Employment contracts Albania

What should an employment contract in Albania include?

An employment contract in Albania should encompass the following information:

• Names and contact information of the employer and employee.
• Employee’s job title and responsibilities.
• Specified working hours and days.
• Agreed salary, additional benefits, and bonuses.
• Termination provisions with notice periods for both parties.
• Mutual agreements on non-disclosure and confidentiality.

Both the employer and employee must thoroughly assess the terms of the employment agreement before providing their signatures.

What types of employment contracts exist in Albania?

There are various categories into which employment contracts in Albania can be classified.

1. Employee contract

Employee contracts are the most common type of employment contract in Albania. There are two types of employee contracts in Albania:

• Fixed-term contract: This type of agreement between an employer and an employee is with a predetermined start and end date. This means the employment relationship will only last for a specific period, typically agreed upon and outlined in the contract. Generally, the contract will end automatically on the agreed end date without the need for notice from either party. However, the contract can be renewed if the employer and employee agree to continue the employment relationship.
• Indefinite-term contract: An indefinite-term employment contract entails no fixed end date specified. It is an open-ended contract, and the employment relationship continues until either the employer or the employee decides to terminate it. To terminate an indefinite-term contract, either the employer or the employee must provide notice to the other party. 

2. Part-time contract

Part-time contracts are commonly used when employers need workers for specific hours or on a reduced work schedule. This arrangement provides flexibility for both employers and employees. Part-time employees are still entitled to social security coverage and other statutory benefits, even though their contributions may be adjusted according to their reduced working hours.

3. Project-based contract 

A project-based employment contract covers a specific project or task with a defined scope, objectives, and duration. This contract is commonly used when companies have short-term assignments or projects that require additional resources or expertise beyond their regular workforce. Project-based contracts have a clear start date and end date connected to the timeline of the specific project or task. 

How to hire employees in Albania? 

Typically, when hiring workers in Albania, it’s necessary to create a legal entity within the country. This involves registering your business with Albanian authorities and obtaining a business registration number. You must also adhere to Albania’s local laws and regulations to ensure complete compliance.

However, with Native Teams’ employer of record services, you can concentrate on the day-to-day operations of your business while we handle the rest. We offer comprehensive guidance on legal hiring in Albania and various other countries worldwide.