Hire and pay employees in
Bolivia, hassle-free

The employer cost is generally estimated at 17.21% of the employee salary. Monthly employer costs: 
- Social Security - 3.5%
- Professional Risk Premium - 1.71% 
- Public Health Insurance - 10%
- Housing (Provivienda) - 2% 
- Home Office Allowance - BOB 200

Please note: the minimum monthly salary for Social Security, Professional Risk Premium, and Housing (Provivienda) contributions is BOB 2,363.

One-off costs:

• Mandatory Wet Ink Employment Agreement Handling Fee - USD 80 
• Medical Exam (Onboarding) - BOB 200
• Medical Exam (Offboarding) - BOB 200

Annual costs: 

• 13th Month Salary (Christmas Bonus) - 1-month salary
• Bonus Compensation "Esfuerzo por Bolivia" – 1-month salary (if GDP growth condition is met)
• Annual Premium (Prima Anual) – Up to 1-month salary (if employer generates profits)
• Seniority Bonus (Bono de Antigüedad) – Varies based on employee tenure

Please note: by law, salaries are mandatorily adjusted every year in January by approximately 3%.

These costs are provided as estimates and are intended solely for general informational purposes. To fully comprehend all associated costs and fees related to the terms of any employment agreement for this country, please contact our Sales team for a quote.

Bolivia has no parental leave policy. However, employees can request a license due to accidents or serious illnesses of children under 12 years of age. The length is 3 days with 100% of their salary.

Employees are entitled to unlimited paid sick leave. This leave is paid at different rates and by different payers depending upon length: 

• Up to the third day, the employee will receive 100% of the base salary paid by the employer 
• From the fourth day, the employee will receive 75% of the base salary paid by Social Security

Terminations must respect complex rules and the rules of an employee’s employment country. The off-boarding is always handled by the Employer with the primary stakeholders. It may include ad-hoc fees as well as required or recommended steps on specific termination cases.

Terminations in Bolivia can be complex. Compliant terminations include:

• Voluntarily by the employee
• Termination with a cause:
  • material damage caused intentionally in the work instruments
  • disclosure of the company’s privacy
  • total or partial breach of the agreement
  • theft or robbery by the worker.
• By the expiration of the contract

Please note that an additional Deel legal fee of USD 115 apply for terminations in Bolivia, as this local laws require the final settlement document to be signed in wet ink and approved by the Ministry of Labor through an on-site appointment. Clients will also be required to cover any applicable travel expenses if the employee resides outside Santa Cruz.

In Bolivia, all employees who are terminated as a voluntary retirement are entitled to severance pay after 5 years of employment or without just cause. Severance pay is 30 days of salary per year of service.

To protect you from unforeseen financial risks arising from terminations, Deel applies a Severance Accrual to all employment agreements in this country.  Deel has extensive expertise in managing litigation risk globally and our Severance Accrual calculation is based on the prevailing common-law or statutory entitlements and local best practices. In the event your employee resigns or is not entitled to severance, all unused amounts will be returned to you.

Bolivia celebrates both 10 national and 1 regional holiday based on the location of the employee. If holidays fall on a Sunday, the celebration is moved to the next business day.

National public holidays include:

• New Year
• Plurinational State Day
• Carnivals (2 days)
• Holy Friday
• Labor Day
• Corpus Christi
• Aymara New Year
• National Day
• All Saints Day
• Christmas Day

Contracts must be in Spanish and can be bilingual. They must be in writing and signed by both parties. A contract must include:

• name
• start date
• length of the employment
• job description
• termination conditions
• applicable regulations
• the object of the contract
• remuneration
• worker's rights
• the obligations of the worker