- Overview: Turkmenistan
- Global HR Compliance
- Global PEO and payroll
- Expand without a company set up
- Contractor vs. employee: which is better?
Global HR Compliance in Turkmenistan
If you hire an international workforce, or plan to hire, then Hiring and Firing Workforce in Turkmenistan Guide below will help you understand the nuances of labor legislation in the country.
When the company is planning to enter a new foreign market of Turkmenistan and has a need to employ a local national there, the first question to answer is how it is going to make local hires.
We have designed a Global Employer of Record service to help you outsource global employment of your foreign workforce to companies like ours.
This solution helps you employ your global sales force in Turkmenistan as well as in other countries of the world, and provide pay and benefits to your employees, as well as administer any business expenses with our help.
Our solution is different from other hiring modes in that it helps you engage your foreign workforce in full compliance with the local labor legislation. This means you are protected from any non-compliance and employee misclassification risks while we bear all employment risks, not you.
So, it looks very much like hiring your in-house sales force in your home country. However, you focus on only on your global business development while we admin your global HR. In addition, you don’t need to open your own entities in the foreign countries and can leverage our infrastructure in Turkmenistan instead. With our service, you can become a global company with reduced costs and minimized time and effort on your end.
Your employed foreign sales force will devote 100% of their time to your company product and may stay with you longer than foreign independent sales reps.
Global Employer of Record solution is 100% compliant solution that guarantees you and your employees fully compliance with local legislation in Turkmenistan.
We are experts in global workforce employment in Turkmenistan, and our goal is to become your single provider. Instead of working with numerous local staffing agencies and legal advisors, Acumen International can solve your global business challenges and save you time, costs, and resources.
Our team of English-speaking professionals frees you from working through language nuances. Acumen International works 24/7 and can assist you whenever you need, regardless of time zones. Our goal is to create tailored labor solutions for you that are managed legally and in full compliance with the local employment laws.
With our knowledge and deep understanding of local nuances, you easily satisfy your need for skilled professionals in your global industry. With our qualified local partners, you can trust that your global workforce satisfies all local tax, social security, and immigration requirements in Turkmenistan.
See Hiring and Firing Workforce in Turkmenistan Guide below for a general overview of labor rules and regulations in the country. Or contact us if you need to employ workers in Turkmenistan or would like to get more details.
Hiring and Firing Workforce in Turkmenistan Guide
# Employment contracts
An employment contract is an agreement between an employer and an employee that establishes the basic mutual rights and obligations of the parties in the employment relationship, in accordance with which the employer undertakes to provide the employee with work (work place) for the stipulated labor function, to provide working conditions stipulated by the Labour Code and other regulatory legal acts of Turkmenistan, timely and in full amount to pay wages, and the employee undertakes to fulfill the labor functions defined by this agreement, internal regulations of the enterprise and other legal obligations under the employment contract, the collective contract (agreement).
Labor contracts may consist of:
- for an indefinite period (unlimited);
- for a certain period (urgent), but not more than for five years, unless another period is established by the Labour Code and other normative legal acts of Turkmenistan.
An urgent labor contract is concluded in cases when the employment relationship can not be established for an indefinite period, taking into account the nature of the forthcoming work or the conditions for its implementation, unless otherwise stipulated by the Labour Code and other normative legal acts of Turkmenistan.
# Minimum (Statutory) Employment Rules and Regulations in Turkmenistan
# Hours of work:
Normal working hours can not exceed 40 hours per week. The employer is obliged to keep track of the time actually worked by each employee.
# Probation period:
At the conclusion of the employment contract by the agreement of the parties for the purpose of checking the compliance of the employee with the work entrusted to him, a probationary period may be established. The probationary period should not exceed three months, but for the heads of enterprises and their deputies, chief accountants and their deputies, heads of branches, representative offices and other separate structural divisions of enterprises-six months, unless otherwise stipulated by the legislation of Turkmenistan.
During the probationary period, the period of temporary disability of the employee and other periods of his actual absence at work are not counted.
# Annual leave:
Working citizens of Turkmenistan have the right to an annual basic paid leave (hereinafter referred to as the annual basic leave) in accordance with the Labour Code.
The annual basic leave is established for a period of thirty calendar days per year. The annual basic leave should be given to the employee every year. The employer must notify the employee about the time of the beginning of the annual basic vacation not later than fifteen days before the start of the holiday.
The right to an annual basic leave during the first year of work comes after eleven months of continuous work from the date of the conclusion of the employment contract. The annual basic leave before the expiration of eleven months of continuous work should be provided at the request of the employee.
