Islands Māori
Payroll Frequency
Monthly
GDP per Capita
$22,138.5 (2019)
Employer Tax
5%
Talent Overview
Cook Island is a self-governing archipelago located in the South Pacific Ocean in free association with New Zealand. The country has many opportunities for development and growth. The GDP of Cook island increased by 3.1% in the past years. The country mainly focuses on service industries and tourism to improve the GDP.
Major economic hubs:
Avarua, Amuri, Avatiu
Skills in demand:
Digital Marketing, IT engineer, software engineer, and Developer.
Local Universities
Top Universities of Cook Island are:
Takamoa Theological College
Ranking:
Local: 1
University of the South Pacific
Ranking:
Local: 2
Cook Islands campus and Cook Islands Tertiary Training Institute
Ranking:
Local: 3
Salary Data
The average monthly salary of some jobs available in Cook Island is as follows:
| Job Title | Avg. Monthly Salary (NZD) | Avg. Monthly Salary (USD) |
| Financial Manager | 9,300 NZD | 5689.04 USD |
| General Manager | 8,340 NZD | 5101.79 USD |
| Business Development Manager | 7,710 NZD | 4716.40 USD |
| Financial Analyst | 6,030 NZD | 3688.70 USD |
| Business Analyst | 5,990 NZD | 3664.23 USD |
| Project Manager | 5,120 NZD | 3132.03 USD |
Talent Sourcing Tips
Top Local Job Boards:
Number of LinkedIn users:
6,980
Top Recruitment Agencies:
Employing in Cook Island
In order to maintain a fair and decent work environment, the employer must know about the labor law, social security contribution, bonus, and allowances that the employee needs to be provided with. This section contains all the information for the employer.
Employee Contract
The language of the employment contract must be in the official language; English or Cook Islands Māori.
Probation Period
The probation period in Cook island must not exceed six months.
Public and Provincial Holidays 2023
| Date | Name | Type |
| 1 Jan | New Year’s Day | Public Holiday |
| 2 Jan | New Year’s Day observed | Public Holiday |
| 2 Jan | Day After New Year’s Day | Public Holiday |
| 3 Jan | Day After New Year’s Day observed | Public Holiday |
| 7 Apr | Good Friday | Public Holiday |
| 10 Apr | Easter Monday | Public Holiday |
| 25 Apr | ANZAC Day | Public Holiday |
| 5 Jun | Sovereign’s Birthday | Public Holiday |
| 7 Jul | Ui Ariki Day | Public Holiday |
| 4 Aug | Constitution Day | Public Holiday |
| 26 Oct | Gospel Day | Public Holiday |
| 25 Dec | Christmas Day | Public Holiday |
| 26 Dec | Boxing Day | Public Holiday |
Employee Leaves
| Type of Leave | Time Period | Mandatory |
| Annual/Earned Leave | 10 days | Yes |
| Sick Leave | 5 days | Yes |
| Maternity Leave | 6 Weeks | Yes |
Payroll
Payroll Cycle
The payroll cycle in Cook Island is Monthly.
Minimum Wage
The minimum wage in Cook Island is NZD 8.00/hour.
Overtime Pay
The overtime rate is 1.5 times the monthly wage.
Bonus
13th Month Pay:
There is no statutory law for 13th-month pay in Cook Island
Employee Benefits:
- Healthcare Benefits
- Pension Benefits
- Maternity Benefits
Taxes
Employer Payroll Tax:
| Fund | Contribution |
| Superannuation | 5% |
Employee Payroll Tax:
| Fund | Contribution |
| Superannuation | 5% |
Employee Income Tax:
In New Zealand Dollar
| Taxable Income (NZD) | Rate | Payable Tax |
| Ranges from 0 to 14,600 | 0% | NIL |
| Ranges from 14,601 to 30,000 | 17% | 17 cents for each 1 NZD above 14,600 NZD |
| Ranges from 30,000 to 80,000 | 27% | *2,618 NZD + 27 cents for each 1 NZD above 30,000 NZD |
| Above 80,0001 | 30% | *16,118 NZD + 30 cents for each 1 NZD above 80,000 NZD |
In Euro
| Annual Taxable Income | Income Tax Rates (%) | Deductible Amount (EUR) |
| Up to 7,112 | 14.5 | Nil |
| Ranging from 7,113 to 10,732 | 23 | 604.54 |
| Ranging from 10,733 to 20,322 | 28.5 | 1,194.80 |
| Ranging from 20,323 to 25,075 | 35 | 2,515.63 |
| Ranging from 25,076 to 36,967 | 37 | 3,017.27 |
| Ranging from 36,968 to 80,882 | 45 | 5,974.54 |
| 80,882 and more | 48 | 8,401.21 |
Note: Depending on the employee income above the tax-free threshold, calculate the payable tax for each income bracket. For instance, the payable income between 14,601 NZD and 30,000 NZD is 17 cents for every dollar. For the tax bracket 30,000 NZD to 80,000 NZD, the employee has taxed 27 cents.
VAT:
The standard VAT rate is 15% on Cook Island.
Offboarding & Termination
Both parties can terminate the employment contract based on the requirement. The employer can terminate the contract on the following terms:
- If there is any case of redundancy
- If the employee is unable to carry out the duties
- If the employee is associated with any misconduct
The notice period in Cook Island is one week.
In Cook Island, there is no statutory law for severance pay.
Visa and Immigration
Any individual to work from Cook Island needs to apply for a work permit in the Ministry of Foreign Affairs and Immigration. Also, the individual has to provide all the personal documents with the employee contract and Health clearance check. Before traveling to the country, police checking is essential.
