Armenia, the country of Transcaucasia, lies just south of the great mountain range of the Caucasus and is at the front of the northwestern extremity of Asia. To the north and east, Armenia is bounded by Georgia and Azerbaijan, while its neighbors to the southeast and west are Iran and Turkey respectively. Armenia is a mountainous country characterized by a great variety of scenery and geologic instability. The average elevation is 5,900 feet (1,800 meters) above sea level. The main contributors to the economy are mining, information technology, and agriculture.

 

*Please note that the official currency is the currency of remuneration when employed through WorkMotion in Armenia.

Capital :
Yerevan
Currency :
Armenian Dram (AMD,֏)
Languages spoken :
Armenian
Population :
2.96 million (2021 est.)
Minimum wage 2022 :
AMD 68,000 per month
Cost of Living index :
$$ (109 of 139 countries)
Payroll Frequency :
Monthly
VAT - standard rate :
20%
GDP - real growth rate :
5.7% (2021 est.)

Statutory Holidays

The holidays mentioned below are valid for the year 2022.

 

Date
Holiday Name
Extra Information
January 1-4
New Year Holidays
January 6-7
Armenian Orthodox Christmas Holidays
January 28
National Army Day
March 8
International Women’s Day
April 18
Easter Monday
Movable
April 24
Genocide Remembrance Day
May 1
Labor Day
May 9
Victory & Peace Day
May 28
First Republic Day
July 5
Constitution Day
September 21
Independence Day
December 31
New Year’s Eve

Contract Sharing Time


The approximate time for sharing the contract with an employee in Armenia is 7 business days assuming no special requests or changes to our standard employment contract. Any such requests or changes would need to undergo internal and external review, directly leading to a time delay.

NOTE: This number is subject to change and is only an estimation of the Contract Sharing Time. The estimated Contract Sharing Time begins from the moment that WorkMotion has received all required information from both the client and the employee.

What You Need To Know


  • The employer does not pay any contributions towards social security.
  • Employees who work in hazardous work environments are entitled to a longer annual leave.
  • Employees who perform work in hazardous work environments are entitled to annual bonuses.

Labor Conditions


Working Hours

The standard working week in Armenia is 40 hours, composed of five eight-hour days.

 

Overtime

The maximum duration of working time, including overtime work, may not exceed 12 hours a day (including the break for rest and meals), and 48 hours per week. The overtime work, upon request of the employer, should not exceed four hours during two successive days, and 180 hours per year.

For each hour of overtime work, in addition to the hourly rate, an additional payment should be made, not less than 50% of the hourly rate. If overtime is performed during the night, the rate is not less than 30% of the hourly rate.

 

Probation Period

The duration of the probation period should not be more than three months, except for certain cases that are established in the labor legislation that can set the maximum time period of six months. 

Termination Notice Period

If the employee is not suitable for work, suffers long-term incapacity to work, or the employee attains the pensionable age, the employer may terminate an indefinite  employment contract by giving a notice period based on the following guidelines.

Employment DurationNotice Period
Up to 1 year14 days
1-5 years35 days
5-10 years42 days
10-15 years49 days
More than 15 years60 days

 

Leave / Time Off

Annual Leave

The duration of the minimum annual leave, in the case of the five-day working week, is 20 working days, and in the case of the six-day working week, is 24 working days.

Employees working in special working conditions on a five day working week should get 25 days of annual leave whilst those on a six day working week get 30 days.

Sick Leave

For non-work-related absences due to sickness, employers in Armenia are required to retain the employee’s position for a period of up to 120 continuous days (or 140 total in a year), and employees can receive full pay and benefits during their absence from the employer.

A salaried employee is provided with a sickness benefit for the working days of the period of temporary disability certified by the temporary disability certificate, starting from the second working day until the establishment of the disability group.

Parental Leave

Leave for taking care of a child under the age of three is granted upon the request of the mother (step-mother), father (step-father, or the guardian who is actually taking care of the child. The leave may be taken as a single period or be used in parts. The employees entitled to such leave may take it out of turn.

