Cayman Islands PEO Services

Global PEO Services (GPS) helps companies hire employees in Cayman Islands without establishing a legal entity. All human resources, benefits, payroll, and tax needs for the employees are managed by the Global PEO, while the new hires and headquarter teams focus on your business goals.

When hiring employees in Cayman Islands, establishing a subsidiary or branch office is not always the best route, as it’s often a lengthy and expensive process. Hiring via a Professional Employer Organization (PEO), or Employer of Record (EOR), is a faster and often more effective option – especially when starting up in a new country.

Global PEO Services hires the employees on your behalf, legally contracting them through our subsidiary in accordance with Cayman Islands labor laws. As a result, the burden of compliance is on us and the employees can begin work for your company in a matter of days. PEOs/EORs provide you with a streamlined option for hiring employees, testing markets, and responding to growing business needs in Cayman Islands. With Global PEO Services, you get control without taking on legal entity liabilities, contractor risks, or sacrificing on talent or speed to market.

Employment contracts can be verbal or written. Section 6 of the Labor Law states minimum details that must be mentioned in employment contracts including:

• An employee’s job title
• The hours and days of work
• Job description
• The interval between pay periods
• Remuneration
• The period of employment (indefinite or fixed)
• Any probationary term, holiday, annual, and sick leave entitlements
• The hourly rate or equivalent for salaried employees
• The notice requirements that employees and employers owe to each other

Section 8 of the Labor Law contains the provision for a 6-month probationary period that can be extended by 6 months with the consent of employees.

Holidays

Employees are entitled to the following public holidays:

• New Year’s Day (or equivalent weekday)
• National Heroes Day
• Ash Wednesday
• Good Friday
• Easter Monday
• Discovery Day
• Queen’s Birthday
• Constitution Day
• Remembrance Day
• Christmas Day (or equivalent weekday)
• Boxing Day (or equivalent weekday)
• Elections Day (every 4 years)

Annual Leave

According to the minimum terms and conditions stated in the Labor Law, employees are entitled to 2 weeks’ annual leave which goes up to 4 weeks after 10 years of employment.

Sick Leave

Employees are entitled to 10 days’ paid sick leave in a year provided a doctor’s certificate is submitted for each day absent. In the case of serious injury or illness, which may require treatment for more than 10 days, employees can take 6 days’ additional sick leave upon submitting a medical certificate issued by a registered medical practitioner. The additional sick leave can be extended up to 125 days on full pay and an extra 135 days on half pay.

Maternity Leave and Paternity Leave

Women employees are entitled to 90 days’ maternity leave after 12 months of continuous service with an employer. Out of these 90 days, regular wages are paid for 30 days while the rest is unpaid.

Male employees are entitled to 2 weeks’ paternity leave after 12 months of continuous employment. Out of these 2 weeks, normal wages are paid for 1 week while the 2nd week is unpaid.

Special Leave

Employees who represent the Cayman Islands as members or managers of a cultural or sporting body at a national conference or meet are entitled to 10 days’ leave in a year to attend an event after completing 6 months of employment.

Required Leave

Employees can be given a required leave if an appointing officer deems it necessary in the public interest. The period of leave is decided by the appointing officer. If the period of leave exceeds 30 days, then the leave also requires the approval of the Head of the Civil Service and the Chief Officer.

Compassionate Leave and Bereavement Leave

Employees are entitled to a compassionate leave of up to 7 days in a year if an immediate family member gets sick or suffers an injury.

Employees are entitled to 10 days’ bereavement leave annually upon the death of an immediate family member (spouse, child, mother, father, sister or brother).