Angola

Angola PEO & Employer of Record

WeHG provides an International PEO and vglobal Employer of Record service in Angola to companies wishing to join the Angola market or hire local/expat employees in this area.

The general approach requires establishing a subsidiary in Angola.  However our solution allows you to start the operations in Angola within days hence save time and money.  WeHG would hire candidates on your behalf while you maintain full operational control of their work. So legally they would be our employees, on our local payroll, 100% compliant but will work on your behalf. 

Angola fast facts

Population, million: 32,866,272
Land area, sq. km: 1.247 million km²
Capital: Algiers
Local currency: Angolan kwanza (AOA)

GDP per capita:$ 2980.00
GDP in currency:$ 70 billion
Economic growth percentage: 2.8%
Inflation rate (consumer prices): 21.02%
Volume of export: $ 113.8 million
Import of goods and services: $22.30 million
Total population: 32,866,272
Population of working age (15-64): 61.7%

The Republic of Angola covers 1,247,000 km² in the western region of Southern Africa.  It is the second largest country south of the Sahara after the Democratic Republic of Congo. The countrycontains six major geomorphologic areas: Coastal area, marginal mountain chains, the old tableland, Zaire basin and the basins of the Zambezi and Cubango. 

The official language is Portuguese, with approximately 100 different ethnic languages spoken, of which Umbundu, Kimbundu, Kikongo, Tchokwe and Ovambo are the dominant national languages. Luanda is the capital city; other main towns, all offering varied potential for investors looking for new business opportunities include: Cabinda, Benguela, Huambo, Lobito, Lubango and Namibe. 

Hiring, Negotiating and Doing Business in Angola

Necessity of written employment contract

No all employment contracts must be in writing. However, certain specific types of employment contract (eg, fixed-term employment contracts and training contracts) must be in writing.

Angola Employment Contract

Types of employment agreements

Fixed-term employment agreements may be successively renewed for equal or different periods of time up to a maximum limit of five years. For medium, small and micro companies, this limit is increased up to ten years.

When those maximum limits expire (and if the employer did not communicate their termination), the fixed-term agreement will be deemed as an indefinite employment agreement.

Angola working hours

The normal working hours may not exceed the following limits: 44 hours per week and eight hours per day.

Overtime

Overtime hours are allowed if they result from an imperative need for production or services (such as prevention and elimination of consequences related to accidents, natural events, or force majeure situations; or an unpredicted and temporary work increase). In general, this regime is subject to the following limits: two hours per day, 40 hours per month and 200 hours per year. Employers must pay an enhanced hourly rate for each overtime hour which depends on the number of overtime hours and the type of employer (micro, small, medium or large company).

Vacation leave in Algeria

An employee is entitled to 22 days per year of paid leave plus a bonus of 50% of one month’s basic wage. Working mothers receive an additional paid day of leave for each child age 14 or under. 

Angola treats sick leave and family care leave as a single unit. An employee is allowed three days’ leave per month, up to a maximum of 12 days per year. 

National service 

An employee may take paid leave for military duties of up to 2 days per month to a maximum of 15 days per year. 

Education Leave 

After giving 30 days’ written notice, an employee may take unpaid leave for 60 days for education or training.

Algeria Maternity Leave

Maternity leave is a mandatory 12 weeks for women who have a minimum of six months of contributions into  the  social  security  system  during  the  previous  12  months.  (supplemented  by  the  employer  if necessary). Maternity leave commences four weeks before the due date and an additional four weeks of leave may be taken without pay. 

Paternity Leave 

A father can take one day of leave (Paternity) when his child is born.

Algeria Severance Laws

Termination Process

In cases where the employer claims to have just cause for dismissal, the employee has a right to a hearing. If a judge rules against employer, the employee has the right to be reinstated and paid all lost wages.  

In the event of a layoff of five or fewer people, the employer must provide a reason in writing to the employee’s representative body, who has seven days to respond. The request then goes to the Ministry of Labor, which has 10 days to stop the layoff. Not responding is viewed as acceptance.   