 

Maternity Leave

Employed women are granted pregnancy and maternity leave according to the following guidelines:

Individual CircumstancesPregnancy and Maternity Leave Duration
Ordinary pregnancies140 days (70 days for pregnancy leave, 70 days for maternity leave)
Hard delivery cases155 days (70 days for pregnancy leave, 85 days for maternity leave)
Simultaneous delivery of more than one child.80 days (70 days for pregnancy leave, 110 days for maternity leave)

 

Paternity Leave

A paid leave of five working days is provided within 30 days after the birth of the child to the father of the newborn, at the expense of the employer.

Adoption Leave

An employee having adopted a newborn or appointed a guardian of a newborn (or had a child through a surrogate) should be granted a leave for a period from the day of adoption or of being appointed guardian up to when the infant attains an age of 70 days (in case of adoption or being appointed a guardian of two or more newborns — up to when the newborns reach 110 days).

Other Types of Paid Leave

Employees studying at general education, secondary vocational, or higher education institutions should be granted a study leave upon the motion of the educational institution:

  • To prepare for and take current examinations — three working days for each examination;
  • To prepare for and take credit tests — two working days for each credit test;
  • For laboratory work — as many days as envisaged by the curriculum;
  • To prepare and defend a graduation paper — 30 working days;
  • To prepare for and take each state (graduation) examination — six working days.

Unpaid Leave

Upon the employee’s request, the unpaid leave is granted to:

  • The husband of a woman on pregnancy and maternity leave, as well as, of one taking care of a child under the age of one. The total duration of the leave may not exceed two months;
  • The disabled employee or the employee taking care of an ill member of the family, in periods defined by the medical opinion, but not more than 30 days within a year;
  • For marriage, three working days;
  • In the case of the funeral of a deceased member of the family, not less than three days.

Statutory Benefits

The Armenian Social Security System covers the following:

  • Old age 
  • Disability
  • Survivors’ pension
  • Cash sickness, maternity, and work injury benefits

The employer does not pay any contributions towards social security but employers are obliged to withhold the amount of social payment, as well as, submit monthly personalized reports to the tax authorities on calculated income, amounts of tax and social payments withheld for employees.

Health Insurance

Healthcare in Armenia is generally state-funded, so employers are not expected to provide private medical insurance. There is a proposal for universal health insurance coverage that may attract up to 6% of the employee’s  gross wage but it has little support from the citizens.

Other Insurances

Accident Insurance

Employers pay a periodic benefit in accordance with their civil liability. A compulsory system of rules and regulations has been put in place by the state in order to determine entitlement to and the amount of this periodic benefit. It covers damage suffered as a result of injuries, occupational diseases and other health impairments suffered while carrying out employment duties. 

 

Unemployment Insurance

No statutory benefits are provided. In 2015, unemployment benefits were discontinued and replaced by employment-promotion measures including cash assistance to persons who are uncompetitive in the labor market.

Public Pension

Employers do not contribute to the Pension Fund since 2013. Employee contributions provide for old-age benefits with a basic pension and a bonus pension, disability pension, and survivors’ pension and benefits.

Other Statutory Benefits

Government and employee contributions provide for a lump sum birth grant, childcare benefits, and family allowances.

Disclaimer

The information contained in this Country Guide is provided for informational purposes only and should not be construed as legal advice on any subject matter. The contents of this Country Guide contain general information and may not reflect current legal developments or address your situation. You should not act or refrain from acting on the basis of any content included in this Country Guide without seeking the advice or representation of a licensed attorney. WorkMotion Software GmbH disclaims all liability for actions you take or fail to take based on any content included in this Country Guide.

Information provided in this Country Guide is provided “as is” without warranty of any kind, either express or implied, including without limitation warranties of merchantability, fitness for a particular purpose, or non-infringement. WorkMotion Software GmbH periodically adds, changes, improves, updates, or removes information without notice, and assumes no liability or responsibility for any errors or omissions in the contents of this Country Guide. This Country Guide may contain links to other websites. WorkMotion Software GmbH disclaims all liability for the privacy practices or the content of such websites.

Global Hiring Made Easy

We help companies quickly generate
employment contracts and onboard talent
in over 160 countries, in full compliance
with local legislation.

See it in action