Kyrgyzstan sits as the 116th freest economy worldwide with an economic freedom score of 55.8. The country’s dependence on the trading bloc from the Soviet Union during the past era has made it difficult for them to transition to the demand economy. However, the country’s main economy is heavily dependent on the agricultural and raw materials sector.
Hiring in Kyrgyzstan requires you to be aware of the local employment laws, benefits, payroll, and taxes. Given below is everything you need to know on how to successfully onboard talents from Kyrgyzstan.
Employee Contract
Contracts in Kyrgyzstan must be written according to the requirements of the Labour Code. The contract can be written in any language the two parties agree on; however, it’s required to have a Kyrgyzstan version to be recognized by the law.
Probation Period
The probationary period for new employees ranges from 3 to 6 months.
Public and Provincial Holidays
Date
Name
Type
January 1
New Year
National Holiday
January 2
New Year Holiday
National Holiday
January 3
New Year Holiday
National Holiday
January 4
New Year Holiday
National Holiday
January 5
New Year Holiday
National Holiday
January 6
New Year Holiday
National Holiday
January 7
Orthodox Christmas Day
National Holiday
February 23
Defender of the Fatherland Day
National Holiday
March 8
International Women’s Day
National Holiday
March 21
National Holiday “Nooruz”
National Holiday
March 31
Orozo Ait
National Holiday
April 7
April People’s Revolution Day
National Holiday
May 1
May Day
National Holiday
May 2
May Day Holiday
National Holiday
May 5
Constitution Day of the Kyrgyz Republic
National Holiday
May 9
Victory Day
National Holiday
June 7
Kurman Ait
National Holiday
June 9
Day off for Kurman Ait
National Holiday
August 31
Independence Day of the Kyrgyz Republic
National Holiday
November 7
Days of History and Memory of Ancestors
National Holiday
November 8
Days of History and Memory of Ancestors Holiday
National Holiday
November 10
Day off for Days of History and Memory of Ancestors Holiday
National Holiday
Employee Leaves
Type of leave
Time period
Mandatory
Annual leave/Earned Leave
28 days
Yes
Sick Leave
Depends on the company
Yes
Maternity Leave
126 days
Yes
Probation period
Leave compliance
Public and provincial holidays
Payroll in Kyrgyzstan
Payroll cycle
Employees in Kyrgyzstan are paid on a monthly basis.
Minimum wage
The minimum wage in Kyrgyzstan is KGS 2,460.00 monthly.
Overtime pay
The standard working hours in Kyrgyzstan are 40 hours per week. The overtime pay in Kyrgyzstan must not be less than 1.5 times the employee’s normal rate for the first two hours. Employers must pay at the least, 2 times the normal rate when exceeding 3 or more overtime hours.
How taxes work
Employer Payroll Tax
Employer Type Contribution
Rate (%)
Obligatory Social Security
2.00
Employees Health Fund
0.25
Pension Contributions
15.00
Total
17.25
Employee Payroll Tax
Employee Type Contribution
Rate (%)
State Cumulative Pension Fund
2.00
Pension Contributions
8.00
Total
10.00
Employee Income Tax
A 10% flat rate is applicable to most types of individual incomes.
VAT
The standard VAT in Kyrgyzstan is 12%, except for certain zero-rated supplies and exempt turnover.
Bonus
13th Month Pay
The 13th-month pay is not mandatory in Kyrgyzstan.
Employee Benefits
Full-time employees in Kyrgyzstan are ensured to have insurance benefits such as
The notice period before termination for probationary employees is a minimum of 3 days. For regular employees, it depends on the contract between the two parties.
Employees are entitled to a severance pay with a minimum of two average monthly wages.
Visa and immigration
You can apply for a Business Visa for Kyrgyzstan for up to 60 days with the purposes of negotiations, conferences and meetings, sporting events. These events must be organized by either state offices, local governments, international organizations, and legal entities.
The documents and requirements for in-person application are the same with the website. You will find all the necessary information once you go through the application process.
On the other hand, you can contact or go to your local Kyrgyz embassy to know the required documents for visa application.
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