Ireland

A full-time work week is 39 hours. Employers are responsible for ensuring that employees are given adequate rest. The Organization of Working Time Act 1997 rules govern maximum working hours, daily and weekly rest breaks.

A work week cannot exceed 48 hours on average over four months. In addition, employees should get 24 consecutive hours of rest in any period of 7 days, and this should normally follow on from one of the 11-hour rest periods already mentioned. As an alternative, your employer can provide two 24-hour rest periods in a week if it follows a week in which you did not get any 24-hour rest periods. Unless your contract states otherwise, the 24-hour rest period should include a Sunday.

Overtime

Employers have no statutory obligation to pay overtime. Overtime pay is regulated by employment contract/collective agreements.

Many employers pay employees higher rates of pay for overtime as stipulated within the employment contract.

Specific sectors of employment have higher rates of pay for overtime than for regular hours. This is covered by employment regulation orders and registered employment agreements.

Maternity Leave

Mothers are entitled to 26 (156 days) weeks of maternity leave and can receive an extra 16 weeks of unpaid leave, which begins immediately after the end of maternity leave. Mothers must take at least two weeks before the expected birth and at least four weeks after. The entitlement for paid leave depends on whether the worker has contributed enough social insurance (PRSI), as employers are not obligated to pay.

• At least 39 weeks of PRSI paid in the 12 months before the first day of the maternity leave

• At least 39 weeks of PRSI paid since first starting work and at least 39 weeks of PRSI paid or credited in the relevant tax year or the tax year immediately following the relevant tax year

• At least 26 weeks of PRSI paid in the relevant tax year and at least 26 weeks PRSI paid in the tax year immediately before the relevant tax year
  
  The weekly standard rate of maternity benefit is is 262.00 EUR.
  
  Paternity Leave
  
  Fathers are entitled to seven weeks of paternity leave that can start any time in the first six months after birth, or placement in the case of an adoption.
  
  Relevant parents are the following:

• The father of the child

• The partner (spouse, civil partner, or cohabitant) of the mother of the child

• The parent of a donor-conceived child
  
  The employer is not required to pay the employee during paternity leave, but the employee may qualify for paternity benefit during this time if they have contributed sufficient PRSI contributions.
  
  Parental Leave
  
  Parents are entitled to up to 26 weeks of unpaid parental leave for each eligible child before 12 years old. To qualify for the leave, the employee must have been employed for at least one year and provided the employer with a written parental leave request at least six weeks before the required start date.
  
  Adoptive leave entitles one adoptive parent to up to 24 weeks’ unpaid leave from the date the child is placed in the employee’s care.
  
  The Family Leave and Miscellaneous Provisions Bill 2021 has just passed all the stages of the Oireachtas; the new legislation will influence both Adoption and Parent’s leave in Ireland, is effective from April 2021, and will apply in relation to all children born since November 2019. This payment is available to both parents.
  
  This new legislation will rectify the loophole in the Adoption Leave Act regarding adoption by male same-sex couples. It will also give adoptive parents more flexibility to decide which parent will avail of adoptive leave and benefit.
  
  Effective from 1 July 2022, parent’s leave – which is available to anyone with a child under 2 years of age or who adopted a child within the last 2 years – has been extended from 5 to 7 weeks. The parent must complete the extra leave on or before their child’s second birthday or within 2 years of the adoption placement.
  
  There is no service requirement to be eligible for parent’s leave and the associated benefit can be claimed by employees with the required level of social insurance (PRSI) contribution from the Department of Social Protection.

Depending on the collective agreement/employment contract terms, an employee may be allowed additional leave types once approved between the employer and employee for the following:

• Bereavement leave: It is common practice for an employee to be entitled to three days of paid leave in the event of the death of an immediate member of the family; however, this is a contractual agreement rather than a statutory leave entitlement.

• Jury service leave: Employers must provide their full-time, regularly employed employees with job-protected and unpaid leave for their duty as jurors or as a witness in a case or acting as a plaintiff or defendant in the courts. Employees must provide a copy of the jury summons to the employer as evidence of requirement. The court will provide a specific amount of payment, and the employer can choose to provide any additional payment.

Ireland has national healthcare for residents. Many people also purchase private health insurance.

Employer Payroll Contributions
8.80% – 11.05% - Social Security (PRSI) (reduced to 8.80% where earnings are below the threshold of 441 EUR weekly)

8.80% – 11.05% Total Employment Cost

Employee Payroll Contributions
4.00% - Social Security PRSI

0.50% - Universal Social Charge (USC) applied on salary between 0-12,012 EUR

2.00% - Universal Social Charge (USC) applied on salary between 12,012- 25,760 EUR

4.00% - Universal Social Charge (USC) applied on salary between 25,760 -70,044 EUR

8.00% - Universal Social Charge (USC) applied on salary above 70,044 EUR

4.50%-15.00% Total Employee Cost

Employee Income Tax
Single or widowed, no children

20.00% - On income up to 40,000  EUR

40.00% - On income in excess of 40,000 EUR

Married couple, one household income:

20.00% - On income up to 49,000 EUR

40.00% - On income in excess of 49,000 EUR

Married couple, two household incomes

20.00% - On income up to 80,000 EUR

40.00% - On income in excess of 80,000 EUR

Payroll Cycle

Salaries are paid either on a weekly or monthly basis. Employers should pay employees by the last day of the month.

13th Salary

There are no provisions in the law regarding 13th salaries.

Authority Payments

Authority Payment Due Date Method

PAYE/PRSI/USC - 14 of the following month - Wire

23.00% standard rate, with a second tier VAT for specific items of 13.5% and a temporary reduced rate of 9% VAT for the tourism and hospitality sector which has been extended to 31st August 2023. Alongside other specific tiers, third tier VAT rate of 9%, fourth tier VAT rate of 4.8% and fifth tier zero VAT rate.