What Should I Know About Hiring in Kosovo?
Several important considerations must be made before making any hires in Kosovo. These include the country’s labor laws, cultural norms, and business practices. Having this knowledge will help you attract and keep the best employees, as well as stay in compliance with any applicable local laws and foster a positive working environment.
Moreover, the Kosovian government requires businesses to provide their workers with a written employment contract outlining the terms and conditions of employment. Details such as salary, hours worked, and other basics should be included.
However, foreign employers may find it challenging to comply with Kosovo’s labor laws, which are written to protect workers and guarantee fair treatment. You should learn about these regulations and consult with local experts to ensure you follow the rules.
Why Is Kosovo a Good Choice for Finding Remote Employees?
Although small and landlocked, Kosovo has a lot to offer businesses in search of remote workers. Businesses wishing to develop remote teams will find it a desirable location due to the country’s young, educated population, excellent English proficiency, and low labor expenses.
With an increasing number of businesses and competent individuals in disciplines like IT, engineering, and marketing, Kosovo’s tech industry is flourishing.
Kosovo also boasts a thriving tech industry because of the country’s innovative spirit and can-do attitude. Kosovo has a growing number of young entrepreneurs and startup employees, facilitating the development of a hospitable environment for telecommuting.
How Can Native Teams Help You Hire in Kosovo
Finding the right employees can be challenging when you don’t know where to look. That’s why Native Teams offers end-to-end support throughout the hiring process, beginning with the recruiting procedure and ending with the payment of wages and benefits. Our Employer of Record service allows businesses to hire workers legally in any country without the hassle of forming a new legal entity or navigating the complexities of local laws concerning hiring foreign nationals.
Hire your first Kosovan employee with Native Teams.
Legal Requirements for Hiring in Kosovo
To calculate the salary and taxes in Kosovo please click here.
In Kosovo, the current monthly minimum wage is 264 EUR.
Contributions & Taxes
How much are the contributions & taxes?
The employer expense is often calculated as 5% of the employee’s wage.
CIT is assessed at a 10% rate. Those with annual gross receipts of less than EUR 30,000 are exempt from CIT but still required to file quarterly tax payments on their gross receipts.
Individual income taxes range between 0% and 10%. Income tax is levied at progressive rates.
What is the payroll cycle?
The payroll cycle in Kosovo is generally a monthly cycle, with wages usually paid by the 5th of the next month.
Is there a 13th salary in Kosovo?
Kosovo law does not mandate the payment of a 13th or 14th month’s salary.
What are the main Labor Rules?
The employment agreement may include a probationary period of up to 6 months if the company chooses. Employees who are let go during their trial period are entitled to 7 days’ notice.
The duration of notice required is conditional on the employee’s tenure and the nature of the job:
- 30 days for up to 2 years of service;
- 45 days for up to 10 years of service;
- 60 days for more than 10 years of service.
In the event of mass terminations, if 10% or more of an organization’s staff (at least 20 workers) are let go, severance payments may be mandated. Individual employees may be entitled to anywhere from one month’s pay up to 7 months’ pay in severance benefits, depending on their duration of service.
Kosovo’s standard work week is 40 hours long, split evenly across 5 eight-hour days.
Leave and Benefits
Leave and Benefits rules
The following days are considered paid holidays in Kosovo:
- Christmas Day
- Europe Day
- Eid al Fitr
- Eid al Adha
- Independence Day
- Easter Monday
- New Year’s Day
- 2nd Day of New Year
- Constitution Day
- International Labour Day
Workers are eligible for 20 paid sick days per year. During this time, workers will be paid at a rate equal to 100% of their regular income.
Maternity leave & Paternity leave
All pregnant workers are guaranteed 270 days of paid leave. In this case, 45 days before the expected delivery date is required. The company will pay 70% of the employee’s average wage for the first 6 months, and the government will pay 50% for the third month. The worker may take an extra 90 days of unpaid absence. Workers are eligible for 10 days of paid paternity leave, to be used anytime after the kid’s birth.
The employer is responsible for paying the employee at least 100% of their regular compensation during this time. If the employee needs more time off, up to 14 days without pay can be granted before the child becomes three years old.
What are the minimum vacation days?
Workers in Kosovo receive at least 20 paid days off annually.
Health Security & Private Insurance
Anyone who has worked for an employer for at least three months within the previous fifteen months is entitled to free medical and dental care through the Social Security Administration.
*Native Teams can support you in finding the best private insurance in the country. Contact us, and we will send a comparison of insurance packages and prices.*
Relocation and Work Permits
Native Teams will apply for your work visa in the nation on your behalf and serve as your Employer of Record. All the required documents can be uploaded using our app. Until you have your work and residency visa, Native Teams will support you by providing you with frequent information on the progress.
How long is the Visa / Work Permit process?
2 to 4 weeks depending on the authorities and provided documents.
Which documents do you need?
To apply for a visa/work permit in Kosovo, upload the documents from our onboarding list (relocation to log in/pricing).
Why use Native Teams for Hiring in Kosovo?
Native Teams lets you employ team members ‘like a local’ meaning you get all the benefits of a global team, wherever you are based. Here are the reasons why you should use Native Teams for hiring:
- No paperwork: We will handle all the necessary paperwork for you.
- Save on taxes: We help you handle your taxes.
- No company set up: You can expand your business using our company entitles.
- Online onboarding: We’re here to ensure your onboarding process is trouble-free.
- No accounting: We will handle all of your accounting needs, including invoicing, payroll, and more.
- Increase your profit: We assist you in growing your business and maximizing your profits.
- Compliance expertise: we can assist your company in navigating the regulatory environments and ensure you meet all relevant requirements.
- Local support: We can assist you in understanding and complying with the relevant local laws.
*Note: The provided information was accurate at the time of writing.