Hiring in Grenada in 2026
Grenada sets its minimum wage by job category, and EC$1,200 a month is the floor for clerical and office roles. National Insurance is 13.5% of pay up to EC$5,200 a month in 2026, and the employer pays 7.25% of it. Each guide below takes one layer. For companies hiring in Grenada, Teamed's real HR and legal experts, assigned within 24 hours, check the right route for the hire first. You also get 24/5 human support with a first response within 15 minutes.
· Grenada guide
Photo: Ganda Lukman on Unsplash
- The minimum wage is set by job category. A 2023 Order sets EC$1,200 a month for clerical workers, shop assistants, administrative clerks, cashiers and receptionists, and other rates for other jobs.
- National Insurance rises every January until 2031. The employer's share is 7.25% in 2026 and 7.5% in 2027, on pay up to EC$5,200 a month.
- Income tax starts above EC$36,000 a year. The employer withholds it: 10% on the next EC$24,000 and 28% above that.
Hiring in Grenada adds 7.25% National Insurance on top of gross pay in 2026, on pay up to EC$5,200 a month. The clerical minimum wage is EC$1,200 a month.
Employees pay 6.25% National Insurance, plus income tax on pay above EC$36,000 a year. The working week is 40 to 60 hours depending on the job.
Grenada licenses anyone who recruits or supplies workers, so the route for a hire is worth a check before a contract is signed. This page is the map. Each guide below is the detail.
How does Teamed help with a Grenada hire?
Teamed's real HR and legal experts check the right route for your Grenada hire first: employer of record, contractor or your own entity.
That answer decides who the legal employer is, so it comes first.
A designated person takes you through the answer and the next steps, and the experts apply Grenada's rules on hours, leave, notice and National Insurance to the contract you choose.
The check is part of every plan and comes before any contract is signed. Contractor, employer-of-record and own-entity routes run on one platform, so a change of route does not mean a change of provider.
A contractor who becomes an employee keeps their record, and the same person can graduate to your own entity later. Run the Crossover Calculator to see the month the model flips. EOR is the right model for a first hire in many countries, until it isn't.
How much does it cost to hire an employee in Grenada in 2026?
A Grenada hire costs gross pay plus 7.25% National Insurance on pay up to EC$5,200 a month, which is at most EC$377 a month.
The employee's 6.25% and the income tax come out of the employee's pay, so they do not add to your cost.
The employer's share is on pay up to the ceiling, so it stops growing at EC$5,200 a month. It rises by 0.25 of a point each January, to 8.5% in 2031. The Employment Act sets no thirteenth-month payment. Paid leave, maternity pay, sick pay and the termination allowance add to the cost of the job.
The cost guide has worked examples at four pay levels.
Do you need a local company to hire employees in Grenada?
Not always, but the route matters here. Grenada's Recruiting of Workers Act says nobody may recruit workers without a licence.
Our experts check which route fits your hire before any contract is signed.
Hiring directly means taking on the employer's duties yourself: National Insurance and income tax payments, and the Employment Act's rules on hours, leave and termination. An employer of record can carry those duties, and a contractor arrangement carries fewer of them.
The EOR vs entity guide shows what the law says and what we check.
You progress from contractor to employer of record to your own entity on one platform under Teamed's Graduation Model.
What changed in Grenada employment law recently?
The minimum wage was raised on 1 January 2024 for the first time since 2012, and National Insurance has risen each January since.
The National Insurance pensionable age is rising by one year a year, to 65 in 2028.
The Minimum Wages Order 2023 replaced an Order of 2011. The Employment Act requires the minimum wage to be reviewed at least every three years. We found no later Order when we checked on 21 October 2026.
A newer Employment Act was passed in 2016, but its start date is left to a Ministerial Order. We found no such Order, so the 1999 Act as consolidated in Cap. 89 still applies. We found no change to income tax or National Insurance in the 2026 Budget Statement of 1 December 2025.
What leave and benefits must you give employees in Grenada?
Most employees earn at least two weeks of paid annual leave in the first year and three weeks after that.
Maternity leave is three months, and sick leave is paid after twelve months of service.
Maternity leave with pay needs 18 months of continuous service. The employer pays two months' salary less the National Insurance maternity allowance, which is 65% of insurable earnings for three months. The Employment Act has no statutory paternity leave.
The hiring guide sets out each rule.
What are payroll taxes in Grenada in 2026?
Employers pay 7.25% National Insurance. Employees pay 6.25%, plus income tax of 10% then 28% on pay above EC$36,000 a year.
The employer deducts both from wages and pays them over.
Income tax on employment is deducted by the employer and paid to the Inland Revenue Division within seven days after the end of the month. National Insurance is due at the end of the month, with a grace period of 14 days.
The tax and payroll guide has worked examples.
How do you terminate an employee in Grenada?
Notice runs from one working day to two months, depending on length of service, and a dismissal needs a valid reason.
After a year of service, a termination allowance of at least one week's wages per year is usually payable.
Probation is one month for unskilled workers and three months for others when the contract is silent, and an employer can end it without notice. After probation, the valid reasons are capacity, conduct or the operational needs of the business. A complaint of unfair dismissal goes to the Labour Commissioner within three months.
The termination guide covers notice, the allowance and the process.
What should you know before hiring in Grenada?
Two things catch employers out. The minimum wage differs by job category, and a work permit is needed for foreign nationals and Commonwealth citizens.
Both change what a first offer can look like.
Check the job category before you set pay. The 2023 Order lists floors for some 15 groups, from EC$60 a day for domestic and agricultural workers to EC$9.25 an hour for security guards. Office roles sit at EC$1,200 a month. Roles outside the listed groups are worth checking against the Order.
A person who is not a citizen needs a work permit. The Ministry of Labour grants it for a year, and aims to process a complete application in 12 working days. Some groups are exempt, so we check the right to work before the contract is signed.
Frequently asked questions
How much does it cost to hire an employee in Grenada?
Plan on gross pay plus 7.25% employer National Insurance in 2026, on pay up to EC$5,200 a month. That is at most EC$377 a month. The cost breakdown guide has worked examples.
Can a company hire in Grenada without its own entity?
Often, but the route needs a check. Grenada's Recruiting of Workers Act requires a licence to recruit or supply workers. Teamed's experts check which route fits your hire before any contract is signed.
What is the minimum wage in Grenada in 2026?
It depends on the job. Clerical workers, shop assistants, administrative clerks, cashiers and receptionists have a floor of EC$1,200 a month under the Minimum Wages Order 2023, in force since 1 January 2024. We found no later Order on 21 October 2026.
Is there income tax on wages in Grenada?
Yes. An employee earning up to EC$36,000 a year pays none. Above that, the next EC$24,000 is taxed at 10% and the rest at 28%, and the employer deducts it from pay.
What is National Insurance in Grenada in 2026?
13.5% of insurable earnings up to EC$5,200 a month: 7.25% from the employer and 6.25% from the employee. It rises by 0.25 of a point on each side every January until 2031.
How much annual leave do employees get in Grenada?
At least two weeks of paid leave in the first year and three weeks after that for most job categories. The Bank Holidays Act lists 13 holidays a year on top.
Grenada sets pay floors by job category, adds 7.25% to gross pay for the employer, and raises National Insurance every January.
Most of the surprises come from assuming one national minimum wage, or from skipping the route check before the contract.
Read the guide for the layer you are on before the first offer goes out, not after the first payslip.
Looking for a job in Grenada yourself? Teamed does not hire people directly. Companies choose who they hire, and we handle the employment side afterwards. Here is why we cannot help with your search.
