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SALARY PAYMENT IN Honduran Lempira (HNL)
CONTRACT LANGUAGES Spanish / English
PAYROLL TAX 16.60%
PAYROLL CYCLE Monthly
TIME TO HIRE 24 hours
Get Started
Hire and pay talents
with Horizons in
180+ countries
Horizons provides compliance solutions to ensure your business in Honduras operates in line with Honduras labor laws and tax regulations. Businesses benefit from hiring in, investing in, or job outsourcing to, Honduras in a range of industries, from customer service, to accounting services, to software development. We also process monthly payroll, and, as a Honduras Employer of Record, absorb all local employer liabilities. Partnering with our Honduras PEO is the quickest and most cost-effective way to enter the Honduras market.
PEO Platform Hire in Honduras, and pay employees through our platform or app. | PEO Cost Our Honduras PEO solution is the most affordable on the market. | Time-to-hire Fast onboarding in Honduras, hire in as little as 24 hours. |
Contracts We draft labor contracts compliant with Honduras labor law. | Local Benefits We administer all mandatory benefits and contributions in Honduras. | 180+ Countries It doesn’t stop with Honduras — we are an international PEO |
Employment contracts in Honduras must be written and should include all relevant information about the role such as salary, benefits, and termination rights. Contracts should also be written in Spanish and use the local currency of the Honduran lempira.
Probationary period | 2 months (standard) |
Termination notice period | 24 hours: Less than 3 months’ service 1 weeks: 3 – 6 months’ service 2 weeks: 6 months – 1 year’s service 1 month: 1+ year’s service 2 months: more than 2 years’ service |
Severance | 1 months’ salary per year of service |
Probationary period | 2 months (standard) |
Termination notice period | 24 hours: Less than 3 months’ service 1 weeks: 3 – 6 months’ service 2 weeks: 6 months – 1 year’s service 1 month: 1+ year’s service 2 months: more than 2 years’ service |
Severance | 1 months’ salary per year of service |
The standard working week for employees in Honduras is made up of eight-hour days, with a maximum of 44 hours per week. The maximum is reduced to 36 hours for night shift workers and 42 hours for workers who work both days and nights.
Quick, compliant hiring in 24 hours—no subsidiary required.
There are several annual national holidays in Honduras, and many employees are given the following days as leave from work:
Date | Holiday name |
---|---|
1 Jan , 2023 | New Year’s Day |
2 Jan , 2023 | Public Sector Holiday |
6 Apr , 2023 | Maundy Thursday |
7 Apr , 2023 | Good Friday |
8 Apr , 2023 | Holy Saturday |
14 Apr , 2023 | America Day |
1 May , 2023 | Labor Day / May Day |
15 Sep , 2023 | Independence Day |
3 Oct , 2023 | Morazan’s Day |
12 Oct , 2023 | Columbus Day |
21 Oct , 2023 | Army Day |
25 Dec , 2023 | Christmas Day |
Employees in Honduras are entitled to increasing amounts of paid vacation leave the longer their service with an employer. After one year of service, employees are entitled to at least ten days of vacation. After two years, this rises to 12 days, then 15 days after three years and 20 days after four years of service.
After the first three days of absence through sickness (which are unpaid), employees in Honduras are entitled to 26 week of paid sick leave (rising to one full year in some special cases). Compensation is two-thirds of average pay from the preceding three months of work.
Female employees in Honduras are entitled to 12 weeks of paid maternity leave, with six weeks to be taken before and after the birth. Compensation is two-thirds of average salary for the preceding three months.
Male employees in Honduras are not entitled to any paternity leave, although some employers choose to offer an allowance.
The length of mandatory notice of termination for employees in Honduras depends on their length of service. For employees with less than two months of service, notice of just 24 hours is required. This gradually increases up to two months of notice.
Severance payments may also be necessary and also vary depending on the employees’ length of service, ranging from ten days of salary up to one month of pay per year of service.
Employers in Honduras must make contributions to both the country’s social security scheme and unemployment fund at a rate of 3.5% and 4% of salary respectively.
Income tax in Honduras is progressive, with rates ranging from 0% to 25% depending on income level.
Corporate tax in Honduras is 25%.
Honduras has relatively complex minimum wage regulations, with the mandatory minimum rates varying greatly depending not just on the type of work but also the size of the company. For this reason, it is important to determine exactly which rate applies to your employees when hiring in the country.
Many employees in Honduras choose to offer their employees benefits packages, including things such as extra pension contributions, a company car allowance, paid vacation days, a holiday bonus, and so on. However, setting up a benefits system in Honduras can be difficult if you are not familiar with the country’s complicated labor laws, language, and administrative norms.
Outsourcing your benefit management process ensures that you fully understand and adhere to the rules, ensuring your compliance and speeding up the process significantly. At Horizons, our Honduras employment experts will help you to find and arrange your benefits, advise on your strategy, and ensure compliance with the law.
With Horizons, you get quick service, transparent pricing, and expert support.
A Honduras PEO and a Honduras EOR are two types of companies which specialize in providing human resources services to businesses in Honduras.
The main difference between a Honduras PEO and a Honduras EOR is in the scope of their services.
Honduras PEOs provide a full range of HR services, including payroll, benefits administration, and employee recruiting—all under one roof as a co-employer. Engaging a Honduras PEO is essentially outsourcing your HR duties in Honduras.
Honduras EORs actually take over as the legal employer of your employees based abroad. Honduras EORs become responsible for labor compliance for your employees in Honduras.
At Horizons, we offer both PEO and EOR services in Honduras. Get in touch now and let us know what service you are seeking.
A PEO in Honduras can feasibly hire both local and foreign nationals to work in Honduras.
However, the ability of Horizons to sponsor your foreign national employee in Honduras may be limited due to visa quotas practiced in many countries.
Contact us with your requirements and our Global Mobility team with review the case and get back to you within 2 business days.
In most cases, Horizons’ Honduras PEO can hire & onboard your employee within 24 hours. The actual start date of the employee will depend on their notice period obligation to their previous employer as well as any relevant hiring rules in Honduras.
It is possible to get a work visa in Honduras. Horizons’ Global Mobility team is a dedicated team of work visa experts. They assess the details of each case to determine feasibility and costs before Horizons applies for the work visa on behalf of your employee. If the Global Mobility team determines that your case is feasible, the process is smooth and transparent. Visa spots in Honduras are limited, however—get started today to secure your employees’ visa spot.
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