In the event of a larger group layoff, the employer must notify workers’ representative body and the provincial offices of the Ministry of Labor to explain the reason for layoffs.  

Notice Period

The notice must be 60 days for senior staff or middle management and 30 days for general workers.  

Severance Pay

One month of pay for every year of seniority up to five years. After that, it’s 50% of monthly salary for each year. 

Algeria Tax

Employer Payroll Tax

  • 8.0% – National Social Security Institute

Employee Payroll Taxes

  • 3.0% – National Social Security Institute

Employee Income Tax

  • 0%     –       0- 34,450 AOA
  • Excess of 34,450 (up to 550 AOA)       –         4,451- 35,000 AOA
  • 7% + 550 AOA      –        35,001- 40,000 AOA
  • 8% + 900 AOA     –       40,001- 45,000 AOA
  • 9% + 1,300 AOA     –       45,001- 50,000 AOA
  • 10% + 1,750 AOA     –       50,001- 70,000 AOA
  • 11% + 3,750 AOA     –       70,001- 90,000 AOA
  • 12% + 5,950 AOA     –       90,001- 110,000 AOA
  • 13% + 8,350 AOA     –       110,001- 140,000 AOA
  • 14% + 12,250 AOA     –       140,001- 170,000 AOA
  • 15% + 16,450 AOA     –       170,001- 200,000 AOA
  • 16% + 20,950 AOA     –       200,001- 230,000 AOA
  • 17% + 25,750 AOA     –       230,001 AOA and above

Health Insurance Benefits in Algeria

Angola has a universal, free healthcare system, although access to quality care is limited.

Additional Benefits in Algeria

All workers are entitled to a holiday bonus and a Christmas bonus, each calculated as 50% of a month’s base wages, thereby totalling an extra month’s wage.

Algeria Holidays

  • New Year’s Day
  • Liberation Movement Day
  • Carnival
  • International Women’s Day
  • Day of the Liberation of Southern Africa
  • Peace Day
  • Good Friday
  • Labour Day
  • National Heroes’ Day (in Angola)
  • All Souls Day
  • Independence Day (of Angola)

Why Choose WeHireGlobally

WeHG takes care of all the onboarding hurdles, payroll, compensation and benefits, tax filing, and termination of employment. Our Employer of Record solution allows you to manage your overseas teams efficiently while minimizing cost and risk.

 

FAQ Angola

  • Working hours in Angola

    The normal working hours may not exceed the following limits: 44 hours per week and eight hours per day.

  • What are the main holidays in Angola?

    • New Year’s Day
    • Liberation Movement Day
    • Carnival
    • International Women’s Day
    • Day of the Liberation of Southern Africa
    • Peace Day
    • Good Friday
    • Labour Day
    • National Heroes’ Day (in Angola)
    • All Souls Day
    • Independence Day (of Angola)
  • What are payroll taxes in Angola?

    Employer Payroll Tax

    • 8.0% – National Social Security Institute

    Employee Payroll Taxes

    • 3.0% – National Social Security Institute

    Employee Income Tax

    • 0%     –       0- 34,450 AOA
    • Excess of 34,450 (up to 550 AOA)       –         4,451- 35,000 AOA
    • 7% + 550 AOA      –        35,001- 40,000 AOA
    • 8% + 900 AOA     –       40,001- 45,000 AOA
    • 9% + 1,300 AOA     –       45,001- 50,000 AOA
    • 10% + 1,750 AOA     –       50,001- 70,000 AOA
    • 11% + 3,750 AOA     –       70,001- 90,000 AOA
    • 12% + 5,950 AOA     –       90,001- 110,000 AOA
    • 13% + 8,350 AOA     –       110,001- 140,000 AOA
    • 14% + 12,250 AOA     –       140,001- 170,000 AOA
    • 15% + 16,450 AOA     –       170,001- 200,000 AOA
    • 16% + 20,950 AOA     –       200,001- 230,000 AOA
    • 17% + 25,750 AOA     –       230,001 AOA and above
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