Employer of Record (EOR) in Ireland

Hiring employees in Ireland means navigating complex local labor laws, payroll regulations, and tax requirements. Utilizing an employer of record, companies can easily manage employee regulations in Ireland. The Ireland employer of record (EOR) model simplifies this process, allowing your company to hire talent in minutes.

As a global EOR, G-P manages payroll, employment contract best practices, statutory and market norm benefits, and employee expenses, and more via our global entity infrastructure. You’ll have peace of mind knowing you have a team of dedicated employment experts assisting with every hire. 

With an EOR, you can focus on expanding without the obstacles of international compliance. This international approach enhances business reach and scalability by enabling hiring worldwide without a local entity.

Hiring in Ireland with an employer of record

For businesses using an EOR to hire in Ireland, understanding salary expectations is key. 

In Ireland, companies need to understand the impact of country-specific tax regulations on compensation. Salaries vary by industry, role, and experience, but staying competitive is essential for attracting top talent.

An EOR in Ireland offers companies insight into specific salary benchmarks, global and local standards. Beyond base pay, understanding benefits like health insurance and pension contributions is crucial to fulfilling the talent requirements swiftly and effectively. An EOR also helps with managing compliance in hiring and onboarding.

Employment Contracts in Ireland

Irish law requires employers to provide employees with a written statement of their terms of employment. This is a two-part process. Within five calendar days after employment begins, an employee must receive a signed and dated “Day 5 Statement.” It must include both parties’ full names, the employer’s address, contract duration or end date, remuneration details and pay reference period, and expected normal daily and weekly hours.

Within one month of the start date, the employer must provide the full written statement of remaining terms. This includes place of work, job title, start date, compensation details (in EUR), pension information, paid leave entitlements, and notice requirements. A comprehensive employment contract issued at the start can satisfy both requirements.

Working Hours in Ireland

Under the Organisation of Working Time Act 1997, employees cannot work more than an average of 48 hours in a seven day period. Employees are also entitled to a daily rest period of at least 11 consecutive hours per 24 hours.

The typical business day in Ireland is from 9 a.m. to 5:30 p.m., with an unpaid lunch break of 30 to 60 minutes. Overtime is not a statutory right and is governed by the employment contract. Any overtime payments cannot result in an employee's hourly rate falling below the national minimum wage. Employers must compensate employees for Sunday work with a premium payment or paid time off in lieu, as outlined in their contract.

Public holidays in Ireland

Ireland observes 10 public holidays where employees are typically entitled to a paid day off:

1. New Year's Day (January 1)
2. St. Brigid's Day (First Monday in February)
3. St. Patrick's Day (March 17)
4. Easter Monday
5. May Day (First Monday in May)
6. June Bank Holiday (First Monday in June)
7. August Bank Holiday (First Monday in August)
8. October Bank Holiday (Last Monday in October)
9. Christmas Day (December 25)
10. St. Stephen's Day (December 26)

If a public holiday falls on a weekend or another non-working day, employees are still entitled to the benefit. The employer generally chooses a paid day off on the holiday or within one month, an additional day of annual leave, or an additional day’s pay.

Annual leave in Ireland

Full-time employees are entitled to a statutory minimum of four working weeks of paid annual leave per leave year. This normally equals 20 days for a five-day workweek. The amount of leave can be calculated in several ways, with the employee entitled to whichever is greatest:

• Four working weeks for employees who have worked at least 1,365 hours in the leave year
• One-third of a working week per calendar month in which the employee worked at least 117 hours
• 8% of the hours worked in a leave year, up to a maximum of four working weeks

The default leave year runs from April 1 to March 31. An employer may specify a different period if employees receive their full statutory entitlement. By adhering to these laws, companies ensure compliance and employee satisfaction.

Sick leave in Ireland

Ireland’s Statutory Sick Pay (SSP) scheme requires employers to provide paid sick leave to eligible employees. The statutory sick leave entitlement is five paid sick-leave days per year in 2026.

Employers must pay SSP at a rate of 70% of the employee's normal wages, capped at EUR 110 per day. To qualify, an employee must have 13 weeks of continuous service with their current employer and provide a medical certificate from the first day of absence.

Employers may offer a more favorable contractual sick-pay scheme with a shorter or no service requirement. Such policies enhance the Irish business environment for employers and employees alike. Employers may offer more generous sick pay schemes. Compliant systems are critical for maintaining operations smoothly.

Family and parental leave in Ireland

Ireland provides several distinct types of leave for parents. Employers generally are not required to pay employees during these leaves, but government-paid benefits are often available.

• Maternity leave: Pregnant employees are entitled to 26 consecutive weeks of ordinary maternity leave and up to 16 consecutive weeks of additional maternity leave, which must directly follow the ordinary leave. 
• Paternity leave: Eligible relevant parents receive two consecutive weeks of leave, taken continuously within 26 weeks after birth or adoption placement. 
• Parent's leave: Each parent is entitled to nine weeks of leave within two years of a child's birth or adoptive placement.
• Parental leave: Each parent is entitled to 26 working weeks of unpaid leave per eligible child, to be taken before the child's 12th birthday, or before age 16 if the child has a disability or long-term illness. 