# Parental leave:
A woman, regardless of length of service, after the maternity leave has the right to unpaid leave to care for the child until he reaches the age of three years. A childcare leave may also be granted to the person actually caring for the child, including the father, the child’s guardian, and also in cases specified by the legislation of Turkmenistan, to another relative.
The procedure for granting parental leave to these persons is determined by the Cabinet of Ministers of Turkmenistan. For the period of leave to care for the child, the employee retains a place of work (position). A childcare leave can be used in whole or in part.
# Sick leave:
Insured persons may receive five days of paid leave to care for a sick family member; seven days in certain cases or 14 days if caring for a child younger than age 14 (or for the duration of the illness if the child is hospitalized).
Fourteen days of unpaid leave is provided to women caring for children younger than age 3, a woman or a single parent raising two or more children younger than age 14, or a man whose wife is on maternity leave. Workers with disabilities are entitled to 30 days of unpaid leave.
Overtime is considered work performed by an employee at the initiative of the employer in excess of the established duration of working time, daily work (shift), and work beyond the normative number of working hours for the accounting period (month, quarter, year).
Overtime work can be performed with the written consent of the employee, taking into account the opinion of the trade union or other representative body of workers.
The employer can apply overtime work only in exceptional cases:
- when carrying out works necessary to prevent a natural disaster, an industrial accident and immediate elimination of their consequences, prevention of accidents, provision of emergency medical assistance to health care workers;
- in the production of socially necessary work on water supply, gas supply, heating, lighting, sewerage, transport, communications – to eliminate accidental or unexpected circumstances that violate their proper functioning;
- if necessary, perform or finish the work that has begun, which, due to an unforeseen delay in the technical conditions of production, could not be completed (completed) during the normal number of working hours, if failure to perform this work may lead to damage or loss of state property and the employer’s property;
- in the manufacture of temporary repairs and restoration of machinery or structures in cases where their malfunction may cause the termination of work for a significant number employees;
- to continue the work if the replacement employee does not show up, if the work does not allow a break. In these cases, the employer must immediately take measures to replace the replacement with another employee;
- in other cases in accordance with the legislation of Turkmenistan.
The overtime work is not allowed:
- pregnant women;
- employees under the age of eighteen;
- other categories of employees in accordance with the legislation of Turkmenistan.
# State minimum salary:
Turkmenistan’s minimum wage rate is 535 Turkmenistani manat per month. Turkmenistan’s minimum wage was last changed in January 2015.
# Employee dismissal:
An employment contract may be terminated (terminated) by a written agreement of the parties to the employment contract at any time.
Termination of an employment contract on the initiative of an employee:
- An employee has the right, on his own initiative, to terminate an employment contract concluded for an indefinite period, as well as a fixed-term employment contract prior to the expiration of his term, having notified the employer in writing about this in two weeks. At the end of the notice period, the employee has the right to stop work, and the employer is obliged to give the employee a work book and to make a calculation with him.
- By agreement of the parties, the employment contract may be terminated before the expiration of the notice of termination.
- During the period of the notice of dismissal provided for by part one of this article or by agreement of the parties, the employee has the right to withdraw the application.
If, after expiration of the notice of dismissal, the employment contract with the employee has not been terminated and the employment relationship continues, the application for termination of the employment contract on the initiative of the employee loses force, and the termination of the employment contract and dismissal are not is allowed.
- In cases when the application for termination of an employment contract on the initiative of an employee is conditioned by the impossibility of continuing work (enrollment in an educational institution, election to an elected office and in other cases provided for by the legislation of Turkmenistan).
The employer must terminate the employment contract within the time specified in the employee’s application.
Termination of the employment contract on the initiative of the employer:
An employment contract may be terminated at the initiative of the employer in the following cases:
- liquidation of the enterprise or termination of activity by the employer-physical person;
- reduction in the number or staff of employees, including in connection with the change in technology production, organization of labor, reduction in the volume of work;
- discrepancies between the employee of the position held or the work performed in connection with the insufficient qualification, including confirmed by the results of attestation;
- change of the owner of the enterprise (in relation to the enterprise manager, his deputies and Chief Accountant);
- non-attendance for more than four consecutive months due to temporary disability, excluding the period of maternity leave, if the legislation Turkmenistan has not established a longer period of preservation of the place of work (position) under the specific disease. For workers who have lost their ability to work in connection with labor injury or occupational disease, the place of work (position) is rehabilitation of disability.
Acumen International can help you fast-track your possibilities of entering and expanding your business in Turkmenistan by providing you with our Employer of Record services. Our unique mix of PEO/EOR solutions will enable you to jumpstart your global operations almost immediately, cost-effectively and compliantly without any need to set up a legal entity first or afterwards.