Employ in Nigeria with ease.

Remote makes employment in Nigeria easy. With our localized contracts, easy invoice management, and best-in-class compliance, you can grow your global team with confidence.

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Facts & Stats

With a population of more than 200 million people, Nigeria is one of the top ten most populous nations on Earth. A member state of the African Union and home to Africa’s largest economy, Nigeria has a wealth of skilled workers, especially in tech. Lagos, Nigeria’s largest city, has been called “the Silicon Valley of Africa.” In addition, Nigeria is home to a thriving film industry, known as Nollywood.

  • Capital city

    Abuja

  • Currency

    Nigerian naira
    (, NGN)

  • Languages spoken

    English, Hausa

  • Population size

    206,139,589

  • Ease of doing business

    Medium

  • Cost of living index

    29.74

  • Payroll frequency

    Monthly/Biweekly/ Weekly

  • VAT - standard rate

    7.5%

  • GDP - real growth rate

    2.2%

Grow your team in Nigeria with Remote

Looking to employ workers in Nigeria? Companies hiring in Nigeria must either own a local legal entity or work with a global employment platform like Remote that can legally provide employment services in the country.

Remote can employ team members in Nigeria and keep you compliant at all times. Remote can hire, onboard, and pay your Nigerian team so you don't have to set up local HR services in the region. Remote also makes it easy to pay contractors in Nigeria. Sign up now to get started or talk to an expert for more details.

Risks of misclassification

Nigeria, like many other countries, treats self-employed contractors and full-time employees differently. Misclassification of contractors in Nigeria may lead to fines and penalties for the offending company.

If you're worried about whether to hire contractors or employees in Nigeria or anywhere else around the world, Remote can help. Our Solutions Consulting team are experts in preventing misclassification risks. Download our Contractor Compliance Checklist for a solid overview, then talk to our team about your specific situation.

Employing in Nigeria

Nigeria recognizes two classes of workers. There are “workers,” who usually perform manual or administrative labor, and “employees,” who perform work that requires additional training or education. Different laws and regulations apply to each group. For workers of all types, it is best for companies to draft written employment contracts to ensure both sides understand the terms of the arrangement.

If you are looking to employ workers in Nigeria, contact Remote to learn about your options.

Minimum Wage

In Nigeria, the minimum wage is 30,000 nairas per month.

Payroll Cycle

For customers of Remote, all employee payments will be made in equal monthly installments on or before the last working day of each calendar month, payable in arrears.

Competitive benefits package in Nigeria

At Remote, we’re passionate about helping you craft the best possible employee experience for your team. We are leading the way in developing globally competitive benefits programs. This means making sure employees everywhere have access to both the required and supplemental benefits they need to thrive, and your company has the localized expertise needed to attract and keep the best global talent.

Our benefits packages in Nigeria are tailored to fulfill the local needs of employees. Typically, our packages contain some or all of the following benefits:

  • Health Insurance
  • Dental Insurance
  • Vision Insurance
  • Mental Health Support
  • Pension or 401(K)
  • Life and Disability Insurance

Calculate the cost to hire an employee
in Nigeria

Taxes in Nigeria

Learn how employment taxes and statutory fees affect your payroll and your employees’ paychecks in Nigeria.

  • Employer

    • 10% - Pension Fund

    • 10% - Health Insurance

    • 1% - Workers’ Compensation

  • Employee payroll taxes

    • 8% - Pension Fund

    • 5% - Health Insurance

    • 2.5% - National Housing Fund (NHF)

  • Employee Income Tax

    • 7% (Income up to NGN 300,000)

    • 11% (NGN 300,000-600,000)

    • 15% (NGN 600,000-1.1 million)

    • 19% (NGN 1.1 million-1.6 million)

    • 21% (NGN 1.6 million-3.2 million)

    • 24% (Above NGN 3.2 million)

Types of leave

Statutory leave

Employees in Nigeria are entitled to six paid days off per year after working for the same employer for 12 months. Employers may allow employees to roll unused time to the next year, but all accrued leave must be taken within two years. Employers may not pay employees a bonus in lieu of providing actual time off. Employees are entitled to payout of unused time at the end of an employment relationship.

Pregnancy and maternity leave

Expecting mothers in Nigeria are entitled to 12 weeks of maternity leave paid at 50% of their average salary. Mothers may begin taking leave six weeks prior to their due date.

Partner/paternity leave

Nigeria’s government does not provide guarantees of paternity leave for workers. However, certain areas (including Lagos) may require employers to offer paternity leave. Nigerian law does not recognize LGBTQ+ relationships.

Sick leave

Workers in Nigeria are entitled to 12 sick days per year. Employers may require employees to provide proof of illness from a medical services provider.

Employment termination

Termination process

Nigeria is one of a few “at-will” employment countries. Employers are not required to provide employees with a reason for termination and may end the employment relationship at any time.

Notice period

While employers in Nigeria are not required to provide reasoning for terminations, they are usually required to provide employees with advance notice. Notice periods vary depending on the tenure of the employee:

  • One day for employees with less than three months of service
  • One week for employees with three months to two years of service
  • Two weeks for employees with two to five years of service
  • One month for employees with more than five years of service

Collective bargaining agreements or employment contracts may alter these notice terms.

Severance pay

Nigerian law does not mandate severance pay for terminated workers. Collective bargaining agreements or employment contracts may require severance pay, though.

Probation periods

Nigeria does not have laws governing the length of probationary employment periods.

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