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Ireland

Ireland is an island in the North Atlantic. It is separated from Great Britain to its east by the North Channel, the Irish Sea, and St George’s Channel. Ireland is the second-largest island of the British Isles, the third largest in Europe, and the 20th largest on Earth.

POPULATION

5,3 million inhabitants

CURRENCY

Euro (EUR)

GDP

$550–600 billion

MINIMUM MONTHLY WAGE:

€13.50 per hour

TIME ZONE

UTC +1

Ireland people are well-educated, mobile, ambitious, and adaptable. Competitive salaries are combined with a high standard of living which attracts talent from every corner of the world.

Irish employment law is regarded as providing a fair balance between a business-friendly set of rules for employers while at the same time affording appropriate protection to employees.

Ireland is one of the only two English Speaking members of the Euro zone, which is an important consideration for companies establishing a base in Europe.

  • full-time and part-time contracts,
  • fixed-term contracts,
  • agency staff,
  • self-employment

The standard working week in Ireland is typically 39–40 hours. Average working time must not exceed 48 hours per week, including overtime, calculated over a reference period.

Employees aged 16 and 17 may work a maximum of 40 hours per week.

Employees are entitled to the following rest breaks:

  • A 15-minute break after more than 4.5 hours of work
  • A 30-minute break after more than 6 hours of work (which may include the first 15-minute break)

Breaks should not be taken at the end of the working day.

Employees in Ireland must not work more than an average of 48 hours per week, including overtime, calculated over a reference period (typically four months).

Employees may work more than 48 hours in a particular week, provided that the average working time over the reference period does not exceed this limit.

Overtime arrangements, including whether employees are required to work overtime and the applicable rates of pay, are generally governed by employment contracts or collective agreements.

There is no statutory requirement to pay overtime at a specific rate; compensation for overtime depends on the terms agreed between the employer and the employee.

Employees in Ireland are entitled to paid annual leave under the Organisation of Working Time Act. This applies to full-time, part-time, temporary, and casual workers.

There are three methods used to calculate annual leave entitlement, and the employer must apply the method that provides the greatest benefit to the employee:

  • If an employee works at least 1,365 hours in a leave year, they are entitled to 4 working weeks of paid annual leave
  • If an employee works at least 117 hours in a month, they are entitled to one-third of a working week for that month
  • 8% of the hours worked in a leave year, up to a maximum of 4 working weeks

Employees in Ireland are also entitled to public holidays (also known as bank holidays).

1 January — New Year’s Day
2 February — St. Brigid’s Day (first Monday in February)
17 March — St. Patrick’s Day
6 April — Easter Monday
4 May — May Bank Holiday (first Monday in May)
1 June — June Bank Holiday (first Monday in June)
3 August — August Bank Holiday (first Monday in August)
26 October — October Bank Holiday (last Monday in October)
25 December — Christmas Day
26 December — St. Stephen’s Day

Employers in Ireland are required to make social insurance contributions under the Pay Related Social Insurance (PRSI) system. Employer PRSI contributions are generally around 11.05% of employees’ earnings, depending on applicable thresholds and classifications.

Employers are also required to provide employees with access to a Personal Retirement Savings Account (PRSA) within 6 months of employment commencement, although they are not generally required to contribute to these pension schemes.

  • Social Insurance (PRSI): Both employers and employees contribute to Ireland’s Social Insurance Fund through PRSI contributions, which fund benefits such as pensions, unemployment support, and illness benefits.
  • Healthcare: Ireland operates a mixed public and private healthcare system funded primarily through general taxation. Access to public healthcare services is available to residents, although eligibility for free services depends on income and other criteria.
  • Pension contributions: Employers may offer occupational pension schemes or contribute to retirement plans, although such contributions are not mandatory in most cases.
  • Private healthcare: Private health insurance is one of the most common employee benefits in Ireland. Employer-provided health insurance is considered a benefit in kind and is subject to taxation.
  • Life insurance: Some employers offer life insurance coverage, often after the completion of a probationary period.
  • Dental and vision benefits: These are sometimes included as part of private healthcare packages.
  • Maternity, paternity, and adoptive leave: Employers are not required to provide paid leave; however, employees may qualify for state benefits provided by the Department of Social Protection.
  • Income protection: Many employers offer income protection insurance, which provides replacement income in the event of long-term illness or injury.
  • Gym membership
  • Extra holidays
  • Work flexibility: shorter working weeks during the summer, earlier closure on Fridays, working from home etc.
  • Education and development trainings.

Employees in Ireland are entitled to statutory sick pay under the Sick Leave Act 2022.

As of 2026, employees are entitled to 5 days of paid statutory sick leave per calendar year. Statutory sick pay is paid by the employer at 70% of the employee’s normal wages, subject to a maximum of €110 per day.

Employees must have completed at least 13 weeks of continuous service with their employer to qualify for statutory sick pay. A medical certificate may be required from the first day of absence.

