Limitation of expatriates’ employment
We want to start a company in Tanzania and would like to know the maximum number of expatriates we can recruit and the period of validity of their permits. Does the law limit the period of validity of the work permits and the number of expatriates an investor can recruit?
MR, Dodoma
Section 12(4) of the Non-citizens (Employment Regulation) Act, 2015 as amended by Act No.6 of 2021 limits the aggregate period of validity of a work permit to 8 years, that is, the first grant which is two years and its subsequent three renewals of two years each. Where the investment of the company employing the expatriate has a great contribution to the economy or wellbeing to Tanzanians, the total period of validity of the work permit can be extended further.
Section 19 of the Non-citizens (Employment Regulation) Act as amended by Act 6 of 2021, regulates the number of expatriates the investor can recruit. An investor who is registered with both the Tanzania Investment Centre and the Export Processing Zone is allowed to employ up to 10 expatriates irrespective of the number of local employees without those expatriates being subjected to other employment restrictions for non-citizens such as the limitation of validity of the total work permit period. The common ratio is one expatriate to ten local employees unless the investor proves to the Labour Commissioner that the nature of his business demands employing many expatriates above the prescribed ratio.