Overview

Capital
Dublin
Currency
Euro (€) (EUR)
Date Format
dd/mm/yyyy

calendar icon Public holidays calendar

Taxes

Employer
10.75% - Social Security PRSI
Employee
4.00% - Social Security PRSI
1.00% - 11.00% - Universial Social Charge
20.00% - Up to 33,800
40.00% - Earned Income Remainder

Minimum Wage

General

Minimum wage per month is 9.80 EUR hourly 

Payroll

Payroll Cycle

Salaries are paid either on weekly or monthly basis. Employees should be paid by the last day of the month.

Working Hours

General

The average work week in Ireland is 39 hours with a typical day starting around 9am and ending at around 5:30pm. A work week cannot exceed 48 hours.

Overtime

Ireland does not have statutory overtime pay so overtime compensation should be negotiated and decided upon in advance within contract.  

Payroll Contributions

Social Security

For employees with weekly earnings of €356 or less, 8.5% of gross wages; for employees with weekly earnings greater than €356, 10.75% of gross wages. There are no maximum earnings used to calculate the employer's contributions. The employer's contributions also pay for sickness and maternity, work injury, unemployment, and adoption benefits.

Pension Fund

Residents who have properly contributed to the pension scheme in Ireland receive state pension once they reach the age of 66. The contribution rate is: 

  • Employers – 8.7% on weekly earnings up to 386 and 10.95% for weekly earnings over 386. 
  • Employees – no contributions for employees earning less than 352 a week. 4% contribution on weekly earnings for employees earning over 352 per week. 

Leave

Maternity Leave

Mothers are entitled to 26 weeks maternity leave and can receive an extra 16 weeks of unpaid leave, which begins immediately after the end of maternity leave. Mothers must take at least 2 weeks before the expected birth and at least 4 weeks after. Entitlement for paid leave depends on if the worker has contributed enough so social insurance, as employers are not obligated to pay.  

To receive benefits employees must contribute: 

  • At least 39 weeks of PRSI paid in the 12-month period before the first day of your maternity leave 

or

  • At least 39 weeks of PRSI paid since first starting work and at least 39 weeks of PRSI paid or credited in the relevant tax year or in the tax year immediately following the relevant tax year. 

or 

  • At least 26 weeks of PRSI paid in the relevant tax year and at least 26 weeks PRSI paid in the tax year immediately before the relevant tax year. 

Weekly standard rate is €245.00.

Paternity Leave

2 weeks of paid leave is given during any time within 26 weeks of the birth or adoption.  

Those eligible for paternity leave are: 

  • The father of the child 
  • The spouse, civil partner or cohabitant of the mother of the child 
  • The parent of a donor-conceived child 

To receive benefits an employee must have contributed to social insurance: 

  • At least 26 weeks PRSI paid in the relevant tax year and at least 26 weeks PRSI paid in the tax year immediately before the relevant tax year. 

or 

  • At least 39 weeks PRSI paid since first starting work and at least 39 weeks PRSI paid or credited in the relevant tax year or in the tax year immediately following the relevant tax year. 

or 

  • At least 26 weeks PRSI paid in the relevant tax year and at least 26 weeks PRSI paid in the tax year immediately before the relevant tax year.
Parental Leave

Parents of children age 12 years or younger are entitled to 22 weeks of unpaid leave.

Other Leave

Work related injury leave: Work injury is covered under Occupational Injuries Benefit Scheme as part of social insurance and provides benefits for people injured or incapacitated by an accident at work or while traveling directly to or from work. Payments are made from the 7th day of incapacity to work and can be paid for up to 26 weeks from the date of the accident. After 26 weeks employees should apply for illness or disability allowance.

Injury Benefit 

Weekly Rate 

Personal Rate 

€203.00 

Increase for a Qualified Adult 

€134.70 

Termination

Termination Process

If a worker has been employed for at least 13 weeks an employer should provide the statutory minimum of 1-week dismissal notice unless stated otherwise within written contract. If an employee feels the dismissal is unfair, they may ask for a written statement reasoning the dismissal. The statement should be provided within 14 days of the request.  

When employment ends employees shall receive any money owed and a payslip.

Notice Period

Notice should be made by both an employee and employer.  

Duration of Employment 

Minimum Notice 

13 weeks to 2 years 

1 week 

2 years to 5 years 

2 weeks 

5 years to 10 years 

4 weeks 

10 years to 15 years 

6 weeks 

15 years or more 

8 weeks  

Payment in lieu may be given instead of notice.

Severance Pay

When dismissed they have the right to receive wages owed to them for work completed. They are also to receive payment for annual leave earned but not taken. 

Employers are not required to pay severance to employees who have been terminated.  

For cases of redundancy employees are eligible receive: 

  • two weeks’ pay 
  • extra bonus week 

Redundancy pay is set to a maximum limit of 600 per week. A worker with 5 years of consecutive employment is eligible for 11 wees redundancy pay.

VAT

General

23% standard rate.