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Employer of Record North Macedonia
Hire staff and expand your business in North Macedonia with our fully-managed EOR Service
How we can help
Unrivalled Employer of Record Service in North Macedonia designed to expand your business seamlessly
Agility EOR delivers services for business’s looking for an Employer of Record in North Macedonia. We help clients hire new employees or transfer existing employees into a fully-managed EOR service.
We appreciate that each situation and business is different. That is why our personal approach to Employer of Record Services in North Macedonia takes care of all HR, payroll, recruitment and compliance head aches, and allows you to do what you love best – driving your business forward.
Employer of Record in North Macedonia
A Brief Guide to North Macedonia
North Macedonia is a captivating country recognized for its rich history, diverse culture, and delicious cuisine. The country’s landscapes vary from the serene Lake Ohrid to the awe-inspiring Šar Planina mountains. North Macedonia is a parliamentary republic and a member of international organizations such as the United Nations and the World Trade Organization.
Category | Information |
Location | Southeastern Europe |
Capital | Skopje |
Official Language | Macedonian |
Area | 25,713 square kilometers |
Population | Approximately 2 million |
Currency | Macedonian denar |
Major Cities | Skopje, Bitola, Kumanovo |
GDP (2021) | $13.22 billion USD |
Major Industries | Food processing, textiles, metallurgy, chemicals |
Business Culture
Business Culture in North Macedonia
In North Macedonia, the business culture emphasizes professionalism, relationships, and a degree of formality. Being punctual, dressing well, and participating in small talk are crucial. Decision-making tends to be hierarchical, and trust is vital in business dealings. North Macedonians respect expertise and thorough preparation for meetings.
Adhering to proper business etiquette, such as exchanging business cards and addressing individuals by their titles, is expected. Success in North Macedonian business culture necessitates adaptability, respect, and a focus on relationship-building.
Payroll and Taxes
Payroll and Taxes in North Macedonia
There is no statutory obligation to provide employees with a 13th or 14th month salary. However, if an employee has worked for a minimum of 150 hours per year and has not been absent for more than 21 days during that period, they may be entitled to a bonus.
Employee Taxation
In North Macedonia, the progressive income tax rates apply, with higher income levels subject to higher tax rates.
| Gross Annual Income | Tax Rate (%) |
|---|---|
| Up to MKD – 1,080,000 | 10% |
| Over MKD – 1,080,000 | 18% |
Employer Taxation
Employers in North Macedonia are also responsible for various employer costs, which include:
Contribution | Percentage |
Pension and disability insurance | 18.80% |
Health insurance | 7.50% |
Employment insurance | 1.20% |
Additional health insurance | 0.50% |
Pension and Healthcare
North Macedonia Pensions
North Macedonia has a mandatory state pension system, funded by social security contributions the employer only. The contribution rates, as a percentage of an employee’s gross salary, are as follows:
- Employer: 18.8% for pension and disability insurance
Healthcare in North Macedonia
North Macedonia’s public healthcare system, called the Health Insurance Fund, provides comprehensive medical services to its residents, including primary care, specialist services, hospital care, prescription medications, dental care, maternity care, and mental health services. The system aims to ensure equal access to essential healthcare services for all residents, regardless of their financial status or geographical location.
Both employees and employers contribute to the system through a percentage of their salaries. This mandatory contribution is collected by the North Macedonian tax authorities and allocated to the healthcare system.
Employment Law
Employment Law in North Macedonia
Relevant Legislation:
North Macedonian employment law is governed by various pieces of legislation, including:
- Labour Relations Law
- Law on Employment and Insurance in Case of Unemployment
- Law on Safety and Health at Work
Employment Contracts: North Macedonian employment contracts should be in writing and include essential information such as duration of employment, working hours, salary, and termination notice periods.
Working Hours: The standard maximum working time in North Macedonia is 40 hours per week, or 8 hours per day. Overtime work is regulated, with compensation for extra hours.
