Algeria PEO Services

Global PEO Services (GPS) helps companies hire employees in Algeria without establishing a legal entity. All human resources, benefits, payroll, and tax needs for the employees are managed by the Global PEO, while the new hires and headquarter teams focus on your business goals.

When hiring employees in Algeria, establishing a subsidiary or branch office is not always the best route, as it’s often a lengthy and expensive process. Hiring via a Professional Employer Organization (PEO), or Employer of Record (EOR), is a faster and often more effective option – especially when starting up in a new country.

Global PEO Services hires the employees on your behalf, legally contracting them through our subsidiary in accordance with Algeria labor laws. As a result, the burden of compliance is on us and the employees can begin work for your company in a matter of days. PEOs/EORs provide you with a streamlined option for hiring employees, testing markets, and responding to growing business needs in Algeria. With Global PEO Services, you get control without taking on legal entity liabilities, contractor risks, or sacrificing on talent or speed to market.

Employment contracts are not required by law, but an implied contract exists if an individual is compensated for work. Contracts can be verbal or written. Fixed-term contracts that are not concluded in writing or do not comply with the law are considered indefinite contracts. Fixed-term contracts must specify the employment duration and the reason for a fixed duration.

According to the Labor Code, contracts can be concluded for a fixed-term in the following conditions:

• Performance of casual tasks of a discontinuous nature, seasonal work or cases of a temporary increase in workload;
• Temporary replacement of a worker, and
• Performing work for a limited time that is temporary in nature.

Employment contracts must state the following information:

• The location of work;
• Commencement date;
• Work hours;
• Summary of required duties;
• End date (if fixed term);
• Length of probation, and
• Compensation and benefits.

Generally, probationary periods cannot exceed 6 months but can be extended only once for a period not more than half the initial term after an agreement between the employer and the employee. The employment relationship may be terminated during the probationary period without notice or compensation.

Holidays

Employees are entitled to the following national holidays (the dates of some vary according to the lunar calendar):

• Jan. 1: New Year’s Day
• May 1: Labor Day
• July 5: Independence Day
• Idul Fitr (date varies)
• Idul Adha (date varies)
• Awal Muharram (date varies)
• Ashura (date varies)
• Nov. 1: Feast of the Revolution
• Mawlid Ennabaoui (date varies).

Annual Leave

Employees are entitled to annual leave at the rate of 2.5 days for each month of work. Annual leave can’t exceed 30 days in a year. Employees are not allowed to waive their vacation entitlement.

Sick Leave

Employers are required to 50% of salary for the first 15 days of sick leave. The rate increases to 100% in the case of hospitalization or after the 16^th day of sickness.

Maternity Leave

Pregnant employees are allowed to take 14 consecutive weeks’ maternity leave at full pay. Employees must take at least one week’s leave before childbirth. Maternity benefits are paid by social security fund.

During and for up to 18 months after pregnancy, working women are entitled to one day’s leave each month to receive medical attention and care for the child.

Paternity Leave

Male employees are entitled to 3 days’ paternity leave for the birth of a child.

Other Leaves

Marriage Leave

Employers must give employees 3 days’ paid leave in the event of their marriage. 

Bereavement Leave

Employers must give employees 3 days’ leave to attend the funeral of a family member.