Armenia

Armenia

Capital: Yerevan
Currency: Armenian Dram- AMD
AMD

Armenia Labor Law and Employment Policy Overview

Employment Law Overview

  • Key Laws and Regulations:
    • Labor Code of Armenia
    • Social Security Law
    • Tax Code
  • Legal Characteristics:
    • Aims to protect employee rights and promote a fair employment environment.
    • Regulates areas such as minimum wage, working hours, leave, severance pay, and social security benefits.

Employment Contract Requirements

  • Contract Types:
    • Fixed-term contracts (maximum 5 years)
    • Indefinite-term contracts
  • Contractual Terms:
    • Must include provisions on job description, remuneration, working hours, leave, and benefits.
    • Must be written in Armenian and use Armenian Dram.
  • Language and Currency:
    • Armenian
    • Armenian Dram (AMD)

Working Time Regulations

  • Standard Working Hours: 40 hours per week, 8 hours per day.
  • Rest Days and Breaks: Minimum of 24 hours of rest per week, including Sunday.

Leave Policy

  • Annual Leave: Minimum of 20 days of paid annual leave per year.
  • Public Holidays: 12 statutory public holidays.
  • Special Leave:
    • Sick Leave: Up to 120 days of paid sick leave per year.
    • Maternity Leave: 140 days of paid maternity leave, including 70 days before and 70 days after childbirth.
    • Paternity Leave: 5 days of paid paternity leave.

Employee Severance and Contract Termination

  • Notice Periods:
    • Employee Resignation: 30 days' notice.
    • Employer Termination:
      • Probationary period: 3 days' notice.
      • Less than 1 year of service: 14 days' notice.
      • 1 to 5 years of service: 35 days' notice.
      • 5 to 10 years of service: 42 days' notice.
      • Over 10 years of service: 60 days' notice.
  • Severance Pay:
    • Severance pay amount depends on termination reason and years of service.
    • Minimum severance pay is one month's average salary.
    • Maximum severance pay is 44 times the average daily wage.
  • Unfair Dismissal Protection:
    • Employers cannot dismiss employees arbitrarily.
    • There must be valid reasons, such as poor performance or business needs.

Tax Laws

  • Personal Income Tax:
    • Salary RangeTax Rate
      0 - 30,0000%
      30,000 - 45,00010%
  • Social Security Contributions:
    • Employee: 5% to 10% of monthly income.
    • Employer: 1.5% of monthly income.

Health Insurance

  • Insurance Policy:
    • Healthcare is state-funded, and employers are not required to provide private health insurance.

Compensation and Benefits

  • Minimum Wage: AMD 75,000 per month.
  • Salary Structure:
    • Base salary
    • Bonuses
    • Allowances

Work Permits and Visas

  • Permit Requirements:
    • Foreigners require a work permit to work in Armenia.
  • Application Process:
    • Applicants must submit an application to the Armenian Migration Service.
    • Application must include an employment contract, passport, and visa.

Confidentiality and Non-Compete Clauses

  • Enforceability:
    • Confidentiality and non-compete clauses are enforceable in Armenia.
  • Common Provisions:
    • Confidentiality clauses: Prohibit employees from disclosing confidential information.
    • Non-compete clauses: Restrict employees from working for competitors for a certain period.

Training and Development

  • Legal Requirements:
    • Employers must provide safety training and skills development training to employees.
  • Government Support:
    • Government provides funding and incentives to support employee training.

Workplace Diversity and Inclusion

  • Legal Requirements:
    • Discrimination based on race, gender, religion, or other protected characteristics is prohibited.
  • Enforcement Measures:
    • Employers must establish policies and procedures to prevent discrimination.

Remote Work Policy

  • Legal Framework:
    • Remote work is legal in Armenia.
  • Tax and Insurance Implications:
    • Tax and social security implications of remote work depend on specific circumstances.

Authoritative Website Addresses

1.Armenia Labor Law and Employment Policy Overview
1.1Employment Law Overview
1.2Employment Contract Requirements
1.3Working Time Regulations
1.4Leave Policy
1.5Employee Severance and Contract Termination
1.6Tax Laws
1.7Health Insurance
1.8Compensation and Benefits
1.9Work Permits and Visas
1.10Confidentiality and Non-Compete Clauses
1.11Training and Development
1.12Workplace Diversity and Inclusion
1.13Remote Work Policy
1.14Authoritative Website Addresses