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Global HR Compliance in Jersey

Hiring in Jersey requires navigating a distinct legal framework that reflects British employment norms but operates under its own set of rules and enforcement mechanisms. As a Crown Dependency, Jersey maintains full autonomy over labour law, immigration policy, and social security, making it essential for foreign employers to understand the island’s specific obligations.

This guide sets out the key legal and operational requirements for employing staff in Jersey, from compliant employment contracts and working hours to dismissal, immigration, and statutory contributions.

Employment Contracts in Jersey

Employers must provide a written statement of employment terms within four weeks of an employee starting work. This statement must cover job title, duties, pay, working hours, holiday entitlement, place of work, and procedures for termination and discipline. While contracts do not legally need to be signed, they must be provided and kept up to date.

Both fixed-term and open-ended contracts are permitted. Any changes to material terms must be confirmed in writing.

Working Hours and Overtime

Jersey does not impose a statutory cap on working hours, unlike the UK’s 48-hour weekly limit. However, employers must ensure working conditions are safe and reasonable.

There is no statutory obligation to pay for overtime unless contractually agreed. Many employers adopt premium pay or time-off-in-lieu policies for work exceeding contracted hours, especially in hospitality, finance, and healthcare.

Leave Entitlements

Annual Leave
Employees are entitled to a statutory minimum of three weeks (15 working days) of paid annual leave per year. Public holidays are not automatically included unless contractually specified.

Maternity Leave
Employees are entitled to 52 weeks’ maternity leave, with at least six weeks’ paid leave guaranteed following childbirth, provided they have worked for at least 15 continuous weeks prior. Pay beyond this period is subject to employer policy.

Paternity and Parental Leave
Up to two weeks of paternity leave is available, including one week paid if eligibility conditions are met. Since 2020, Jersey law also permits shared parental leave, allowing flexibility across both parents or carers.

Minimum Wage and Pay Rules

Effective 1 April 2025, Jersey’s statutory minimum wage is £13.00 per hour, a significant increase aligned with the island’s transition toward a “living wage” framework. Lower rates for trainees or special categories may apply but must meet defined legal thresholds.

All pay must be provided transparently, with lawful deductions only. Payslips are not legally mandated but are commonly issued.

Probation Periods

Probation periods are not set by statute but are standard practice. The length and conditions must be agreed in the employment contract. During probation, employees retain statutory rights, including protection from unlawful deduction of wages, discrimination, and from April 2025 the right to receive written reasons for dismissal.

Sick Leave and Statutory Benefits

Sick pay is not automatically required under Jersey law. After two days of sickness, eligible employees may apply for Short-Term Incapacity Allowance (STIA) through the Social Security Department, subject to contribution records.

Employers often top up STIA or offer contractual sick pay to remain competitive and retain talent.

Termination and Redundancy

Notice Periods

After one month of service, employees are entitled to at least one week’s notice. This increases to one week per year of service, up to a maximum of 12 weeks, for employees with over two years’ service. Longer periods can be contractually agreed.

Mandatory Written Reasons for Dismissal (2025 Update)

As of 22 April 2025, employers must provide written reasons for dismissal within seven days, even if the employee has less than one year of service. This is a day-one statutory right, and failure to comply can result in compensation of up to eight weeks’ pay.

Fair Dismissal and Tribunal Awards
Dismissal must be for a valid reason (e.g., conduct, capability, redundancy, or legal restriction) and follow a fair process. As of 2025, compensation for unfair dismissal has increased:

  • From 4–26 weeks’ pay to 4–36 weeks’ pay, based on length of service.
  • The Tribunal may award up to 25% additional compensation if the employer’s conduct was particularly blameworthy.

Redundancy Pay

Statutory redundancy applies after two years’ continuous service, calculated at one week’s pay per year of service. Employers must follow a transparent consultation and selection process.

Discrimination and Breach of Rights (2025 Update)

  • Compensation for discrimination increased to the lower of £30,000 or 52 weeks’ pay, with a maximum of £30,000 for hurt and distress.
  • For breaches of statutory employment rights (e.g. flexible working), maximum compensation doubled from 4 to 8 weeks’ pay.
  • The Tribunal’s jurisdiction for breach of contract claims rose from £10,000 to £30,000.

Immigration and Work Permits

Jersey operates its own system under the Control of Housing and Work (Jersey) Law, separate from UK immigration rules.

All employees require a registration card. For foreign nationals, employers must apply for a work permit, required for most non-British or non-settled workers. Permit conditions depend on occupation, salary, and skill level.

Status Naming (2025 Update)

As of 2025, the “Registered” status has been renamed “Standard” status to reduce confusion with property classifications. Other statuses include “Entitled,” “Entitled for Work,” and “Licensed.” The time to achieve permanent “Entitled” status has also been reduced from 30 to 25 years for qualifying individuals.

Hiring foreign talent requires careful planning to align with housing status restrictions, permit conditions, and onboarding timelines.

Secondary Pensions

Jersey is currently rolling out mandatory Secondary Pensions for most employers:

  • For businesses with 2–5 employees, obligations start 1 July 2025.
  • All employers must comply by 1 October 2025.

Employers must enrol eligible staff into an approved pension scheme and make regular contributions, unless the employee actively opts out. This is a significant structural change, adding long-term obligations to employer responsibilities.

Acumen International: Global Employer of Record and HR Compliance Support in Jersey

Acumen enables foreign companies to employ staff in Jersey without establishing a local entity. Acting as the legal employer, we structure contracts in full compliance with Jersey law, run payroll under local rules, and manage workforce administration across all employment types, including permanent roles, fixed-term contracts, and cross-border transitions.

Employer Responsibilities

We assume all formal responsibilities as the local employer of record. This includes payroll processing, payslip generation, withholding of income tax, and payment of employer and employee social security contributions to Jersey’s Social Security Department. We handle monthly returns, benefit entitlements, and year-end summaries, ensuring full alignment with statutory obligations and inspection readiness.

Immigration Support

Acumen sponsors work permits for non-resident hires and ensures employment is matched with the correct residential and occupational status under Jersey’s Control of Housing and Work Law. We manage documentation, renewals, and interactions with the Jersey Customs and Immigration Service.

Compliance and Risk Mitigation

We oversee each employment relationship for legal and regulatory compliance. This includes observing updated dismissal procedures (e.g. mandatory written reasons), correct probation implementation, application of minimum wage, secondary pension enrolment, and tribunal exposure management. We work with local specialists to ensure decisions hold up under scrutiny.

Use Cases

Acumen’s Employer if Record in Jersey is used by companies needing to:

  • Employ staff in Jersey without registering a local entity;
  • Sponsor non-UK/EEA nationals under Jersey’s work permit system;
  • Transition contractors or fixed-term workers to compliant employment;
  • Avoid legal exposure when navigating tribunal risks or dismissal procedures;
  • Fulfil social security, payroll, and pension requirements without internal capacity.
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