Insights: Labor Agreement & Payroll

Negotiating labor agreements in Eastern Europe, Central Asia and the Caucasus involves specific nuances that differ from Western practices due to local labor laws. These differences can significantly impact your agreements.

To ensure compliance and avoid misunderstandings with employees, please consider the following key points:

• Currency: Is the salary currency stated in the contract compliant with local regulations? Will payments be made in the same currency?
• Payment: Are you clear whether the salary figure is gross or net? Do local laws require semi-monthly payments? Have you established a clear payroll schedule?
• Vacation: How are vacation days calculated – calendar days or working days? Have you confirmed this with your employees?

If you need expert advice on labor laws and payroll matters in these regions, our team is ready to assist you before you finalize any labor agreements.