Employers may provide more generous sick pay schemes, but they cannot provide less than the statutory minimum.

Where an employee is absent for a longer period and qualifies for social insurance support, they may apply for Illness Benefit through the Department of Social Protection after their statutory sick pay entitlement has been exhausted.

Self-certified sick leave

For short periods of illness, employees in Ireland may be allowed to self-certify their absence without providing a medical certificate. This typically applies to absences of up to 2–3 consecutive days, depending on the employer’s policy.

For longer periods of absence, employees are generally required to provide a medical certificate from a qualified healthcare professional.

Statutory sick pay is provided in accordance with the Sick Leave Act 2022, under which eligible employees are entitled to paid sick leave at 70% of normal wages, subject to a maximum of €110 per day.

Maternity Benefit in Ireland is paid by the Department of Social Protection and funded through PRSI contributions. Employees must apply for this benefit at least 6 weeks before the start of maternity leave (or 12 weeks in advance if self-employed).

Employees are entitled to 42 weeks of maternity leave, consisting of 26 weeks of paid leave and 16 weeks of unpaid leave.

Eligible parents are entitled to 2 weeks of paid Paternity Leave, which can be taken within the first 6 months following the birth or adoption of a child.

As of 2026, Maternity Benefit is paid at a rate of approximately €274 per week, subject to eligibility.

In addition, each parent may be entitled to Parent’s Leave, which provides additional paid leave following the birth or adoption of a child, in accordance with current legislation.

Ireland allows citizens of EU nations to work without a special permit or visa. Citizens of countries within the European Economic Area (EEA), Switzerland or the UK are also allowed to work in Ireland without a visa. Other nations are required a work permit issued by the Department of Jobs, Enterprise and Innovation – DJEI.

Requirements for obtaining work visas for citizens outside of EU/EEA contries are very strict. Work visas will only be granted for high-skill work or field of employment where they find staff shortage. An employment contract or job offer is also required before your employees can apply for a work permit. Employees should apply for a visa three months before traveling to Ireland.

Types of Ireland Work Visas and Permits:

  • Critical Skills Employment Permit,
  • General Employment Permit,
  • Dependant/Partner/Spouse Employment Permits,
  • Intra-Company Transfer Employment Permit,
  • Internship Employment Permit,
  • Contract for Services Employment Permit,
  • Sport and Cultural Employment Permit.

Termination by an employee

When an employee decides to leave the company is called resignation. The employee needs to inform the employer in writing about leaving the company. An employee’s contract of employment may set out the minimum notice period set by the employer. If an employee’s contract of employment does not specify a minimum notice period, and the employment has lasted at least 13 weeks, the employer is entitled to one week’s notice. An employer may choose to pay lieu of notice. An employee cannot retract his or her notice of resignation unless the employer also agrees.

If an employee resigns because of the employer’s unreasonable behavior, it’s called constructive dismissal. If an employee is claiming constructive dismissal, he or she will have to show that their resignation was justified.

Termination by employer

Employers are expected to follow fair procedures if they no longer wish to maintain employment with a person. An employer dismissing an employee must give one of the following reasons:

  • Capability: an employee’s inability to do the job due to lateness or absence.
  • Competence: an employee’s inability to meet the standards expected.
  • Qualifications: an employee’s lack of necessary qualifications.
  • Redundancy: if an employee’s work is no longer required.
  • Contravening the law: if continuing to employ a person would contravene the law.
  • Other substantial grounds.

Notice period

If an employment contract does not specify a longer notice period, the following statutory minimum notice periods apply for employers under Irish law:

Duration of Employment — Minimum Notice

  • 13 weeks to 2 years — 1 week
  • 2 to 5 years — 2 weeks
  • 5 to 10 years — 4 weeks
  • 10 to 15 years — 6 weeks
  • 15 years or more — 8 weeks

These statutory notice periods apply to employers. Employees are generally required to provide at least one week’s notice after 13 weeks of service, unless otherwise specified in their employment contract.

Employment contracts may provide for longer notice periods than the statutory minimum.

Statutory redundancy payments in Ireland are based on the employee’s pay and length of service.

Eligible employees are entitled to:

  • Two weeks’ pay for each year of reckonable service, and
  • One additional week’s pay

To qualify for statutory redundancy payment, employees must have at least 2 years of continuous service with their employer.

The maximum weekly amount used to calculate redundancy pay is capped at €600 per week, even if the employee’s actual earnings are higher.

The digital revolution, globalization and demographic changes are transforming labor markets at a time when policy makers are also struggling with slow productivity and wage growth and high levels of income inequality.

Surveys in Ireland are showing that more than 70% of employers are having difficulties hiring workers with the right skills and compentence, so this represents a major issue with obtaining and keeping skilled staff in organizations.

While new immigration rules streamline the process for certain categories of EU professionals, we can ensure 100% compliance with the latest in-country changes and speed up the expansion of your business to Ireland.

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