Run your business seamlessly with Neeyamo as we help you go beyond borders to manage your international payroll and hire new talent in Suriname.
Overview
Suriname, officially Republic of Suriname formerly Dutch Guiana, Country, on the northern coast of South America.
The main industry in Suriname is the mining and processing of bauxite. There is an aluminum smelter and an alumina refinery in Paranam. Apart from the bauxite and wood-processing industries, manufacturing is limited to small import-substitution enterprises. Processed foods, clothing, cigarettes, and construction materials are produced for the domestic market.
Do your organization's expansion plans require hiring employees in Suriname? If you lack a physical entity in the country – a key requisite to hiring local talent- your solution is the best HR payroll software, Neeyamo – Global Payroll Services. Neeyamo's international payroll system assists in onboarding and managing employees in Suriname- processing payroll and payroll accounting, managing global payroll compliance requirements, benefits, and more.
Facts And Stats
Capital
Paramaribo
Currency
Surinamese Dollar (SRD)
Official Language
Dutch
Fiscal Year
1 January - 31 December
Date Format
DD/MM/YYYY
Country Calling Code
+597
Other Languages
English, Sranan (a creole language), Javanese, Sarnami (derived from Hindi and Urdu)
Time Zone
UTC -03:00
Global Payroll
Overview
Handling payroll for a widespread workforce can pose as a major challenge for any firm. The added complication of compliance can make things worse and drastically affect the time and efforts that can be used in other equally important aspects of an organization's development.
Over the years, Neeyamo has observed these complexities and strived to provide a global payroll solution through a single technology platform, Neeyamo Payroll.
Payroll Taxes
Payroll tax is the percentage amount retained from an employee's salary and paid to the government to invest in the general population's welfare. These are statutory in nature and are levied from both the employer and employee. Additional statutory contributions are made by employers towards aiding both short-term and long-term benefits for their employees.
Employee Taxes
In Suriname, the employee's share of social security is 2.5% of monthly covered earnings if they are under 60, which rises by 0.25% a year until it reaches 14% by 2065. Those who are 60 years of age or older do not make an employee contribution.
The income tax brackets are as follows:
| Upto 2,646 SRD | 0% |
| 2,646 - 14,002 SRD | 8% |
| 14,003 - 21,919 | 18% |
| 21,920 - 32,839 SRD | 28% |
| Above 32,840 SRD | 38% |
Employer Taxes
The annual old-age insurance contribution is 4% of employment income.
The primary responsibilities of employers under these rules include arranging for participation in a pension plan, providing adequate insurance coverage against the costs of illness, and covering at least half of the insurance premiums and pension charges.
Payroll Cycle
Overview
Undoubtedly, payroll is a critical process for any organization. The pay cycle in Suriname refers to the period for which an organization pays its employees, and this can vary depending on the pay frequency that the organization chooses to adopt.
Frequency
The frequency cycle is Monthly.
13th Month Cycle
According to the search results, there is no statutory requirement to pay the 13th or 14th month salary in Suriname.
Global Work
Overview
An Employer of Record services provider helps you eliminate the hassle of handling complexities while onboarding a new employee in an international location. They help bridge the gap that otherwise mandates organizations to have a local registered entity and a local bank account, prior to making a job offer to an international hire.
An international employer of record / EOR services provider acts as a legal employer, facilitates salary payments, and manages other statutory requirements such as health insurance, payroll taxes, and employee benefits, ensuring compliance with local tax laws and regulations.
This allows organizations to focus on collaborating with the employee in Suriname for operational tasks, with the knowledge that they have a cost-effective solution like Neeyamo to support their employer of record, business payroll services, and HR requirements, as they continue their global expansion.
Neeyamo, being a cloud-based HR and payroll company providing one of the best HRIS and payroll software solutions, strives to provide its customers with a seamless employee management experience and offers global payroll compliance and EOR aspects with our Global Payroll Technology Stack.
HR Mandates and Practices
Minimum Wage
The national minimum wage has been increased from SRD 20 to SRD 30 per hour and SRD 1,200 per month.
Overtime
The overtime law of Suriname is governed by the Labor Act of 1963. The law states that employees are limited to working a maximum of 8.5 hours per day or 48 hours per week. Any work performed beyond these limits is considered overtime.
Employees are entitled to overtime pay at a rate of 50% for work performed on weekdays and 100% for work performed on Sundays and public holidays.
The Labor Act also states that employers must obtain a permit from the Labor Inspectorate before requiring employees to work overtime. The permit will only be granted if the employer can demonstrate that the overtime is necessary to meet the needs of the business.
Data Retention Policy
Employers in Suriname are required to retain the following personal data of their employees for a period of 7 years after the employment relationship has ended.
Employees' work data:
In addition to the personal data listed above, employers in Suriname are also required to retain the following work data of their employees for a period of 3 years after the employment relationship has ended:
- Job title
- Job duties
- Work schedule
- Time records
- Attendance records
- Vacation and sick leave records
- Expense reports
- Emails and other electronic communications related to work
Hiring and Onboarding Requirements
Hiring
Suriname employers prefer hiring candidates with work experience due to their familiarity with the local business culture and market. This is due to their better understanding of the local market, regulations, and business culture. Additionally, candidates fluent in multiple languages, such as Sranantongo, Hindi, and Javanese, are preferred by employers. Hiring from Suriname is also cost-effective, as employers don't have to pay for relocation or visas. Furthermore, Suriname candidates are believed to be more loyal to the company due to their local connections.
