Turkmenistan Employer of Record
Country Overview Video
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Turkmenistan, also known as Turkmenia, is located in central Asia and has Turkmen as its designated official language. Turkmenistan is known for its impressive reserves of natural gas and oil, as well as offshore minerals along the Caspian Sea. Additionally, the country boasts a robust agricultural industry. However, a large portion of the country is covered by the Karakum Desert. Turkmenistan has taken strides recently toward further diversification of their economy, making the country a potential resource for expansion into Asia and the Middle East.
Employment Contracts
There is no set form for an employment contract in Turkmenistan, and the employment relationship actually begins not with the execution of a contract but with an order issued by the employer to hire an applicant based on their written application. Nonetheless, a written contract which clearly sets out the rights and responsibilities of both the employer and the employee is advisable. Typically, the contract will state the employee’s job duties, place of work, compensation, normal working hours, entitlement to leave and other benefits, as well as the notice period and any special procedures to be followed if either party wishes to terminate the employment relationship.
Public Holidays
The following public holidays are observed in Turkmenistan:
- New Year’s Day
- International Women’s Day
- Spring Holiday (Nowruz)
- Oraza Bayram
- Constitution and National Flag Day
- Kurban Bayram
- Independence Day
- Remembrance Day
- International Day of Neutrality
Compensation
Employers are not required to provide bonuses to employees and they are somewhat uncommon in Turkmenistan. However, employers can choose to include bonuses in employees’ compensation packages. When bonuses are paid, performance-based bonuses are the most common.
Working Hours
The standard workweek is 40 hours over five days with eight working hours per day, or six days with no more than seven working hours in one day. Employees between the age of 16 and 18 are limited to 36 hours per week, and employees under 16 may not work more than 24 hours in a single week. The workweek also is reduced for employees who work in particularly difficult or dangerous conditions and disabled employees.
Overtime is only permitted in a few situations. Employees are entitled to extra pay for working overtime.
Vacation Leave
The basic allotment of paid annual leave for most workers is 30 days, which they are eligible for after 11 months of employment. Teachers, heads of educational institutions, scientists, and disabled employees receive 45 days. Employees who work in particularly difficult or dangerous conditions are entitled to a minimum of three and a maximum of 15 additional vacation days per year. Air traffic controllers and certain employees in the aviation field are also entitled to 15 additional days. Employees who work irregular schedules and employees who have reached the age of 62 receive three additional vacation days each year.
Sick Leave
There is no specific statutory right to sick leave in most cases. However, employees are entitled to unpaid leave to care for a sick family member, with the length of the leave based on the recommendations of the medical institution that is caring for the relative.
Maternity / Paternity Leave
Female employees receive 112 days of fully paid maternity leave with 56 days before the estimated date of birth and 56 days after giving birth. The paid maternity leave is extended by 16 days if there are birth complications, and by 40 days in the event of multiple births.
There is no statutory paternity leave beyond the option for the father to take parental leave, except for in a few circumstances where the mother is not present in the child’s life.
Employment Termination/Severance
Employers can terminate an employment contract for economic or business reasons which render the employee redundant or based on the employee’s conduct or performance. The employer is obligated to notify the employee in writing. The notice period is either two weeks or two months depending on the reason for the termination. Only three days of notice is required during the probation period.
Special rules and procedures apply to redundancy dismissals and employee misconduct.
Severance pay must be paid in most situations when the employer terminates an employment contract for a reason other than the employee’s misconduct.
Health Insurance Benefits
Turkmenistan has a state healthcare system and a small private system. In practice, in both the public and the private system, patients typically pay many costs out of pocket.
We understand that local laws and regulations change and sourcing an accurate reference guide is not easy. Our data is researched and verified by our team of local international Employment Attorneys, HR and Benefit Professionals and Tax Accountants through our Expandopedia team and consultants, to ensure information up-to-date and accurate.
Partnering with Elements Global Services when expanding into Turkmenistan, can dramatically reduce the standard brick and mortar processes of doing business in foreign markets and allow you to focus on what you do best, growing your company! To discover more about how Elements can simplify your ability to expand globally, please feel free to contact us.
Other Solutions To Simplify Global Expansion:
- Value Add of EOR Services
- Administrative Services Outsourcing (ASO) Solutions
- Business Process Outsourcing (BPO) Solutions
- Entity Formation & Management Services
- Business Consulting Services