Uruguay EOR & PEO
Hire in Uruguay without a local entity today
As a Global EOR & PEO service provider, we pride ourselves on our global reach, in-country knowledge, and ability to swiftly and efficiently mobilize workers around the world. Our robust EOR/PEO covers everything from global HR, payroll, compliance, in-country support, immigration, visas, and more.
Get started and hire in Uruguay today with Gibson Watts Global.
DID YOU KNOW
- Uruguay is the only country in Latin America where more than 90% of the population has access to the internet, making it one of the most digitally connected nations in the region.
- The country is known as the “Switzerland of South America” due to its stable democracy, low corruption, and high quality of life.
- Uruguay has a strong renewable energy sector, generating nearly 98% of its electricity from renewable sources, including wind, solar, and hydropower.
Forget software,
this is expansion
with a human touch
Uruguay EOR Services
A Gateway to South America’s Stable and Progressive Workforce
Uruguay offers a highly stable business environment, supported by strong legal frameworks, transparent governance, and a skilled workforce. With progressive labor laws, a growing economy, and attractive incentives for foreign businesses, Uruguay is increasingly becoming a destination for international companies looking to expand in South America.
However, navigating local employment regulations and compliance requirements can be complex. Partnering with Gibson Watts Global as your EOR in Uruguay simplifies this process. We manage payroll, benefits, taxes, and regulatory compliance, allowing you to focus on growing your business while remaining fully compliant with Uruguayan labor laws.
Working in Uruguay
Financial Year Dates
Uruguay’s financial year runs from January 1st to December 31st.
Minimum Wage
As of 2025, the minimum wage in Uruguay is UYU 23,604 per month (approximately $867 USD) for a standard 44-hour workweek.
Standard working hours
The standard workweek is 44 hours, usually split across five or six days. Most businesses operate 8–9 hours per day.
Overtime
Overtime is compensated at 1.5 times the normal hourly rate. Work on holidays or non-working days is paid at 2 times the standard rate.
Holiday Allowance
In Uruguay, employees are entitled to 20 days of paid annual leave after completing their first year of employment. This can increase by one day for every four years of service, up to a maximum of 25 days. Employees also receive a “vacation salary,” equivalent to their daily wage, in addition to their regular pay during leave.
Sick Leave
In Uruguay, employees are entitled to up to one year of sick leave, which is compensated by the employer for the first three days at 100% of their salary.
Maternity & Paternity Leave
Female employees are entitled to 14 weeks of paid maternity leave, with 6 weeks before the birth and 8 weeks after. Paternity leave for fathers is 13 days, paid by the employer for the first three days and by social security for the remaining ten.
Public Holidays
- New Year’s Day
- Children’s Day
- Carnival
- Maundy Thursday
- Good Friday
- Landing of the 33 Patriots
- Labour Day
- Battle of Las Piedras
- Artigas’ Birthday
- Constitution Day
- Independence Day
- Day of the Americas
- All Souls’ Day
- Family Day
Social Contributions
The Uruguayan social security system (SSSU) covers the risks of disability, old age and survival (risk IVS) as well as the risks of unemployment, common illness, maternity, work accidents, occupational diseases and family responsibilities
Income Tax
Personal Income Tax
- Residents: Progressive rates from 10% to 36% on worldwide income.
- Non-residents: Flat 25% on Uruguayan-sourced income.
Health Care
Uruguay has a mixed public-private healthcare system that is considered one of the best in Latin America, with a strong emphasis on universal access. The system is based on the principle of health as a universal right and the responsibility of the state.
Visas
In Uruguay, there isn’t a standalone “work visa.” Instead, foreign nationals seeking to work must obtain a residence permit that includes work authorization. This permit allows them to both live and work in Uruguay.
13th salary?
Yes, Uruguay mandates a 13th-month salary called the Aguinaldo, typically paid in two installments (June and December). It is based on the highest monthly salary of the year and is subject to social security and income tax. Learn more with our 13th salary guide.
Cultural Information
Uruguay has a rich cultural heritage blending indigenous and European influences. It is famous for tango and candombe music and maintains a vibrant arts and literature scene. Football is a central part of life, with Uruguay being historically successful internationally.
Uruguayan cuisine includes asado (barbecue), chivito (steak sandwich), and empanadas. The country values its traditions, festivals, and arts, making it an appealing location for foreign employees.