Employment and labor laws vary from country to country. This guide is intended to provide the most up to date information available. We will update this guide as needed when changes are made to the laws.
Employment Contracts
Employers are legally required to provide formal written contracts for all employees that include salary/wage, termination terms, job title, etc. The contracts must be written in Chinese/Portuguese and use the Macanese Pataca (MOP).
Working Hours
The standard workweek in consists of six days at eight hours a day, equating to 48 hours maximum per week. According to Labor Law (Article 42) in Macau, employees are entitled to a paid period of rest of twenty-four consecutive hours per week.
Overtime
All hours exceeding the standard 48 hours are paid as overtime and are regulated by employment contract/collective agreements. In general, overtime is paid at 120.00% of the standard salary rate.
Working Week
Monday-Friday or Monday-Saturday
Public Holidays
There are 20 national holidays in 2022.
- Jan 1: New Year’s Day
- Feb 1: Lunar New Year
- Feb 2: The Second Day of Lunar New Year
- Feb 3: The Third Day of Lunar New Year
- Apr 5: Ching Ming Festival
- Apr 15: Good Friday
- Apr 16: Good Friday
- May 1: Labor Day
- May 8: Buddha’s Birthday
- Jun 3: Tung Ng Festival
- Sep 11: The Day Following Mid-Autumn Festival
- Oct 1: National Day
- Oct 2: National Day Holiday
- Oct 4: Chung Yeung Festival
- Nov 2: All Souls’ Day
- Dec 8: Immaculate Conception
- Dec 20: Macau S.A.R. Establishment Day
- Dec 22: Winter Solstice
- Dec 24: Christmas Eve
- Dec 25: Christmas Day
Paid Time Off
Paid leave in Macau is outlined in the employment contract as a minimum of 6 days of paid leave a year, following completion of one year of service, in addition to public holidays.
For employees with less than one year of service but more than three months of service, the leave entitlement will be 3 days of paid leave.
Sick Leave
In accordance with Macau Labor Law (Article 53), an employee who has completed the probationary period is entitled to 6 days of paid statutory sick leave per year.
Maternity Leave
All female employees are eligible for maternity benefits, (following completion of one year of service), consisting of 70 days of maternity leave, with 56 days paid by the employer, and the remaining 14 days paid by the Social insurance (FSS). With effect from May 26th, 2023, the employer will be responsible for paying for the entire 70 days.
Paternity Leave
The father is entitled to mandatory paid paternity leave of a total of 5 days, (to be taken within thirty days following the birth), once they have completed one year of service.
Other Leave
Employees are entitled to 6 days’ leave in the event of their marriage. Employees in Macau are entitled to 3 days’ leave following the bereavement of a direct relative, with the potential to increase this to 12 days.
Employee Severance and Terminations
Termination Process
Employers can terminate a fix term contract by giving the following reasons – business, personal, or employee misconduct. It requires notice and a written explanation for the termination.
Notice Period
The statutory notice period in Macau is as follows:
- Fifteen days in the case of rescission on the initiative of the employer.
- Seven days in the case of rescission on the initiative of the employee.
- In the case of termination with a just cause, the initiating party is not required to serve a previous notice.
Probation Period
There is no clear provision in labor laws on the duration of the probation period in Macau, generally, the probation period is between three and six months.
Severence Pay
According to Labor Law (Article 70) in Macau, termination payment is applicable if rescission without just cause on the initiative of the employer. The employer may rescind the contract at any time, irrespective of just cause, in which case the employee is entitled to compensation for an amount equivalent to:
- Seven days of the basic remuneration if the labor relation has a duration above the probationary period and up to one year.
- Ten days of the basic remuneration per year of service if the labor relation has a duration above one year and up to three years.
- Thirteen days of the basic remuneration per year of service if the labor relation has a duration above three years and up to five years.
- Fifteen days of the basic remuneration per year of service if the labor relation has a duration above five years and up to seven years.
- Sixteen days of the basic remuneration per year of service if the labor relation has a duration above seven years and up to eight years.
- Seventeen days of the basic remuneration per year of service if the labor relation has a duration above eight years and up to nine years.
- Eighteen days of the basic remuneration per year of service if the labor relation has a duration above nine years and up to ten years.
- Twenty days of the basic remuneration per year of service if the labor relation has duration of more than ten years.
Payroll Cycle
The typical payroll cycle in Macau can be daily, weekly, fortnightly, or monthly basis.
13th Salary
There is no statutory requirement to provide a 13th salary.
Employee Income Tax
VISA
Non-residents of Macau must have a work permit that is issued by the Labor Affairs Bureau. Before any work permit is issued, the employer should obtain authorization from the Chinese government to hire non-resident workers. This permission is granted from either the Macau SAR’s Chief Executive or another delegated government body.
Hiring non-resident workers should be limited to circumstances where local employees are unable to meet work objectives. The employment of non-resident workers should not result in the termination of resident employees, or a decline in working conditions for resident workers. The process to obtain a work permit often takes three to four months, from the initial request to hire non-resident workers.
VAT
General
There is no VAT in Macau SAR.