An Ireland employer or record platform helps guide organizations in navigating these leave arrangements effectively.

Health insurance and benefits in Ireland

While all residents in Ireland have access to the public healthcare system, long waiting times for certain procedures make private health insurance a highly valued and common employee benefit. Employer-provided private health insurance is a taxable benefit-in-kind (BIK) and must be processed through payroll. Handling benefits accurately requires compliant payroll systems.

Other common supplementary benefits include life assurance, company cars or car allowances, and wellness programs. Generally, we recommend budgeting an additional 20%-25% on top of the gross salary to cover total employer costs, including mandatory social security contributions and market-norm benefits. 

An Ireland EOR simplifies the management of health insurance and other benefits, ensuring compliance with local regulations and market norms while handling the complexities of taxable benefits like private health insurance through payroll.

Termination and severance in Ireland

An Ireland employer of record simplifies the complexities of termination and severance, ensuring compliance with Irish labor laws. It helps navigate fair dismissal requirements, notice periods based on length of service, and statutory redundancy payments, reducing legal risks and administrative burdens for businesses.

Probationary periods generally cannot exceed six months. They may be extended up to 12 months in exceptional circumstances if justified by the nature of the work and in the employee’s interests.

Employees generally need 12 months’ continuous service with the same employer to claim unfair dismissal. Exceptions apply for certain protected grounds. Terminating an employee in Ireland requires a fair and documented reason—such as capability, conduct, or redundancy—and a procedurally fair process. The statutory minimum notice period depends on the employee's length of service:

• Thirteen weeks to less than two years of service: one week of notice
• Two years to less than five years of service: two weeks of notice
• Five years to less than 10 years of service: four weeks of notice
• Ten years to less than 15 years of service: six weeks of notice
• More than 15 years of service: eight weeks of notice

Severance pay is not statutorily required unless the termination is due to redundancy. In a redundancy, an eligible employee with at least 104 weeks of continuous service is entitled to two weeks’ pay per year of reckonable service, plus one additional week. Gross weekly pay is capped at EUR 600.

Taxes and pensions in Ireland

An Ireland employer of record helps navigate complex tax systems. Employers and employees must contribute to the Social Insurance Fund through Pay Related Social Insurance (PRSI).

• Employee PRSI: Pay 4.35% on reckonable weekly earnings exceeding EUR 352, minus the statutory PRSI tapered credit for weekly earnings between EUR 352.01 and EUR 424.
• Employer PRSI: Remit 9.15% on reckonable weekly earnings up to EUR 552 for Class A employees, and 11.40% on weekly earnings above EUR 552, effective Oct. 1, 2026.

Employees generally pay a Universal Social Charge (USC) on their full USC-liable income when annual gross income exceeds EUR 13,000. As of 2026, the primary rates are:

• 0.5% on the first EUR 12,012
• 2% on the next EUR 16,688
• 3% on the next EUR 41,344 (up to EUR 70,044) 
• 8% on balance over EUR 70,044

Income tax (PAYE) is progressive. For a single individual, the standard rate of 20% applies to taxable income up to EUR 44,000. The 40% rate applies above this threshold.

Ireland’s auto-enrolment retirement savings system, MyFutureFund, became operational on Jan. 1,  2026. Eligible employees who are not already contributing to a supplementary or occupational pension through payroll are automatically enrolled in the state-administered scheme. Their employers must make matching contributions, and the state provides an additional top-up.

Selecting the right EOR partner in Ireland

When choosing an Employer of Record (EOR) in Ireland, it's crucial to evaluate their expertise across diverse employment situations. Look for a provider with a strong track record of assisting international companies, the ability to offer customized solutions, and a thorough grasp of Irish legal frameworks.

An EOR that delivers integrated, efficient processes and dependable support can significantly enhance the cost-effectiveness of your global hiring initiatives.

Evaluate total cost predictability rather than low base rates. Look for standard, clear pricing models. Compare pricing structures carefully, as some EORs use percentage-of-payroll models that penalize high earners. Flat-rate pricing ensures long-term operating budget accuracy. The G-P EOR starting price of USD 599 monthly gives you full access to the G-P Global Employment Platform. We use a flat platform fee rather than charging a percentage of payroll.

Partnering with an EOR that aligns with your business goals will guarantee smooth employment operations in Ireland, all while ensuring strict adherence to local legal obligations.

Read more on how to select the best employer of record.

Simplify global hiring with G-P EOR

With G-P EOR, startups, SMBs, and enterprises can hire, manage, and pay professionals in 180+ countries, without setting up local entities. Our platform combines vetted employment expertise with intuitive AI and human support – so you can operate globally with ease.

G-P EOR is engineered to adapt entirely to you. Bring your workforce data together in one place to maintain existing workflows while keeping consistent and accurate data across your integrated systems.

Book a demo to hire globally without the delays, risks, or overhead of local entities.

 

Ireland EOR FAQs