Georgia is a country in eastern Europe bordered by Russia, Turkey, Armenia, Azerbaijan, and the Black Sea.
The countryâs landscape is diverse as it boasts hot springs, sulfur baths, and the Caucasus mountains, along with castles, cathedrals, and other relics from the medieval ages. Georgia has a growing economy with an increasing number of skilled professionals, making it a smart target for expansion.
Employment can be established on a permanent or fixed-term basis.
Fixed-term contracts are automatically turned into open-ended employment contracts if:
Note: Â Contracts are considered consecutive if they are renewed within 60 days of the previous contract expiring.
If the duration of an employment agreement is more than 30 months, or if employment has continued on the basis of concluding fixed-term employment agreements on 2 or more consecutive times and the duration of said labor relations exceeds 30 months, an open-ended contract shall be deemed to have been concluded.
There are no job title restrictions when hiring in Georgia under the EOR model.
The standard working week in Georgia consists of 40 hours a week, typically 8 hours per day for a 5-day working week. The working week can be increased to 48 hours per week in specific sectors. A record of working hours should be maintained unless it is impossible to do so due to the specific nature of the work.
Employers must ensure that every employee has a minimum uninterrupted rest period of 24 hours within each 7-day period. By mutual agreement, an employee may have two consecutive 24-hour rest periods within a maximum of 14 days.
Breastfeeding Breaks:
Employees breastfeeding infants under 12 months old may request an additional break of at least 1 hour per day. Breaks for breastfeeding are considered part of working time and are paid.
Employees are limited to 2 hours of overtime per day and 4 hours per week. Overtime hours are compensated at a rate of 125% of the regular salary or can be offset with additional time off.
In Georgia, the national minimum wage is dependent on the employer contract/collective bargaining agreement in place. There is no statutory requirement for the federal minimum wage.
In Georgia, a 13th-month salary is not mandatory, however, the employer can pay bonuses at their discretion.
The probationary period in Georgia should be stipulated within the employment agreement and must not exceed 6 months.
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Personal income is subject to a flat tax rate of 20%.
Employers are mandated to contribute towards pension insurance, at a rate of 2%. However, the pension contribution is not applicable for workers whose permanent residence is not in Georgia.
Once an employee has completed 11 months of service with an employer, they are entitled to 24 days of paid leave annually, with a vacation benefit equivalent to 1 monthâs salary paid 3 months before the annual leave. Employees are also entitled to take 15 unpaid days off work every year.
Employers in Georgia must provide regular salary during temporary incapacity for up to 40 consecutive calendar days or a total incapacity period not exceeding 60 calendar days within a 6-month period. To receive payment during leave, employees must obtain a sickness certificate from an authorized medical physician startingfrom the first day.
Mothers are entitled to 126 days of pregnancy and childbirth leave or 143 days in case of complications or the birth of twins. Employees receive 100% of their daily wage (up to a total of 2,000 GEL). Post-pregnancy, mothers can take up to 604 days off work to care for newborns.
Paternity leave is covered in the parental leave policy.
57 days can be taken from an employeeâs maternity leave and put towards childcare/parental leave. This can be used by either the mother or father. Upon the employeeâs request, the employer may grant an employee an additional 2 weeksâ leave per year to care for a child under 5 years old.
Care Leave: Parents with a disabled child can take an additional day off work each month until the child reaches the age of 18. This leave is compensated based on the minimum wage.
Childcare Leave: Both mothers and fathers have the opportunity to take paid leave, with payment equivalent to the minimum wage. The duration of this leave varies based on the age of the child:
Adopterâs Leave: Individuals who adopt a child under the age of 10 are entitled to paid leave, calculated based on the employee's average salary.
There are 17 public holiday days in Georgia per year.
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Employers in Georgia can typically offer the following benefits:
The notice period for both an employer and employee is 30 calendar days. No notice is required during the probation period. Notice must be given in writing.
An employee is entitled to at least 1 or 2 monthsâ salary as severance pay upon dismissal; the exact rate of pay will depend on the termination reasoning. If employment is terminated by the employer, unused leave proportionate to employment duration should be paid out in the final salary payment.
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