Gibraltar (GI)
A unique British Overseas Territory at the tip of the Iberian Peninsula: English-speaking, tax-efficient (no VAT, no CGT, no inheritance tax), with a Mediterranean climate, 300 days of sunshine, and the world-famous Rock of Gibraltar.
Employment Rights
Sick leave, dismissal protection and red flags in Gibraltar.
Gibraltar employment law is governed primarily by the Employment Act 2006 (as amended), providing comprehensive protections broadly equivalent to UK employment law. Key rights include: protection from unfair dismissal (after 1 year's service), minimum wage (£9.50/hour from 1 July 2025 — Conditions of Employment (Standard Minimum Wage) (Amendment) Order 2025), statutory maternity/paternity leave, redundancy pay, written contracts, and notice periods. The Gibraltar Employment Tribunal handles employment disputes. The Department of Employment and Training (DET) oversees employment regulation. Gibraltar's workforce is characterised by financial services, iGaming, DLT/crypto, retail, and hospitality sectors.
Sick leave
Rules: Employers must pay full salary for the first week of sickness. From the second week, the Gibraltar Social Insurance Office (SIO) pays sickness benefit (£108.60/week, 2026). Most professional sector contracts offer enhanced company sick pay (full salary for 1–3 months). Employees are entitled to paid sick leave without it counting against annual leave entitlement.
Doctor note: Self-certification is accepted for up to 3 days. From day 4 onwards (and for any Monday absence), a medical certificate (sick note) from a GHA GP or registered doctor is required. Most employers require a sick note from the first day for absences exceeding 1 week.
Employer pay: Statutory: full salary for the first 7 days of any sickness period. Most professional contracts: full salary for 1–3 months. Financial services and gaming employers commonly offer 3–6 months at full pay. Check your individual employment contract for enhanced terms.
Long-term: After employer sick pay ends, the Gibraltar Social Insurance Office (SIO) pays sickness benefit: £108.60/week (2026). Qualification: must have paid sufficient SIO contributions. Duration: up to 52 weeks per sickness episode. For long-term disability: Incapacity Benefit may apply. Apply at the SIO, Europort, Gibraltar.
Dismissal protection
Law: Employees who have completed 1 year's continuous service are protected against unfair dismissal under the Employment Act 2006. Claims are heard by the Gibraltar Employment Tribunal. Constructive dismissal (where an employer's behaviour forces an employee to resign) is also covered. Automatic unfair dismissal (no qualifying period required): dismissal related to pregnancy, whistleblowing, trade union activity, or health and safety concerns.
Deadline to sue: 3 months from the date of dismissal to file a claim with the Gibraltar Employment Tribunal. Missing this deadline usually prevents a claim. Seek legal advice from a Gibraltar employment lawyer immediately if you believe you have been unfairly dismissed.
Probation
Standard probationary period in Gibraltar: 3–6 months (as specified in the employment contract). During probation, either party may terminate employment with shorter notice (typically 1 week or as stated in contract). After probation, full statutory notice periods and unfair dismissal protections apply. Financial services and regulated roles may have enhanced probation terms. Always review your contract carefully — extended probation (up to 12 months) is common in senior roles.
Notice periods
Statutory minimum: 1 week per completed year of service (minimum 1 week, maximum 12 weeks). Most professional contracts specify 1–3 months. Garden leave is commonly practised in financial services and sensitive roles. Redundancy notice: same statutory minimum periods apply. Payment in lieu of notice (PILON) is common in Gibraltar.
Working time
Max hours: Standard working week: 40 hours. Maximum 48 hours/week averaged over a reference period (Gibraltar's implementation of working time principles). Employees can agree in writing to opt out of the 48-hour limit — common in financial services and gaming.
Min rest: Minimum 11 consecutive hours rest between working days. Minimum 24 hours rest per week (or 48 hours per fortnight). Rest breaks: at least 20 minutes where working time exceeds 6 hours.
Overtime: Overtime pay is not legally mandated — rates are a matter of contract. Many financial services and gaming employers pay 1.5x or 2x for agreed overtime. Time off in lieu (TOIL) is common in professional roles. Check your employment contract for specific overtime terms.
Vacation
Minimum statutory entitlement: 25 days paid annual leave per year plus 12 public holidays (total 37 days minimum). Many Gibraltar employers, particularly in financial services, offer 28–30 days plus public holidays. Leave year typically runs January–December or April–March (as specified in contract). Unused leave: carry-over rules vary by contract — statutory leave must be taken within the leave year or by specific deadline. Sick days do not count against annual leave.
Anti-discrimination
Protected characteristics under Gibraltar law: race, nationality and ethnic origin; sex and gender; age (for workers over school leaving age); disability; pregnancy and maternity; religion or belief; sexual orientation; marriage and civil partnership. Employer must make reasonable adjustments for disabled employees. Complaints: file with the Gibraltar Employment Tribunal within 3 months of the discriminatory act. The Department of Employment and Training (DET) can also advise on discrimination complaints.
Contract red flags
- !No written employment contract provided within 2 months of starting (required by law)
- !Contract states pay below £9.50/hour (Gibraltar minimum wage from 1 July 2025, per the Conditions of Employment (Standard Minimum Wage) (Amendment) Order 2025)
- !Annual leave entitlement below 25 days (statutory minimum)
- !Probation period exceeding 12 months without clear justification
- !No notice period specified or notice below statutory minimum
- !Restrictive covenants (non-competes) that are wider than reasonably necessary
- !Zero-hours contract without guaranteed hours where full-time work is expected
- !No provision for sick pay or reference to SIO sickness benefit
- !Employer claiming to deduct wages for breakages or cash shortfalls (illegal)
- !Contract signed by employer but no copy provided to employee (you have a right to a copy)
Employment Rights
Unlock the complete Employment Rights guide for Gibraltar — including every detail, document, tip and link you need.
Become a SupporterSupport the guide on Ko-fi · Unlocks every premium section, everywhere