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Country hiring guide

Hiring in Tanzania 🇹🇿

Large, mostly Swahili-speaking workforce; skilled talent concentrated in Dar es Salaam. Employer on-costs run ~14% on top of gross salary. Here is what to know before your first Tanzania hire.

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OverviewFacts & statsEmployer costsLeaveTermination
Capital cityDodoma
CurrencyTanzanian shilling (TZS)
LanguagesSwahili and English (official)
Population~67 million
Payroll frequencyMonthly; no statutory 13th salary
VAT standard rate18% (VAT, mainland)
Employer burden*~14% of gross
TGTC flat EOR fee$499/mo · Tier B
Overview

Employing in Tanzania

Employment in Tanzania runs under its national labour code, which sets the floor for wages, working hours, leave, and notice. Here are the essentials before you make an offer.

Minimum wage

  • Sector-based minimum wages
  • Set by wage boards, vary by industry

Payroll cycle & extra pay

  • Monthly pay cycle
  • Overtime 1.5x; 2x on public holidays

Public holidays

  • ~16 public holidays per year

Onboarding & probation

  • No unfair-dismissal claims in first 6 months
  • Written contract required
Employer costs

What you pay on top of salary

Employer on-costs in Tanzania run ~14% of gross salary. Employers pay NSSF 10%, SDL 3.5% (10+ staff) and WCF 0.5% of payroll.

Employer contribution*Rate
NSSF/PSSSF (employer)10%
Skills Development Levy (SDL)3.5%
Workers Compensation Fund (WCF)0.5%

Passed through at cost

These statutory costs are paid at cost on top of TGTC's flat $499/mo fee, so you always see the real employer cost, not a marked-up percentage.

Employee-side taxes

Employees pay their own income tax and social-security share, withheld at source. Under an EOR, TGTC runs that payroll withholding for you.

Types of leave

Statutory leave in Tanzania

Annual leave

  • 28 consecutive days after 12 months service

Maternity & parental leave

  • 84 days paid maternity (100 for multiples)
  • 3 days paid paternity

Sick leave

  • 126 days: 63 full pay, 63 half pay

Other leave

  • Up to 30 days unpaid leave (2025 reform)*
Employment termination

Ending employment in Tanzania

Notice

  • 7 days (first month) to 28 days (monthly-paid)

Severance

  • 7 days pay per year of service
  • Capped at 10 years

Probation

  • No fixed statutory period

Contractor risk

  • Misclassification exposes NSSF, SDL, WCF liability

*All figures are estimates from public sources (2025-26), pending ops verification - same basis as the EOR cost calculator. Not tax or legal advice.

Hire in Tanzania without setting up an entity

TGTC employs your hire in Tanzania on a compliant local contract, runs payroll and benefits, and passes statutory costs through at cost. One invoice, flat $499 per month.

Get a Tanzania quote