Global HR & Payroll

If you’re looking into entering the global market, Ireland is a great choice to make your first step onto the international playing field. Ireland is a smart choice to establish your company in Europe because of its proximity to the UK, its membership in the EU, and its tax efficiency through Section 110, where qualified companies can achieve tax neutrality as well as a significantly lower corporate tax rate than other European countries. 

Ireland’s government is streamlined with very little bureaucracy, making it one of the most efficient places to establish your global company. Where other countries can take weeks or even months to establish your business, Ireland’s processes can be resolved in less than one business week.

As you start to do business in Ireland, make sure you know the difference between The Republic of Ireland and Northern Ireland. Northern Ireland is part of the United Kingdom and is not part of the EU. The Republic of Ireland is not a part of the United Kingdom and is a part of the EU. Confusing the two or accidentally involving business partners in the wrong nation can lead to corporate and political headaches. 

Employers in Ireland are required to register as an employer as part of the Pay As You Earn (PAYE) system as well as the Pay Related Social Insurance (PRSI) through the Office of Irish Revenue Commissioners. 

Irish taxes are based on two single tax rates (20% base and 40% additional). These two rates are applied at certain income thresholds, but the exact thresholds are different depending on the status of the taxpayer and their family status. For example, widowed employees are subject to a different tax bracket than married employees.

If your Irish employees frequently travel or work outside of Ireland, it’s important to remember that Irish residents who live in Ireland are liable for income tax, on their income earned in Ireland andr worldwide income.

All Irish tax is reported and paid through the PAYE system, and employers are subject to Real Time Reporting (RTR). As part of this legislation, employers must report employee pay, withholdings, and deductions at the same time they process payroll. 

IRIS provides comprehensive coverage for your Irish employees, ensuring that payroll tax calculations are done correctly every time, no matter how complex they might be.

Statutory employee benefits in Ireland only apply to full-time employees, not independent contractors. While it’s not mandatory for employers to offer benefits for Irish contractors, they can be offered as part of the negotiation process to attract and retain contractors. 

For full time employees, mandatory benefits in Ireland include:

• 4 weeks paid leave
• Carer’s leave
• Maternity leave (26 weeks of paid leave plus 16 weeks of unpaid leave)
• New parent/ Adopted parent leave
• Parental leave
• Extra pay on Sunday
• Pay Related Social Insurance (PRSI) contributions

There is no legal requirement in Ireland for employers to offer pension plans or retirement contributions. While these are not required, they are frequently included to help attract and retain talented employees. Similarly, private health insurance to supplement the Irish public health system, a home office stipend, or other common benefits are frequently included in contracts, but they are not legally required. 

IRIS Global Workforce Management makes payroll and labor laws in Ireland simple, ensuring compliance with  regulations and that each employee is classified correctly.

The Terms of Employment (information) Act was passed in Ireland in 1994 and requires employers to provide a series of statements to employees as part of their onboarding and hiring process. This includes a Day 5 Statement and a Written Statement of Terms. These statements outline the expectations of the employee, the benefits and compensation the employer will provide, and other key details about the job position.

If you do not provide an employee with a Day 5 Statement, they can file a complaint with the Workplace Relations Commission (WRC) and receive up to four weeks of compensation. Non-compliance can also lead to additional fines placed on the employer and/or imprisonment. 

Our coverage includes creating and sharing all necessary documents to ensure your company is compliant with all relevant regulations and legislations.

Dublin is Ireland’s largest city and can trace its history back to over a thousand years . It has been ranked in the top three cities for investment because of its favorable tax rates, along with its educated and skilled population. Dublin serves as an international hub for many leading tech companies, but also has deep connections to the life sciences, software development, e-learning, and financial services industries.

The city offers extra benefits to work alongside small and medium-sized businesses to help you collaborate and build your professional network in Dublin. 

Belfast is Ireland’s second largest city and is continually growing, becoming the home of a number of global companies. Major industries in the city include advanced engineering and manufacturing; creative and digital; financial and professional services; and life and health sciences.

A hidden gem in Belfast is its aerospace engineering program. While Belfast has fewer than 400,000 citizens, it is one of the largest aerospace engineers in the European Union, contributing over £1.5 billion annually to the local economy.