The law regarding the employment of foreign citizens is established by article 19 of the Codigo de Trabajo. It states that, for companies with fewer than 25 employees, there are no limits to the amount of foreigners they employ. For companies with more than 25 employees, 85% of the workforce must be Chilean.
Foreigners must have a temporary work visa or permanent residency to work in Chile; they may not work on a tourist visa or on any temporary residency visa that is not expressly for work. See The LegalFacil Guide to Immigration Law in Chile for more information on how to obtain a temporary work visa or permanent residency.
If a foreigner is offered a job before she has the necessary visa, the contract must stipulate that work will officially begin when the visa is acquired.
If a foreigner comes to Chile for the express purpose of working for a certain company, that company must pay for the employee’s trip back to her home country upon completion of the contract.
As we discuss the The LegalFacil Guide to Tax Law in Chile, foreigners must pay income tax on their Chilean income during their first 3 years of residency, after which they must pay income tax on their worldwide income. They may apply for an extension of those 3 years with the SII.