Employer of record in Bolivia

We make it easy and smooth to expand your business into Bolivia. Forget dealing with local regulations, confusing tax laws, and international payroll management. We take care of all that, so you don't have to.

Accelerate your growth into Bolivia
compliantly and hassle-free

At Serviap Global, we handle all employee onboarding, payroll, compliance, risk, mitigation and benefits, so you can focus on what matters most: your business.

How we can help you expand in Bolivia

As your EOR in Bolivia, we’d help you expand by hiring employees and running their payroll without establishing a local branch office or subsidiary. 

Your candidate is hired by a PEO in Bolivia provider in accordance with local labor laws and can be onboarded in days instead of the months it typically takes. Shortly after, your new employee will be working for you, just like any other team member.

Expand to Bolivia with Serviap Global

Through our PEO and EOR services, you can hire qualified talent in your industry without the trouble of opening your own legal entity. 

In just a few days, you can quickly and safely build a presence in Bolivia, ensuring your staff will be hired in compliance with labor and tax regulations.

Table of contents

Quick facts

Boliviano (BOB)


Payroll Cycle:


The economy

Politics has played a huge role in holding back the Bolivian economy, but that changed in recent years. In 2006, the country’s nominal GDP was US$11.5 billion, and it increased all the way to US$41 billion in 2019. In 2016, the country had the world’s highest proportional rate of financial reserves, making it a very stable country.

Since the 1980s, the country’s government worked to stabilize prices, in wake of a major blow the economy experienced after the price of tin plummeted. The country has a large natural gas reserve and is a major exporter of the material.

The importance of small and medium-sized companies

Small and medium-sized enterprises (SMEs) are extremely important to the Bolivian economy. In fact, SMEs employ roughly 83% of the country’s total workforce, and contribute 26% of the country’s Gross Domestic Product. SMEs are particularly crucial to the agricultural industry, where they employ more than 30% of its workforce and are responsible for 14% of the GDP.

Population characteristics

The Bolivian population has exploded in the last 50 years. In that time, the population has more than tripled, with the population growth rate sitting at 2.25%. Most of the people in the country (67.49%) live in urban areas of the country. Roughly 70% of the population is concentrated in the Cochabamba, Santa Cruz and La Paz departments.

The population is generally considered young, with 59% between the ages of 15 and 59, and 39% younger than 15. In fact, roughly 60% of the total population is 25 years old or younger.

Key sectors of the national economy

Bolivia has one of the fastest-growing economies in all of South America. Under the former Morales administration, the GDP averaged a growth of 5% per year. In addition to large natural gas reserves, Bolivia is a major exporter of lithium. In fact, it has 5.4 million cubic tonnes of it, representing between 50% and 70% of the reserves for the entire world. The government has hesitated to mine for it yet, though, as it would disturb the country’s salt flats.

Tourism is also a very important industry.

Human talent

The Bolivian government has worked hard to ramp up education of all its residents. They are particularly focused on increasing education in the country’s natural resources as well as STEM fields (science, technology, engineering and math). In fact, they made it part of their Agenda 2025.

La Paz

La Paz is home to 18 universities, offering multiple degrees in systems engineering and computer science. In the last six years, the department has produced roughly 200 new engineers every year.

Technological ecosystem

Bolivia has become a major player in nearshoring, especially for software development. There are more than 10,000 software development engineers in the country for its relatively small population of 11 million. The country has worked to beef up its technology infrastructure to support further growth.

Facilities for foreign investment

Over the last 13 years, Bolivia has achieved reduced poverty levels, inequality and illiteracy, while also boosting connectivity levels. These technological advances and many tech hubs that are popping up make nearshoring to this country very attractive. 

Bolivia gastronomy: regional and traditional cuisines

Potatoes are huge in Bolivia. In fact, there are more than 200 different varieties of the vegetable, which is why you’ll find it in a lot of dishes. That, and their meat, is of much higher quality than a lot of other surrounding countries, so you’ll eat a very varied menu. The influences here come from Spanish cuisine, along with some influence from Arabs, French, Italians and Germans–all of which arrived in the country as immigrants over its history.

General highlights



States / provinces


Principal cities

Santa Cruz, El Alto, La Paz, Cocha, Oruro, Sucre, and Tarija



Local currency

Boliviano (BOB)

Date format


Thousands separator format


Country dial code


Time zone

BOT (UTC -4)


12.22 million (2022)

Border countries

Brazil, Argentina, Paraguay, Peru, and Chile

Continental surface

1,098,581 km2

Fiscal year

January 1st –December 31st (banks and commercial)

April 1 st –March 31 st (industrial, oil, gas)

October 1 st –September 30th (mining)



Minimum wage

BOB$2,250 per month, plus Christmas bonus equal to one month’s pay

Tax payer identification number name in the country

Numero de Identificacion Tributaria (NIT)

What you need to know about employing personnel in Bolivia

Laws that regulate labor relationships

LawsBrief description
The Political Constitution of the StateThe overarching document that outlines all rules, regulations and laws for political and societal life in Bolivia.
Labor codeThe law that regulates all working activities in the country.
Tax codeThe law that regulates how individuals and corporations are taxed in the country.
Social securityThe law that dictates social services programs in the country.

