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Employer of record in Palau

17 sourced figures on hiring in Palau, drawn from 6 sources and normalized for comparison: statutory rules, employer cost and exactly what an EOR covers locally. Every figure is dated.

ISO PWRegion OceaniaCurrency USDLanguages English, PalauanVerified 2026-09-17

Hiring here: straightforward, inexpensive to employ, and fast to hire via EOR.

cost of employment
LOW
9.5% employer social security, 12% corporate tax
ease of exit
EASY
None severance, None notice
speed to hire
DAYS
6 EOR providers, from $399/mo
Employer burden rank
statutory employer burden: cost, severance, notice
#157 of 192
Each band is derived from the 17 sourced fields below and recomputed on every refresh. See the methodology.
Statutory snapshot

Employer of record in Palau: the statutory snapshot

The headline employer costs, pay floor and worker protections for hiring in Palau through an employer of record, each figure sourced and dated. 6 EOR providers cover Palau.

Minimum wageUSD 883/moILOSTAT, 2024-01-01
Employer social security9.5%National government, 2026-09-12
Corporate tax12%National government, 2026-09-12
Notice periodNoneWorld Bank Employing Workers / B-READY, 2019-05-01
SeveranceNoneWorld Bank Employing Workers / B-READY, 2019-05-01
Public holidays11Nager.Date (open public-holiday dataset), 2026-01-01
Maternity leavePaid leave available to mothers, incl. mother-eligible parental leaveNoneWorld Bank Women, Business and the Law, 2026-02-23

As of 2026-09-17. Each value is the winning figure from primary and harmonized sources, resolved by a documented priority chain. Full record with provenance below.

Where to start

Three ways to hire in Palau

Own entity

You are the employer. Lowest per head cost at scale, months to establish.

Best for large, permanent headcount.
EORfastest

You direct the work, the provider's local entity is the employer on paper. Compliant in days.

See the 6 providers below ↓
Best for 1 to 50 hires, for speed, or to test a market.
Contractor

Not your employee. Fastest and cheapest, with misclassification exposure.

Best for genuinely independent, short term work.
Compare entity setup cost against EOR fees for Palau →

The full record

Every figure behind the snapshot

Not a guide, a record: 17 figures for Palau from 6 sources, last refreshed 2026-09-17. Each value carries its source and the date it was pulled. Hover any provenance tag for the full chain.

employment & pay3 fields
Minimum wage
USD 883/mo
ILOSTAT · 2024-01
Average monthly wage
USD 1,042/mo
ILOSTAT · 2023-01
Actual weekly hours
41 hrs/wk
ILOSTAT · 2020-01
cost & taxes5 fields
Employer social security
9.5%
National government · 2026-09
Employee social security
9.5%
National government · 2026-09
Corporate tax
12%
National government · 2026-09
Top income tax rate
12%
National government · 2026-09
VAT / GST
10%
National government · 2023-01
termination2 fields
Severance
None
World Bank Employing Workers / B-READY · 2019-05
Notice period
None
World Bank Employing Workers / B-READY · 2019-05
leave3 fields
Maternity leavePaid leave available to mothers, incl. mother-eligible parental leave
None
World Bank Women, Business and the Law · 2026-02
Paternity leavePaid leave available to fathers, incl. father-eligible parental leave
None
World Bank Women, Business and the Law · 2026-02
Public holidays
11
Nager.Date (open public-holiday dataset) · 2026-01
labour market4 fields
Inflation
-0.42%
World Bank Open Data · 2025-01
GDP per capita
$19,532
World Bank Open Data · 2025-01
GNI per capita
$19,890
World Bank Open Data · 2025-01
Retirement age
60 yrs
National government · 2026-09
Salary by occupation

Average monthly earnings in Palau by occupation (2023)

Gross monthly earnings of employees per ISCO-08 major occupation group, in USD — the official ILOSTAT survey figures, not estimates. Use them to sanity-check an offer before an EOR quote turns it into total employer cost.

Occupation groupMonthly (USD)≈ USD
All occupations1,042$1,042
Managers · ISCO 11,495$1,495
Professionals · ISCO 21,358$1,358
Technicians and associate professionals · ISCO 31,331$1,331
Clerical support workers · ISCO 41,080$1,080
Service and sales workers · ISCO 5805$805
Skilled agricultural, forestry and fishery workers · ISCO 6459$459
Craft and related trades workers · ISCO 7842$842
Plant and machine operators and assemblers · ISCO 8944$944
Elementary occupations · ISCO 9654$654

Source: ILOSTAT (EAR_EMTA, employees, both sexes), reference year 2023. Survey earnings differ from statutory minimums above.

// recent updates

What changed in Palau

Checked against official sources on 17 September 2026

No rule changes recorded since we began logging them.

Every figure is sourced and dated. How we verify the data →

The differentiator

What an EOR handles in Palau

An EOR removes the entity and the payroll machinery. It does not remove your obligations as the people manager.

obligationeor coverswhat that means for you
Legal employer of record● fullThe EOR's local entity is the employer on paper. No entity setup required.
Payroll, tax & social security● fullGross-to-net, statutory withholding and employer contributions remitted locally. Employer social security here is 9.5%.
Compliant local contract● fullDrafted to local labour law and language requirements. Here there is no statutory notice period and the wage floor is USD 883/mo.
Statutory leave & public holidays● fullAccrual, tracking and payment run through the local payroll the EOR operates. 11 public holidays and None maternity leave.
Statutory severance on exit● partialThe EOR computes and processes it, but the cost is billed to you (often pre-funded). There is no statutory severance here.
Termination decision & risk● partialThe EOR runs the legal process; the business reason, timing and exposure stay yours.
Work permits / visas (foreigners)● partialSome providers sponsor, many don't. Confirm per provider in the table below.
Performance management● noneDay-to-day direction, reviews and PIPs are entirely on your side.
Equity / ESOP administration● noneCross-border equity handling sits outside standard EOR scope.

Provider × country

Who can employ in Palau

6 providers operate an EOR in Palau, ranked by Select Score.

providerfrom / moselect score
Pebl (formerly Velocity Global) logoPebl (formerly Velocity Global)SELECT PICK$399/mo80
Remote logoRemote$699/mo76
Globalization Partners logoGlobalization Partners$599/mo75
Borderless AI logoBorderless AI$579/mo71
Lano logoLano€499/mo66
Teamed logoTeamed$599/mo66
6 providers operate an EOR in Palau, ranked by Select Score. Price is each provider’s lowest published EOR rate (global, not country-specific).
Scored by the EOR Select rating systemSee the methodology →Built and maintained by Robbin SchuchmannUpdated 2026-09-17

Comparing EOR options for Palau?

Run a side-by-side on the providers that actually operate there.

Open the matrix →