Employer in Solomon Islands

Employer responsibilities in Solomon Islands arise from labour laws, administrative requirements and workplace arrangements. The Labour Division provides advice and enforcement through units dealing with employment services, industrial relations, occupational safety and health, labour inspection, prosecution and trade training. The Employment Services Unit supports job placement, localization and manpower planning and can conduct consequential inspections. The national trade training and testing service, known as NTTT, supports trade training, testing and apprenticeships together with the Labour Apprenticeship Board. The Labour Advisory Board provides a tripartite interface between government, employers and workers. SICCI is a private-sector peak representative organisation, while registered trade unions and the Trade Disputes Panel provide channels for representation and disputes. The Labour Division is headquartered in Honiara. The Solomon Islands National Provident Fund has branches in Auki and Gizo, and the available national rules do not establish a separate employer regime for another province. An employer recruiting a non-citizen or non-indigenous worker applies for a work permit. The currently posted fees are SBD5 for the form, SBD200 for the application, and SBD150 to SBD1,100 for approval depending on a permit duration from under 3 months to under 24 months. An appeal or variation costs SBD500. Recruitment planning also considers localization and local skills development, so the employer should assess whether suitable local skills are available and whether training is needed. Where an employer has at least 1 employee, the employer provides written employment terms and gives the employee a copy or access to the terms within 1 month. The Labour Division provides an official Contract of Employment form. The terms cover the parties, start date, remuneration and payment, working hours, holidays and passages, sickness or injury, notice, discipline and housing. Failure to comply can lead to a fine of SBD1,000, imprisonment for up to 6 months, or both. The Labour Act generally limits normal working time to 45 hours per week. In industrial and agricultural work, the daily limit is generally 9 hours. A worker receives at least a 30-minute break after more than 6 hours, may not normally be required to remain at work for more than 12 hours in a day, receives at least 24 hours of weekly rest and normally works no more than 6 days in a week. Overtime is generally paid at 1.5 times the ordinary rate, and work on a public holiday at twice the ordinary rate. The Commissioner of Labour's approval is needed for work beyond 45 hours, subject to a maximum of 57 hours per week or 228 hours per month. The employer displays start and finish times, shifts, breaks and rest periods. The payroll register records the employee's name, recruitment place, work, wage, rations, earnings, advances, deductions, net amount due and amount paid, including bonuses. Monthly wages are paid no later than 7 days after the end of the wage period, and wages due on termination are paid on the termination day. From 1 August 2019, the minimum wage is SBD8 per hour in all other sectors and SBD7.20 per hour in agriculture, plantations and fishing nationwide. A breach can attract a SBD500 fine plus SBD20 for each continuing day. The Solomon Islands National Provident Fund, abbreviated as SINPF, receives employer and employee contributions. The employer registers the business within 14 days after starting business and registers each employee within 14 days after employment starts. The rules cover attached, casual, temporary, contract and permanent employees. The contribution trigger generally applies when an employee works at least 6 days and earns at least SBD20 in a month. The total monthly contribution is 12.5% of gross salary: 5% is deducted from the employee and 7.5% is paid by the employer. The employer submits the monthly EDI schedule and payment, pays a late surcharge of 2% per month, and completes the required termination certificates or forms. Occupational safety and health, commonly abbreviated as OSH, applies to all workplaces and covers full-time, part-time, permanent, temporary and casual workers, home-based workers, volunteers, work-experience students and apprentices. The employer protects health, safety and welfare so far as reasonably practicable by providing safe premises and work systems, controlling machinery and substances, giving information and instruction, providing training and supervision, supplying personal protective equipment and protecting contractors and the public. The workplace must be free from discrimination, harassment, bullying and violence. The employer develops a written OSH policy, assigns senior accountability, consults workers and representatives, and identifies hazards, assesses risks, applies controls and evaluates them. OSH training is provided without charge and, where needed, during working time. Breaches can lead to a fine of up to SBD1,000, imprisonment for up to 1 year, or both. The employer is liable for work injuries and occupational diseases, including injuries connected with employer transport or business travel. When an accident causes more than 3 days of absence, the employer reports it to the Commissioner of Labour using LAB WCA1 within 7 days. A prescribed disease identified within the 12 months before disability is reported within 7 days. A death is reported using LAB WCA5 and, where applicable, LAB WCA1. LAB WCA3 is used for claim calculation. The stated settlement target is 3 months; refusal of a claim can lead to court proceedings. Employment Act liability insurance requires at least SBD120,000 per occurrence and SBD12,000 per employee per occurrence unless a higher amount is prescribed. Workers can organise through registered trade unions under the Trade Unions Act. The statutory definition of a trade union covers more than 6 persons, and an employer-side union can exist where no more than 6 employers in a trade or business join together. Recognition for collective bargaining, collective agreements, consultation, strikes and lock-outs is regulated under the Trade Disputes Act. The Labour Division promotes association, bargaining, voluntary negotiation, conciliation, mediation and arbitration. SICCI can represent private-sector employer interests, but it does not replace the employer's legal duties. The Industrial Relations Unit deals with industrial relations, casual employment, holidays, sick leave, passages, redundancy, dismissal and discipline. A dispute can be referred in writing to the Trade Disputes Panel by identifying the claimant, the parties and the issue. The panel's scope includes terms and conditions, physical working conditions, engagement or non-engagement, termination or suspension, work allocation, discipline, union membership, negotiation, consultation and recognition. The employer keeps records of the contract, hours, pay, safety measures and communications so that the facts can be checked during conciliation, mediation, arbitration or another formal process. Redundancy can arise when the business ceases or intends to cease, relocates, or needs fewer workers. After at least 26 weeks of continuous employment, the employer may owe redundancy compensation calculated as PE × 1/26 × BW, subject to a maximum of BW × 65. The available rules exclude compensation where the employee is aged at least 50, termination is based on misconduct, or the employer offers suitable written renewal or re-engagement within 4 weeks. The employer gives a written calculation statement. The available national material identifies no separate subsidy for organisational change; localization and manpower planning remain relevant through the Employment Services Unit.