Employment in Lebanon is governed by the Labour Code of 1946, last amended in 2025, and by the Social Security Law administered by the National Social Security Fund (NSSF). After the currency crisis, wage, tax and contribution thresholds have been revised several times, so check the latest decrees before each payroll year. Here is what employers need to know about leave, pay, tax and ending employment.
The Labour Code sets minimum leave for private-sector employees. An employer cannot dismiss an employee, or serve notice, while they are on annual or sick leave.
Fully paid, after 12 months of service, excluding rest days and public holidays. Leave can be split (minimum 6 days at a time) and carried over for up to 2 years. Young workers get at least 21 days.
Plus the same number of days at half pay, depending on length of service. Requires a medical report. See the table below.
Full pay, covering the period before and after the birth. For employees registered with the NSSF, the fund covers maternity benefits.
Paid leave on the death of a parent, spouse, child, grandchild or grandparent.
| Length of service | Full pay | Half pay |
|---|---|---|
| 3 months to 2 years | 15 days | 15 days |
| More than 2 years, up to 4 years | 30 days | 30 days |
| More than 4 years, up to 6 years | 45 days | 45 days |
| More than 6 years, up to 10 years | 60 days | 60 days |
| More than 10 years | 75 days | 75 days |
There is no statutory paternity leave in the private sector yet; a proposal for 3 days of paid paternity leave has been before parliament since 2018. Since the 2025 amendments, an employee returning from maternity leave can agree in writing to work part-time for up to a year.
Set up each Lebanese leave type in IceHrm with its own accrual, carry forward and approval rules, including sick leave entitlements that step up with length of service. Employees see their live balance before they apply, and managers see who is away on a shared calendar. Leave management →
The government sets the minimum wage by decree on the advice of a tripartite cost-of-living committee. It has been raised several times since 2023 to keep pace with inflation.
LBP 28,000,000 a month (LBP 1,300,000 a day) from 1 August 2025, for employees aged 20 and over covered by the Labour Code.
Compressed schedules are allowed since 2025 as long as the weekly total stays within 48 hours. Employees get at least 36 consecutive hours of weekly rest.
Of the normal hourly wage. Total daily hours, including overtime, can reach 12 only in emergencies, and the labour authorities must be told within 24 hours.
An employee who works on the weekly rest day chooses between a replacement day off or 150% pay for the hours worked. Work on Labour Day (1 May) is paid at double time.
Capture attendance and overtime in IceHrm and feed the hours straight into payroll, so overtime and rest day work are paid on what was actually worked. Time & attendance →
Salaries are taxed through a progressive payroll tax that the employer withholds and declares to the Ministry of Finance. Tax is due on salaries for work performed in Lebanon or paid by a Lebanese source.
Brackets and allowances have been revised in each recent budget law. Confirm the figures for the current year with the Ministry of Finance before running payroll.
Employers register employees with the National Social Security Fund and pay contributions for medical and maternity cover, family allowances and the end-of-service indemnity. Ceilings are reset by NSSF memoranda.
Employer contribution on earnings up to LBP 120 million a month (from August 2025). Employees pay a further 3% on the same base.
Employer contribution on earnings up to LBP 18 million a month (from July 2025).
A further employer contribution on total earnings funds the end-of-service indemnity that the NSSF pays when employment ends.
Payroll tax declarations are shared with the NSSF, and discrepancies between the two can attract a penalty of ten times the difference, so keep both filings consistent.
Build Lebanese pay the way you already structure it, with your own salary components, deductions and formula columns, such as capped NSSF contribution columns, and run payroll in more than one currency. Want to know how well IceHrm handles payroll calculations for Lebanon? Contact us or see Payroll →
Either party can end an indefinite contract with written notice, and the other side can ask for the reasons. A dismissal that is an abuse of the right to terminate is arbitrary, and the employee can claim compensation of 2 to 12 months' pay on top of their other entitlements.
| Length of service | Notice |
|---|---|
| Up to 3 years | 1 month |
| More than 3 years, less than 6 years | 2 months |
| More than 6 years, less than 12 years | 3 months |
| 12 years or more | 4 months |
For collective terminations on economic or technical grounds, the employer must notify the Ministry of Labour a month in advance and consult on who is affected; dismissed employees have priority for rehiring for a year. Employees registered with the NSSF receive their end-of-service indemnity from the fund.
Serious misconduct that allows dismissal without notice or indemnity includes false identity documents, deliberate harm to the employer, 3 serious breaches of internal rules in a year, and unjustified absence of more than 15 days a year or 7 consecutive days.
Only Labour Day and Independence Day are compulsory paid holidays under the labour legislation. The other official holidays are set by government decree and are widely observed, so state in your internal rules which ones apply.
If Labour Day falls on a Sunday or another holiday, private businesses close on the next day. Businesses that must stay open, such as hospitals and bakeries, pay double for work on Labour Day.
Leave groups give each office its own public holiday calendar, so you can load the holidays your Lebanese internal rules recognise, including the lunar dates once they are announced. Holiday calendars →
An employment contract can be written or oral, but it should be in Arabic, with a translation for employees who do not read Arabic. Whatever its form, it cannot give less than the rights set by the Labour Code.
Probation cannot exceed 3 months, and either party can end the contract during probation without notice or indemnity. Fixed-term contracts, including renewals, are limited to 2 years; a contract that continues beyond that becomes indefinite. Since the 2025 amendments, the Labour Code also expressly covers remote work.
Send Arabic and English contracts for e-signing, store them with NSSF registration documents on the employee's record, and track onboarding with task lists so nothing is missed on day one. Documents & e-signing →
This guide is general information to help you plan HR processes, not legal, tax or financial advice. Employment law and rates change regularly and awards, enterprise agreements and state rules may give employees more than the minimums shown here. Always confirm current requirements with the official sources or a qualified adviser.
Configure leave types, accrual rules and public holidays for Lebanon, keep employee records and contracts in one place, and run payroll with your own salary components. Want to know how IceHrm handles payroll calculations for Lebanon? Talk to us.
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