Leave: Employees are entitled to various types of leave, such as a minimum of 24 working days of paid annual leave per year, sick leave, maternity leave, paternity leave, parental leave, unpaid leave, and special leave for events like marriage or death in the family.
Overtime: In North Macedonia, overtime work is regulated by law and collective agreements. Overtime pay should be at least 1.35 times the regular hourly wage.
Termination: Termination of employment in North Macedonia requires proper notice, which varies depending on the length of employment. Employers can terminate an employee’s contract if there is a just cause, such as poor performance, misconduct, or redundancy. Employers must provide a written explanation for the termination based on just cause. Unjustified termination can lead to claims for damages or reinstatement.
Notice: Both employers and employees must give a notice before terminating an employment contract. The notice period varies depending on the employee’s length of service. Generally, the notice period ranges from 15 days to three months.
Severance Pay: Employees may be entitled to severance pay if they are terminated due to redundancy, restructuring, or other reasons that are not related to their performance or behavior. Severance pay is typically not provided in cases of termination due to misconduct, resignation, or the end of a fixed-term contract. The amount of severance pay an employee is entitled to often depends on their length of service with the employer. In North Macedonia, employees must have worked for a minimum of two years to qualify for severance pay, and the amount increases with the number of years of service.
IMMIGRATION
Work Permits in North Macedonia
The immigration process in North Macedonia is structured and systematic, similar to most countries worldwide. Prospective immigrants usually need to apply for a specific visa or residency permit that corresponds to their reasons for relocating, such as work, education, or joining family members.
North Macedonia offers several types of work permits for foreign nationals who wish to work in the country. The specific type of work permit required depends on the applicant’s qualifications, the nature of the job, and the intended duration of the stay. Some of the main types of work permits in North Macedonia include:
- Temporary Work Permit: This permit is issued for short-term employment and is generally valid for up to 12 months. Temporary work permits are typically granted for seasonal work, internships, or other temporary job opportunities.
- Family Reunification Work Permit: Foreign nationals who are married to or in a registered partnership with a North Macedonian citizen or a person with a permanent residence permit may be eligible for a work permit through family reunification. This permit allows the holder to work in North Macedonia without restrictions.
Citizens of European Union (EU) countries generally do not need a work permit to work in North Macedonia, as they benefit from the freedom of movement within the EU. However, they are required to register with the local North Macedonian authorities if they plan to work and stay in the country for more than three months.
Public Holidays
North Macedonia Public Holidays
Holiday Name | Date |
New Year’s Day | 1st January |
Orthodox Christmas | 7th January |
Good Friday | Varies |
Easter Monday | Varies |
Labour Day | 1st May |
St. Cyril and Methodius Day | 24th May |
Eid al-Fitr | Varies |
St. Elijah’s Day | 2nd August |
Independence Day | 8th September |
Day of the Uprising | 11th October |
St. Clement of Ohrid Day | 8th December |
Wondering if expanding
in North Macedonia is right for you?
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The Benefits
North Macedonia Employer of Record Benefits
When you choose Agility EOR to expand in North Macedonia, we guarantee an Employer of Record Service tailored to the needs of your business
Compliance
We are on top of regulatory changes in North Macedonia so you can relax.
Cost reduction
Allow our economies of scale to work in your favour.
High Service Levels
You and your employees have a dedicated account manager.
Fixed Cost Pricing
We will agree our professional fees up front based on your needs - no nasty surprises!
Consolidated Invoicing & Payments
Make one monthly payment to cover all your tax, social and wages costs from one to one thousand employees.
Fast delivery
You can have 'boots on the ground' within days on our infrastructure.
Reduced Risk
All wage taxes are remitted in full to the North Macedonian authorities by professionals ensuring liabilities are met, giving you peace of mind.
Supply Chain Transparency
We only pay employees through local full employed solutions meaning North Macedonian payroll tax is paid on all funds.
Save Time and Money
Our expertise is at your disposal. The need for you to have internal HR, Payroll and admin staff is eliminated.