Economic Overview, Ultra-Luxury Tourism & Marine Innovation
The Maldives is the world's leading luxury hospitality destination, driving innovation in overwater architecture, marine conservation, and seaplane aviation.
Key Economic Sectors
- Ultra-Luxury Hospitality: Over 170 exclusive island resorts generating top global revenue per available room (RevPAR).
- Marine Science & Blue Economy: Coral reef restoration, sustainable pole-and-line tuna fisheries, and coastal engineering.
- Seaplane Aviation & Maritime Logistics: Trans Maldivian Airways (world's largest seaplane operator) and inter-atoll logistics.
Employment Contracts, Employment Act (Act 2/2008) & Service Charge
Regulated by the Maldives Employment Act (Act No. 2/2008).
- Written Statement of Terms: Mandatory in English or Dhivehi detailing wages, service charge entitlement, and hours.
- Mandatory 10% Service Charge: All tourism establishments must levy a 10% service charge, with 99% distributed equally among all non-managerial staff every month.
- Probation Period: Maximum statutory probation is 3 months.
Working Hours, Leave & MRPS Pension (7% Employer)
- Standard Hours: 48 hours per week. Overtime compensated at minimum **125% (1.25×)** on normal days; **150%** on rest days/holidays.
- Annual Leave: Minimum 30 calendar days paid vacation per year.
- Paid Sick Leave: 30 paid days per year.
- Public Holidays: 14 official national and Islamic public holidays.
- Maternity Leave: 60 calendar days fully paid maternity leave (extendable up to 6 months under civil service rules).
Maldives Retirement Pension (MRPS 7%) & MIRA Tax
| Statutory Scheme | Employer Share | Employee Share | Coverage |
|---|---|---|---|
| Maldives Retirement Pension Scheme (MRPS) | 7.00% | 7.00% | Individual pension account (MPAO - 14% total) |
Personal Income Tax: Progressive rates: 0% (up to MVR 720k/yr), 5.5% (MVR 720k–1.2M), 8% (MVR 1.2M–1.8M), 12% (MVR 1.8M–2.4M), and 15% on excess, remitted to MIRA.
Why Use an Employer of Record (EOR) in the Maldives
- Rapid Hospitality & Tech Deployment: Onboard resort managers, marine biologists, and IT specialists in Malé in days.
- MRPS, Service Charge & MIRA Compliance: Seamless management of 7% pension remittances, service charge calculations, and income tax withholdings.
- Expatriate Work Visa Sponsorship: EOR manages Ministry of Homeland Security work permits and quotas.
Hiring in Maldives? Key Resources
Whether you are evaluating entity setup vs. using an Employer of Record, or looking for the best international payroll solution, our guides give you transparent benchmarks: