Compensation and benefits are significant features of your company’s compliance wherever you go. Ensuring you meet these minimum requirements — and even going beyond them — can encourage a strong relationship with your employees and create a dedicated workforce. During your international expansion, Globalization Partners can help you navigate these laws with compensation and benefits outsourcing services.
Tonga’s Compensation Laws
The country has no nationally recognized minimum wage, though collective bargaining may lead to a minimum wage for your company or different positions within it. Establishing a minimum wage can support your employees’ livelihoods and make a clear path for upward mobility.
If you establish a wage in your employment contracts, this is legally binding, and you should maintain these wages throughout an individual’s employment.
Since Tonga joined the International Labor Organization (ILO) in 2016, the country will likely be in a transition period, introducing new benefits requirements over time. Currently, the government requires benefits such as retirement schemes and public holidays off. As an employer, it’s your responsibility to provide all benefits outlined in the nation’s laws.
Collective bargaining makes it possible to decide on guaranteed benefits for your company in addition to a minimum wage. When you include these provisions in your employment contracts, you’ll also have to comply with these legally binding documents.
With the country in transition with the ILO, you’ll need to pay attention to benefits requirements to keep your company compliant. Working with Globalization Partners can help you keep track of these changes and maintain a legal entity. Our lawyers and legal experts are actively learning about the country’s laws to ensure compliance at all times.
Tonga Benefits Management
While it’s critical to follow all related benefits requirements described in the country’s laws, you can always provide more for your employees. Adding supplemental benefits can incentivize your workers and make your job vacancies more competitive in the job market.
You can introduce a range of extra perks for your employees, including:
- Holiday bonuses.
- Transportation stipends.
- Meal vouchers or provided lunches.
- Education reimbursement.
Introducing additional provisions can offer advantages, but managing these perks with required benefits can be challenging. You have to consider your company’s resources and how much you can afford to provide on top of the legal minimums.
At Globalization Partners, we take the guesswork out of benefits management. Our Employer of Record (EOR) services include tiered benefits packages based on your resources and the country’s minimum requirements. Every level has the basic provisions, and you add more perks as you go up the tiers.
This system is an excellent way to scale your benefits with your company’s success. You can look out for your employee’s interests without pushing yourself past your means. With our legal experts creating every package for compliance, you can feel secure about your company’s lawfulness at all times.
Tonga has a range of government documents that outline employment requirements, and they’re subject to amendments at any time. Pay attention to changes and restrictions in decrees such as the National Retirement Benefits Scheme Regulations of 2012 and the Public Holidays Act to stay compliant. If any amendments occur and you don’t make changes to your employment terms, your company will be liable.
Trust Globalization Partners for Compensation Outsourcing
Globalization Partners has the expertise to handle transitional employment laws. Our legal team can focus on changing regulations while you manage your company’s growth. With our help, you can ensure your employees receive the compensation and benefits they deserve. Get in touch with us today to learn more.