Georgia PEO & Employer of Record

WeHG provides an International PEO and global Employer of Record service in Georgia to companies willing to enter the Georgian market or hire local/expat employees in this country.

Traditional approach requires establishing a subsidiary in Georgia.  However our solution allows you to start the operations in Georgia within days hereof economize 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.

Georgia fast facts

Population, million: 3,989,167
Land area: 153,909 km²
Capital: Tbilisi
Local currency: Georgian lari (GEL)

GDP per capita:$ 4600.00
GDP in currency:$ 14.80 billion

In Georgia, the Labour Code regulates labour issues and related matters. The employment of foreign nationals by local entities is not restricted under Georgian law and is also subject to the regulations under the Labour Code.
Since 2015, local hirer of foreign employees are now with the obligation to notify the Social Services Agency of such employment within 30 days.

The relevant labour agreement must also be delivered to the appropriate authority. There are special requirements applicable to a labour agreement with a foreign national. In particular, it needs to contain:

• Extensive employee and employer identity.
• Definite conditions of employment (and a Georgian translation ((if entered in another language)).

The mandatory rules under the Labour Code mainly concern::

• Social welfare of employees.
• Prohibition of discriminatory treatment.
• Very limited grounds for terminating an employment contract.

Overtime compensation, severance pay and leave entitlement rules will apply regardless of the choice of law in the employment contract. This is unless the law chosen by the parties provides for higher standards of employeeprotection.

Hiring, Negotiating and Doing Business in Georgia

Necessity of written employment contract

An employment contract must be concluded in writing if the term of work exceeds three months.

Georgia Employment Contract

Types of employment agreements

Employment contracts can be for definite or indefinite terms. Contracts should be in Georgian and should spell out the terms of the employee’s compensation, benefits, and termination requirements. An offer letter and employment contract in Georgia should always state the salary and any compensation amounts in lari rather than a foreign currency.

Georgia working hours

The standard work week in Georgia is 40 hours.

Overtime

When employees work more than 40 hours during a seven-week timeframe, they are entitled to an overtime pay rate of 1.5 times their regular hourly rate. However, employees who work on commission, administrators, police officers, firefighters, caretakers and baby sitters, film workers, and several other types of employees are not entitled to overtime pay.

Vacation leave in Georgia

Employees are entitled to paid leave of 24 business days per year and unpaid leave of 15 calendar days per year.

Georgia Maternity Leave

Mothers are entitled to 126 calendar days of paid leave, or 140 days in the case of multiple births or complications with childbirth. Leave can be taken during and post pregnancy.

Georgian Severance Laws

An employment contract cannot be terminated without an objective reason.The grounds for terminating an employment contract are:
Gross violation by an employee of his obligations.
Expiration of the term of the employment contract.
Written agreement of the parties.
Other objective circumstances justifying the termination of the employmentcontract.

Georgia Tax

Social tax does not exist in Georgia, and there is no obligation to pay social security contributions or compulsory healthcare premiums on behalf of the employee. The only obligation of the employer is to withhold personal income tax at a flat rate of 20% from the salary of the employee. VAT – 18%.

Health Insurance Benefits in Georgia

There is no mandatory health insurance in Georgia. The poor and elderly receive healthcare vouchers from the government, but the majority of citizens can opt either to purchase insurance or go without.

Additional Benefits in Georgia

The law does not regulate bonuses and fringe benefits.

Georgia Holidays

13 national public holidays, including

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.