Onboarding
Documents:
Passport or residence permit: All employees must provide a copy of their passport or residence permit.
Work permit (if applicable): Foreign workers must provide a copy of their work permit.
Educational and professional qualifications: All employees must provide copies of their educational and professional qualifications.
Health certificate: Foreign workers must provide a copy of their health certificate.
Criminal background check: Foreign workers must provide a copy of their criminal background check.
Non-disclosure agreement (NDA): This agreement prevents employees from disclosing confidential company information to third parties.
Tax forms: Employees must complete tax forms so that the company can withhold the appropriate amount of taxes from their paychecks.
Probation
The probationary period in Suriname is two months, as specified in the Labor Act of 1963. This means that employers in Suriname can terminate an employee's employment without notice during the first two months of employment.
Leave
Public Holiday
The following public holidays are observed in Suriname:
- January 1 - New Year
- January 22 - Lunar New Year
- February 25 - Revolution Day
- March 7 - Holi Phagwa
- April 7 - Good Friday
- April 10 - Easter Monday
- April 22 - Eid al-Fitr
- May 1- Labor Day
- June 29 - Eid al-Adha
- July 1 - Freedom Day
- August 9 - Indigenous Peoples Day
- October 10 - Day of the Maroons
- November 12 - Diwali
- November 25 - Independence Day
- December 25 - Christmas Day
- December 26 - Boxing Day
Annual Leave
The statutory leave policy in Suriname is governed by the Holiday Act of 1975 (Vacantiewet 1975).
The Act states that all employees who have worked for a full calendar year without interruption for the same employer are entitled to 12 vacation days. For every year that the employee works for a full calendar year without interruption for the same employer, two vacation days are earned, up to a minimum of 18 vacation days after the fourth year.
Sick Leave
Employees are eligible for up to 13 weeks of sick leave per year, with the first six weeks paid in full and the next seven weeks paid in half.
Maternity Leave
Employees are entitled to a total of 16 weeks of unpaid leave, with the first 12 weeks being paid in full and the latter four weeks receiving half pay.
Paternity Leave
Employees are entitled to two weeks of paternity leave, with full pay.
Bereavement Leave
Employees are entitled to three days of bereavement leave for the death of a spouse, child, parent, or sibling.
Termination
Notice Period
The notice period in Suriname as per the Civil Code is as follows:
- Less than 1 year of service: 1 month
- 1 to 5 years of service: 2 months
- 5 years or more of service: 3 months
This means that employers in Suriname must give employees the required notice period before terminating their employment. If an employer does not give the required notice period, the employee is entitled to compensation equal to the amount of wages they would have earned during the notice period.
Severance Pay
The severance pay law in Suriname is governed by the Labor Act of 1963. The law states that employees are entitled to severance pay if their employment is terminated for any reason other than serious misconduct.
The amount of severance pay that an employee is entitled to depends on their length of service. The severance pay is calculated as follows:
Less than one year of service: Four weeks of wages
1 to 5 years of service: One week of wages for each year of service
5 years or more of service: Six months of wages
The severance pay is paid out in a lump sum.
Employers are required to pay severance pay to employees within one month of the termination of their employment. If an employer does not pay severance pay to an employee within the required timeframe, the employee is entitled to interest on the unpaid severance pay.
There are a few exceptions to the severance pay law. For example, employees are not entitled to severance pay if they resign from their jobs or if they are terminated for serious misconduct.
Visa
Overview
Foreign nationals who seek to live and work in Suriname must get residency and work permits. The requirements for acquiring such licenses vary depending on the individual's nationality.
Foreigners who require a visa (except those of Surinamese origin) and plan to stay in the Republic of Suriname for more than 90 days should apply for an Authorization for Temporary Stay (MKV = Machtiging tot Kort Verblijf which is Authorization for Temporary Stay ) at least three months before their intended departure date.
The validity of this permit is determined by the individual's nationality. Individuals should contact their nearest embassy for additional information. The documentation needed for MVK is as follows:
- A completed Authorization for Temporary Stay (MKV) application form
- Two recent passport photographs
- A copy of all written pages in the passport (stamps, visas, etc.); the passport must be valid for 6 months upon arrival in Suriname
- A certified copy of the birth certificate
- An original certificate of good conduct
- Bank statements or other documents/information proving sufficient financial means during a stay in Suriname
- If the application concerns internship or voluntary work, a copy of an official letter from the organization/institution in Suriname stating the purpose and duration of the agreement
- If the applicant intends to work in Suriname, a copy of the labor/employment contract
- Proof of residence (if applicable)
Employee Background Checks
Legal and Background Checks
In Suriname, job background checks are permitted. Employers must, nevertheless, adhere to the following requirements:
Before doing a background check, employers must get the employee's consent.
Proportionality: The background check must be appropriate to the job position and the legitimate business interests of the employer.
Accuracy and fairness: The background check must be done correctly and fairly. Employers must reveal the results of the background check to the employee and provide them with an opportunity to respond.
Employers in Suriname can conduct background checks using a variety of ways, including:
Criminal record checks: The Surinamese Police Force can provide employers with criminal record checks.
Job verification: Employers might contact former employers of an employee to confirm their job history. Employers might contact the employee's educational institutions to confirm their educational qualifications. Employers can contact an employee's references to receive input on the employee's performance and character.
Employers must exercise caution to avoid discriminating against employees based on the results of a background check. Employers should only utilize background check information to make educated judgments about hiring or firing employees.
Last updated on October 11, 2023
If you have any queries or suggestions, reach out to us at irene.jones@neeyamo.com
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