Cote d'lvoire: New Local Content Plan and Hiring Regulations for Oil and Gas Employers

The Ivory Coast has implemented a new regulation mandating companies in the oil and gas sector to hire 50-90% Ivorian national employees for upstream activities (materials needed for production); and 75%-95% Ivorian national employees or downstream activities (oil and gas production). Additionally, before it can hire a foreign national in senior management position, the company must first meet local worker ratio requirements. All the above-referenced ratios depend on the number of years the company has operated. Previously, there were no specific hiring ratios for companies. Additionally, the Hydrocarbons Administration must now grant subcontractors, service providers and supplier of goods in the oil and gas sector a three-year renewable approval before commencement of activities and grant all companies intending to hire foreign workers a three-year renewable authorization before the company can apply for a work permit. Companies with contracts and agreements already in place must comply with this new rule by January 28, 2024 to avoid fines and penalties. Moreover, there are now certain positions that are exclusively reserved for Ivorian nationals (key positions include translator; Health, Safety, and Environment agent; human resources officer; geologist; computer scientist). Furthermore, all oil and gas companies must submit a local content plan to the Ministry of Hydrocarbons, which must be updated each year, with a related budget for the duration of the activities and a training plan for Ivorian staff. New oil and gas companies must submit the local plan within 30 calendar days of the commencement of activities. Lastly, all foreign companies must provide funding to at least one Ivorian university or training institute. These rules have been implemented as part of the government’s efforts to impose more uniform immigration-related legislation and stricter enforcement practices for companies with foreign nationals in the country as well as to encourage the hiring of locals.