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.

