Expand your organization into Georgia, even if you don’t have a Georgian entity
Since the collapse of the Soviet Union in the 1990s and the subsequent economic crash, Georgia has developed a strong economic base and is now an area of great potential. Investing and expanding your business in Georgia can bring great benefits, but it is not always a simple process. The country has a unique set of business and employment laws, language barriers, and cultural differences that can make it hard for foreign organizations to work effectively, and delays are not uncommon.
At New Horizons, we specialize in helping organizations expand internationally, including into Georgia. Our professional employer organization (PEO), employer of record, and payroll outsourcing services provide everything necessary to expand your business into Georgia, whether or not you have registered an entity there already.
Our in-house recruitment team can also source, recruit, and onboard your local workforce, as well as handling any ongoing HR administration. Our dedicated team will provide everything you need to expand into Georgia as efficiently as possible and can potentially save you thousands in expansion costs.
Our Georgia PEO simplifies your expansion
New Horizons enables your business to expand its operations into Georgia – without setting up a legal subsidiary.
Hiring in Georgia: Employment law overview
Employment contracts in Georgia
Employment contracts in Georgia can technically be either verbal or written, but we recommend always writing up formal contracts for every employee. These contracts should cover any relevant details of the employment arrangement such as salary, working hours, job title, and so on. They should also be written in Georgian and use the local currency of the Georgian lari.
Working hours in Georgia
Employees in Georgia generally work a standard week of 41 hours.
Public holidays in Georgia
There are several nationally recognized public holidays in Georgia, for which most employees receive the day off work:
- Mother’s Day
- International Women’s Day
- National Unity Day
- Orthodox Easter Sunday
- New Year’s Day
- Orthodox Christmas Day
- Orthodox Epiphany
- Orthodox Easter Monday
- Victory Day
- Independence Day
- Mariamoba (Assumption)
Georgia vacation leave
Employers in Georgia are required to offer at least 24 days of paid leave per year for employees. Additionally, employees can take 15 days of unpaid leave each year.
Georgia sick leave
Employees in Georgia are entitled to accumulate a total of 15 days of paid sick leave per year at a rate of 10 hours of leave per month of service.
Parental leave in Georgia
Female employees in Georgia are entitled to 126 days of paid maternity leave in most cases, and payments are covered by the government. Additionally, workers can take up to two weeks of unpaid leave each year to care for their child up to the age of five.
Terminations and severance in Georgia
In Georgia, the usual notice period for terminations is 30 days. This does not apply during probation periods, which are limited to six months.
Taxation in Georgia
Employees and employers in Georgia do not need to pay toward social security funds. The income tax rate in Georgia is a flat 20%.
Corporate tax in Georgia is 15%.
Health coverage in Georgia
Georgia does not have mandatory health insurance. Employees should sign up to local care authorities or have their own private insurance, so some employers choose to provide insurance as part of their benefits packages.
Georgia compensations & benefits
Compensation laws in Georgia
The official minimum wage in Georgia has not been updated for decades and is not actually followed in practice, so employers should negotiate individual compensation on a case-by-case basis.
Benefit management in Georgia
It is common for employers in Georgia to offer benefits packages to their workers. However, establishing a benefits system in Georgia can be complicated, especially if you are unfamiliar with the country’s unique set of labor laws and administrative procedures.
New Horizons can help you bypass this complicated part of your Georgia expansion by offering benefit system outsourcing that can save you time and money. Our experts will advise you on the best course of action and take care of your benefit setup and management, helping you focus on the rest of your expansion.
New Horizons will help you expand your business into Georgia faster
At New Horizons, we offer bespoke employer of record, PEO, and payroll outsourcing to help organizations start trading in Georgia as time and cost-efficiently as possible. Our experts will ensure that you are ready to kickstart your Georgia operation in as little as 48 hours, and could save you up to 82% in expansion costs, even if you haven’t already registered a legal entity in the country.
We can handle all of your expenses, payroll, benefits, and legal compliance in Georgia, as well as all related human resources administration. As the only global PEO with an in-house recruitment team, we can also find and hire your local staff, providing our Georgian subsidiary to act as employer of record for your hires so you don’t even need to establish a Georgian entity.
Talk to our Georgia experts today to learn how our outsourcing services can help you to seamlessly expand into Georgia.