Key tax and labor authorities 

The Ministry of LabourThe agency that oversees all work activities in the country.
Supportive social contributionEmployees and employers must contribute to the supportive social contribution, which covers various social services in the country.

Labor contracts

General labour lawThe law that outlines all working activities in the country.

Generally, employees and workers are hired under indefinite agreements.

Fixed-term agreements are acceptable in certain cases.

Work hours

Working hours can’t exceed 8 per day or 48 per week.

Ordinary daytime working hours: 6 a.m. to 8 p.m.

Night-time working hours: 8 p.m. to 6 a.m.

Basic requirements

Labour law dictates all labor agreements have to be approved by the Ministry of Labour. The employer has to provide the Ministry with:

  • Employees on the monthly payroll, which is submitted periodically to both the Ministry and social security entities
  • Any affiliate employees to the social security entities

Contracts must be in writing and contain:

  • Name of all parties
  • Nationality, age, domicile and civil status of the employee
  • Nature of the work
  • Amount and period of payment, as well as its method
  • Duration of the contract
  • Place of work
  • Employee’s heirs


Wages must be paid by the end of each month. There is no law dictating how the wages must be paid.

Legal benefits in Bolivia

● Vacation leave
● Sick leave
● Maternity leave
● Retirement
● Common risk insurance
● Solidarity pensions
● National solidarity

Minimum wageBOB$2,250 per month
WagesAll wages must be paid by the end of the month. There aren’t any restrictions on how the payment must be made (by cash, check, wire transfer or deposit).

Employees working overnight shifts must be paid at an increase of 25% to 50% of the normal salary, depending on the situation and sector.

No employee can work more than 2 overtime hours per day. All overtime hours must be paid double the normal rate. The same applies to all public holidays.

Any work on Sunday must be paid at triple the normal rate.

Rest breaks

No employee can work for more than 5 hours in a row. Any employee who does so must be given a break of 2 hours at the least.

Night workers get a break after 3.5 hours of continuous work.

Vacations or PTO

All employees are entitled to paid holidays annually, after they reach one year of service.

1-5 years of service: 15 working days off

5-10 years: 20 working days off

10+ years: 30 working days off

Employees have the right to paid absences for the following things:

Employees can get paid time off for an injury or illness as long as they provide the employer with a certificate showing they can’t work. This is paid as long as the employee goes through the public social security system.

Employers contribution or labor cost

Employers are subject to taxes and other costs for having employees. Employers cannot recover these costs.

Annual taxable income

Over this amountTax %

Corporate tax rates

DescriptionTax rate
Base rate25%
Financial institutions and insurance companies with return on equity index greater than 6%Additional 25%
Mining companies carrying out exploitation activities12.5%
Mining companies carrying out manufacturing activities7.5%

Types of disabilities

Employees can get compensated for injury or illness that prevents them from working as long as they go through the social security system. If they seek to go through a private provider, then expenses will only be reimbursed if it’s an emergency and if they follow the proper procedure for reimbursement.

Maternity leave

Females are entitled to 45 days of leave that is fully paid, both before and after delivery, for 90 days. During the first year of the child, they must give the mother one hour each day for breastfeeding, subject to the schedules set by the employer. This hour has to be outside of the two-hour rest break window they’re entitled to.

Social security law also gives both pregnant employees and their spouses a prenatal subsidy starting at the fifth month of pregnancy, and also a nursing subsidy that lasts until the child turns one-year-old. These are both paid for by the employer.
You also cannot terminate a female employee and their spouse during the first year of their child’s life.

Public holidays

The Labour Law provides for public holidays that are observed in Bolivia:

DateHoliday name
January 1New Year’s Day
January 22Plurinational State Foundation Day
February 28-March 1Carnival
April 15 (changes every year)Holy Friday
May 1Labour Day
June 21Willkakuti
August 6Independence Day
November 2All Souls Day/Day of the Dead
December 25Christmas Day


The Labour Law outlines rules for termination of an employment contract:

Type of terminationBrief description
No causeThere’s no mandatory notice period for termination, whether the dismissal is justified or not.

Example: for cause

Article 16

Employers can terminate employees for cause based on the following factors:

●       Intentional material prejudice

●       Disclosure of industrial secrets

●       Omissions or imprudence related to industrial security and hygiene

●       Theft or robbery

●       Breach of employment agreement, either total or partial

Severance pay grades for employees who accept an unjustified dismissal are based on the following table.

Length of employmentSeverance amount
Each year workedOne month’s salary

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