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International Employee Leaves & Benefits

Learn about statutory leave entitlements and benefits requirements for international employees, including paid time off, sick leave, parental leave, and supplemental healthcare.

Updated this week

Every employee is entitled to leave and benefits; the exact amount required by law, though, differs between countries.

As an employer, we need to meet or exceed the statutory minimum requirements in each country to ensure compliance with local laws, and more importantly, to ensure that your employees feel supported and valued. While it's necessary to meet each country's minimum standards, going above and beyond to offer enhanced benefits can help attract top talent and foster a positive work environment.

We'll guide you through the intricacies of crafting leave policies for international employees and deciding what benefits to offer.


Important Information

  • The amount of leave and benefits you need to offer employees depends on the laws of the country where you're hiring.

  • You can always offer more, but never less than the minimum statutory requirements per country.


Leaves

Statutory annual leave

Employees are entitled to a set number of paid annual leave days; the exact amount varies by country. Part-time employees receive a prorated amount. Some companies offer unlimited or flexible paid time off (PTO) policies, which can be included in most employment contracts, but keep in mind that employees are still entitled to the minimum statutory annual leave mandated by their country. Annual leave should not be replaced by a cash payment, except in cases where accrued but unused PTO is carried over at the end of employment, in which case the employee is entitled to be paid out.

Accrual

Employees should start accruing annual leave from their first day of work, based on the number of ordinary hours they work. If an employee leaves before using all their accrued annual leave, the employer must pay out any unused leave as part of the employee's final pay.

Leave year

A leave year is the specific period during which employees receive their paid leave quota. Each employee receives a specific number of paid leave days per leave year, which can be used in accordance with company policy. Some countries set their leave year from April 1 to March 31, while others set it from January 1 to December 31.

Leave carryover

Some companies allow annual leave carryover. Usually, these companies have internal policies stating that annual leave carryover must be taken within the first three months of the following leave year. If you would like to allow leave carryover, please reach out to support@plane.com to verify whether it is possible for a specific employee in their country.

Requesting leave

We encourage employees to use Plane's time off feature to request and track leave. If your company uses a separate time-off tracking system, employees should also seek internal approval there for compliance tracking.

Public holidays

Employees are encouraged to take public holidays off in their home country or region, as required by law. If an employee is required to work on a public holiday, please contact support@plane.com; we'll need to check if they are entitled to a different day off in lieu of the public holiday. Please note that in some countries, employees may be entitled to 1.5 or 2 times their pay for working on a public holiday.

Maternity leave

Maternity leave is usually defined as the time a birth parent takes off work for the birth or adoption of a child. The exact number of days that an employee who is a birth parent is entitled to depends on the laws of their country.

Paternity leave

Paternity leave is the time a non-birth parent can take off work after the birth or adoption of a child. The exact number of days that an employee who is a non-birth parent is entitled to depends on the laws of their country.

Parental leave

Parental leave provides employees with job-protected leave to care for a child following a birth or adoption. It is usually available to both birth and non-birth parents. Parental leave entitlements vary by country.

Sick leave

Sick leave allows employees to take time off when they are unwell. Typically separate from paid vacation time, sick leave is a mandatory entitlement in most countries worldwide. It may also be referred to as "medical leave," "sickness absences," or "sick days."


Benefits

Healthcare

Many countries provide public healthcare systems for their residents, so employers do not need to contribute to their employees' premiums. However, you can decide whether to offer and contribute to supplemental healthcare (if available).

Please contact support@plane.com to learn about the supplemental options available in the countries you're hiring. We offer private health insurance plans in most countries worldwide, but some limitations may apply.

Life insurance and short-term & long-term disability

Supplemental life, short-term disability, and long-term disability insurance are available in most countries. Life insurance coverage is mandatory in some countries, such as Peru and Nigeria. You can check what options are available by country by contacting support@plane.com.

Pension

Employer and employee taxes contribute to public pension funds. In some countries, employers must also provide a specific type of workplace pension scheme. Depending on the country, Plane may also be able to deduct and make employee contributions to supplemental personal pension funds.

Employee assistance program (EAP)

Our employee assistance program, available through LifeWorks, can be offered to employees in the following countries at 11 USD per person, per month. Please reach out to us at support@plane.com to find out if it's available in your employee's country.

Stipends

Stipends are subject to tax. Please note that if you include them in the employment contract, the employee needs to pay taxes on them. As an alternative, stipends can be handled as reimbursements. You can learn more about reimbursements and how to request them here.


Frequently asked questions

Can I ask the employee to take US holidays off?

No. You may offer them additional leave on days when the US office is closed, but generally, employees should take the public holidays recognized in their region and use statutory leave for personal use, subject to management approval.

How much leave should I offer employees?

You must offer at least the minimum amount of paid leave (including vacation, sick leave, maternity/paternity/parental leave, etc.) that is required by law in the country where the employee is located. You can certainly offer more days off if you would like, which can make your benefits package more attractive to job candidates.

Statutory leave requirements can vary based on country, employee tenure, and other factors. You can reach out to us at support@plane.com to get a more specific and accurate answer for your employee's situation.

Can I set up my own rules for carryover leave?

Some jurisdictions have rules for carryover leave. If you would like to set up a specific scheme, please state this explicitly on the onboarding tasks in Plane when setting up a new international employee. You can make a note under 'Decide on additional incentives'.

Can we add unlimited paid time off (PTO) to the employment contract?

Yes, it is possible to add unlimited PTO to the employment contract in most countries. Please explicitly state this in the onboarding tasks in Plane when setting up a new international employee. You can make a note under 'Decide on additional incentives.' We recommend you add the same PTO policy to keep it consistent for current and future hires.

How does my international employee request leave, and where? How do I get notified about it?

All leave requests can be tracked in Plane. For step-by-step instructions, see How to request time off.

How does my international employee request maternity/paternity/parental leave?

We encourage leaves tracked in Plane. If an international employee wants to request special leave (e.g., maternity, paternity, parental leave), please email support@plane.com as soon as possible, providing detailed information about the request. Plane will review and approve the request, then notify the international employee.

How and when are employees eligible for maternity, paternity, medical, or sick leave?

Please reach out to us at support@plane.com as soon as possible so we can guide you and the employee through the process.

Where do I find information for supplemental health care? Can I choose the cost share I want to contribute to the health plan? Can I cover international employees' dependents?

If you would like to offer supplemental health care, please state this explicitly on the onboarding tasks in Plane when setting up a new international employee. Under 'Review supplemental health benefits', please choose 'yes' and specify the health care plan, cost-share, and whether the international employee's dependents should also be covered. Cost-sharing is the percentage of premiums you, as the employer, will cover for your international employees. For example, you can opt for a 75% cost share, meaning international employees pay 25% of the monthly premium. Please reach out to us at support@plane.com for a full list of available plans by country.


Questions?

We're here to help! You can find more of our guides here, or reach out to us at support@plane.com or use Plane's in-app chat.

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