Default. Termination only on exhaustive statutory grounds, with notice and severance in most cases
Only where the nature of the work justifies a limited duration (seasonal work, replacements, projects).
Overtime paid at minimum 150% with strict daily and annual caps
3 days' written notice during probation
General directors, board members and statutory officers generally cannot be hired under the EOR model, nor roles requiring local licensing
No employer-side social security or payroll contributions; the employer's statutory cost is essentially the gross salary, acting only as withholding agent
5% funded-pension contribution up to AMD 500,000/mo (10% on the excess, capped), plus military insurance stamp duty and, from 2026, mandatory health insurance (~AMD 10,800/mo above AMD 200,000). Flat 20% income tax applies separately.
In addition to statutory leave, employees are entitled to the following statutory benefits:
Armenia has no employer social contributions; state benefits are financed from the general budget and employee-side payments, covering:
There is no separate workers' compensation scheme; employers are directly liable under the Labor Code to compensate employees for work-related injury or occupational disease.
Severance depends on the ground of dismissal: redundancy or liquidation triggers one month's average salary, while other statutory grounds carry severance from 10 to 44 times the average daily wage depending on length of service.
A 13th-month salary is neither mandatory nor customary in Armenia; performance bonuses are purely contractual.
Your employee's hours, time off, holidays, bonuses, and commissions are automatically calculated into payroll. RemoFirst will invoice you in either US Dollars (USD), Euros (EUR), British Pounds (GBP), Canadian Dollars (CAD), Australian Dollars (AUD), or Singapore Dollars (SGD) around the 15th of each month to make sure your employees are paid on time. To make it even easier, you can summarize your entire global team's salaries to aggregate them into one payment (instead of many individual payments).
Unlike full-time employees, contractors work on projects with multiple companies at a given time and are technically self-employed. Full-time employees are solely focused on their employer and usually receive benefits (such as health insurance, equity or stock options, and time off) as an additional form of compensation. While it can be cheaper to work with international contractors instead of paying benefits to a full-time employee, you run the risk of misclassification. It's recommended to work with an EOR for contractor onboarding and payments, so you can know that your international contractors are paid compliantly and on time.
Whenever the employee or employer has a question about, or anything else related to international employment, they can speak with our customer support team to get answers from our team of experts.