Expand your global workforce in Tanzania
Your guide to the employment landscape, working customs and local labor laws in Tanzania
Capital
Dodoma
Currency
Tanzanian Shilling (TZS)
Languages
Swahili and English
GDP per Capita
$1,340.82
Employer Tax
25.5% - 29.5%
Payroll Frequency
Daily/Weekly/Bi-weekly/Monthly
Talent overview
Tanzania is described as having a lower-middle income economy and has sustained high economic growth in the past decade. Their agricultural sector alone has been growing by 4% every year. Their economic success is also contributed by their industrial activities, strategic location and rich natural resources.
Major economic hubs:
Dar es Salaam, Mwanza, Dodoma
Skills in demand:
Tourism, Sales and Marketing, Healthcare, Education, Accountancy, Engineering
Tanzania
Top local universities in Tanzania
Muhimbili University of Health and Allied Sciences
RANKING
Local: 3
World : 5536
Top Local Job Boards:
Brighter Monday, CVPeopleAfrica, Vipawa Works
Number of LinkedIn users:
1,019,400
Top Recruitment Agencies:
Epic Business Resources, LTD, Kaparama Professional Recruiters, LTD
Where to find talent
Top Local Job Boards:
Top Local Job Boards
Number of LinkedIn users:
Number of LinkedIn users
Top Recruitment Agencies:
Top Recruitment Agencies:
Salary Data
Below are monthly average salaries for some positions in Tanzania:
| Job Title | Average Monthly Salary (TZS) | Average Monthly Salary ( USD) |
| Account Manager | 1,400,000 | 599.32 |
| Software Engineer | 1,190,000 | 509.42 |
| Data Analyst | 1,210,000 | 517.98 |
| Graphic Designer | 823,000 | 352.31 |
| Project Manager | 1,480,000 | 633.56 |
| Sales Manager | 2,100,000 | 898.97 |
Employ in Tanzania
Employing in Tanzania
The first step to exploring Tanzania’s labor market is to gain familiarity with its labor regulations and rules. Below are some factors you must look into when employing Tanzanian employees.
Employee Contract
Employee Contracts in Tanzania must be expressed in a language that is understandable for both parties. Most commonly, these legal documents are in Swahili or English.
Probation Period
Newly hired Tanzanian employees will be under a probationary period of up to 6 months before they can be regularized.
Public and Provincial Holidays
| Date | Name | Type |
| January 1 | New Year’s Day | National Holiday |
| January 12 | Zanzibar Revolution Day | National Holiday |
| March 31 | Eid el Fitri | National Holiday |
| April 1 | Eid el Fitri Holiday | National Holiday |
| April 7 | Karume Day | National Holiday |
| April 18 | Good Friday | National Holiday |
| April 21 | Easter Monday | National Holiday |
| April 26 | Union Day | National Holiday |
| May 1 | Labour Day | National Holiday |
| June 7 | Eid al-Adha | National Holiday |
| July 7 | Saba Saba | National Holiday |
| August 8 | Farmers’ Day | National Holiday |
| September 5 | Maulid | National Holiday |
| October 14 | Mwalimu Nyerere Day | National Holiday |
| December 9 | Republic Day | National Holiday |
| December 25 | Christmas Day | National Holiday |
| December 26 | Boxing Day | National Holiday |
Employee Leaves
| Type of Leave | Time Period | Mandatory |
| Annual Leave | 28 days | Yes |
| Sick Leave | 126 days | Yes |
| Maternity Leave | 84 to 100 days | Yes |
Leave Compliance
Payroll in Tanzania
Payroll cycle
The Tanzanian salary management can be released daily, weekly, bi-weekly or monthly, depending on what was stated in their contract.
Minimum wage
The minimum wage in Tanzania varies across different sectors. It ranges from TZS 40,000 to TZS 400,000 per month.
Read more
Overtime pay
Overtime work in Tanzania is compensated with 150% of an employee’s regular pay rate.
How taxes work
Employer Payroll Tax
| Scheme | Contribution |
| National Social Security Fund | 15% or 10% ; Employers can opt to pay the
whole 20% without deducting from employees’ wage |
| Public Service Social Security Fund | 15% |
| Workers’ Compensation Fund | 0.5% |
Employee Payroll Tax
| Scheme | Contribution |
| National Social Security Fund | 5% or 10% |
| Public Service Social Security Fund | 5% |
| Workers’ Compensation Fund | – |
Employee Income Tax
| Annual Income
(TZS, Tanzanian Shilling) |
Tax Rate (%) |
| 0 to 3,240,000 | 0 |
| 3,240,000 to 6,240,000 | 8% of the amount over 3,240,000 |
| 6,240,000 to 9,120,000 | 20,000 + 20% of the amount over 6,240,000 |
| 9,120,000 to 12,000,000 | 68,000 + 25% of the amount over 9,120,000 |
| Above 12,000,000 | 128,000 + 30% of the amount over 1,000,000 |
VAT
The standard rate for VAT in Tanzania is 18%.
Bonus
13th Month Pay
A 13th month pay is not mandatory in Tanzania.
Employee Benefits
Some of the benefits that Tanzanian employees are entitled to are the following:
- Statutory Leaves
- Social Security
- Medical Plans
- Housing Benefits
- Car Benefit
Employee offboarding
Terminating an employment contract may be caused by varying circumstances. Some of the reasons are misconduct, incapacity, incompatibility and operational requirements. Regardless of the grounds for termination, a notice must be given to inform either parties of the decision to end the contract.
Notice Period in Tanzania can be 7 to 28 days, depending on the employee’s length of service.
Severance Pay in Tanzania will be equivalent to 7 days of an employee’s regular wage for each year of service (up to a maximum of 10 years). This compensation will not be entitled to employees being terminated due to misconduct.
Visa and
immigration
Foreigners opting to work in Tanzania must secure a work permit and residence permit in order to legally stay in the country. There are 3 classifications for this legal document:
- Class A – Foreign Investors
- Class B – For employees employed in a position that no Tanzanian citizen can fill
- Class C – for missionaries, researchers, students, volunteers, and more
Expats must apply for the appropriate permit classification that befits their purpose in the country. Most employees, however, would qualify for the Class B work permit.
Your employment toolkit for Tanzania
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Overtime Pay
Minimum Wage
| Sector | Monthly Minimum Wage
(Tanzanian Shilling, TZS) |
| Agricultural Services | 140,000.00 |
| Health Services | 195,000.00 |
| Communication Services | 225,000.00 to 500,000.00 |
| Domestic and Hospitality Services | 120,000.00 to 300,000.00 |
| Private Security Services | 148,000.00 to 222,000.00 |
| Energy Services | 225,000.00 to 592,000.00 |
| Transport Services | 300,000.00 to 390,000.00 |
| Construction Services | 320,000.00 to 420,000.00 |
| Mining | 250,000.00 to 500,000.00 |
| Private Schools Services | 207,000.00 |
| Trades, Industries, and Commercial Services | 150,000.00 to 592,000.00 |
| Fishing and Marine Industry | 238,000.00 |
| Other Sectors | 150,000.00 |
Overtime Pay
Visa and Immigration