Talent Wiki – Cuba

Your quick guide on talent and labor compliance norms in Cuba

Capital

Havana (La Habana)

Currency

Cuban Peso

Languages

Spanish, Haitian Creole

Payroll Frequency

Monthly

GDP per Capita

6,630 USD

Employer Tax

14%

Talent Overview

Cuba is located in the Caribbean Sea. It is home to over 11 million people, making it the most populous country in the Caribbean. Cuba’s GDP represents 0.09% of the world economy and is expected to reach 97.30 USD Billion in 2022. The Cuban economy is a mixed and centrally-planned economy, with state-owned enterprises accounting for most of the country’s GDP. 

Major economic hubs:

Havana, Santiago de Cuba, Camagüey, Holguín

Skills in demand:

Healthcare, Tourism, Manufacturing, Education, Technology

Local Universities

The top local universities in Cuba are as follows:

Universidad de La Habana

Ranking:

Local: 1

World: 2391

 

Universidad Central Marta Abreu de Las Villas

Ranking:

Local: 2

World: 3754

Universidad de las Ciencias Informáticas

Ranking:

Local: 3

World: 4615

Universidad de Pinar del Río Hermanos Saíz Montes de Oca

Ranking:

Local: 4

World: 4616

Universidad de Oriente

Ranking:

Local: 5

World: 4820

Salary Data

Some common jobs in Cuba with average monthly salary are as follows;

Job Title Average Monthly Salary (Cuban Peso) Average Salary (in USD)
Accounting Assistant 11,600 CUP 478.42 USD
Financial Analyst 26,600 CUP 1097.06 USD
Business Analyst 25,700 CUP 1059.94 USD
Project Manager 23,900 CUP 985.70 USD
Customer Service Manager 29,400 CUP 1212.54 USD
General Manager 38,100 CUP 1571.35 USD
Human Resources Manager 31,000 CUP 1278.53 USD

Talent Sourcing Tips

Top Local Job Boards:

Linkedin, Indeed, CareerJet, Computrabajo

Number of Social Media users:

6.75 million

Top Recruitment Agencies:

Adecco, GECOMEX, Parman 

Employing in Cuba

With its well-educated workforce and proximity to developed countries, Cuba has long been an attractive destination for investors. However, the Cuban government imposes strict controls on businesses operating in the country. Here are some vital labor laws an employer should know.

Employee Contract

In Cuba, the employment contract is known as a “Contrato de Servicio de Fuerza de Trabajo” or “Workforce Service Contract.” Cuba recognizes written and verbal contracts. In the case of verbal agreements, it is valid for 90 days and must be formalized on paper after.

Public and Provincial Holidays

Date Name Type
1 Jan Liberation Day National holiday
2 Jan Victory Day National holiday
7 Apr Good Friday National holiday
1 May Labor Day / May Day National holiday
25 Jul Revolution Anniversary National holiday
26 Jul Day of the Rebellion National holiday
27 Jul Revolution Anniversary Celebration National holiday
10 Oct Beginning of the War of Independence National holiday
25 Dec Christmas Day National holiday
31 Dec New Year’s Eve National holiday

Payroll

Payroll Cycle

Workers are paid monthly.

Minimum Wage

Based on the Occupational group, the minimum wage in Cuba ranges from CUP 2,100 to CUP 6,310 for 40 hours of work per week. Similarly, for 44 hours per week, the minimum wage ranges from CUP 1,910 to CUP 5,735.

Overtime Pay

The typical workweek is forty-four hours per week, eight hours per day.

The law doesn’t prohibit mandatory overtime but limits it to 16 hours per week and 160 per year.

Overtime pay is in cash or extra rest time. Workers who must work on a holiday or rest day are paid a 100% premium.

Bonus

13th Month Pay:

There is no mandatory law about 13th-month pay. 

Employee Benefits: 

The employer is obliged to provide food and adequate accommodation, where appropriate.

Taxes

Employer Payroll Tax:

There is no statutory law for employer deductions.

Employee Payroll Tax:

There is no statutory law for employee deductions.

Employee Income Tax:

Tax Rate Contribution
Up to CUP 10,000 15%
CUP 10,000 – 20,000 20%
CUP 20,000 – 30,000 30%
CUP 30,000 – 50,000 40%
Over CUP 50,000 50%

VAT:

There is no VAT in Cuba.

Offboarding & Termination

According to Cuba’s Labor Code, an employment contract may be terminated by both the employee and employer.

For employers, they may only terminate an employee due to:

  • Loss of suitability, partial disability for a job offer
  • Disapproved requalification
  • Non-observance of the disciplinary norms established
  • Compliance with the term of the maternity leave or, where appropriate
  • Sanction of deprivation of liberty by final sentence or security measure 
  • Other causes are provided for in the legislation.

For contracts with an indefinite period, the notice period depends on which occupation group one belongs to. Below are the conditions and notice period it must follow:

Occupation Group Notice Period
I and II of the salary scale 15 days
III, IV and V of the salary scale 2 months
VI, VII, VIII and IX of the salary scale and for those who hold positions that require a medium-level degree as a requirement 3 months
Positions that require a higher level degree as a requirement 4 months

There is no recognition of severance or redundancy payments. Still, according to the Labour Code, the worker does have the right to receive the wage for the work performed, the accumulated annual paid vacations, and corresponding to the provision of social security that had been perceived at the time of termination of the employment relationship.

Visa and Immigration

To stay and work in Cuba, individuals have to get:

Type of Visa Purpose
Cuba Work Visa (D-1) For foreign nationals who have a work offer from a Cuban company or from a Cuban organization (For technicians and scientists)
Cuba Business Visa (D-7) For foreign nationals who wish to conduct business in Cuba

Streamline payroll and compliance for your international workforce

Payroll

Minimum Wage

Overtime Pay

Visa & Immigration