Kyrgyzstan

Employer of Record in Kyrgyzstan

Only 499 EUR per employee per month

We currently do not offer any services in this country.
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Rivermate's Employer of Record (EOR) solution helps companies hire remote employees in Kyrgyzstan . We take care of global payroll, taxes, benefits, compliance and HR activities. So you can focus on growing your business. Our Employer of Record (EOR) solution is beneficial to companies that want to hire remote employees in a breeze. On this page you will find employment information for Kyrgyzstan.

Employer of Record people
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Currency
Kyrgyzstani Som
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Capital
Bishkek
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Region
Asia
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Language
Russian
Hire remote employees
Population
6524195
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GDP
$7.56 billion
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GDP growth
4.58%
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Ease of doing business
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World GDP share
0.01%

1. Grow your team in Kyrgyzstan with Rivermate as your Employer of Record (EOR) / PEO

Payroll, benefits, taxes, and compliance can be difficult to manage in Kyrgyzstan , particularly if you don't have established local relationships. You can hire employees in Kyrgyzstan effectively, conveniently, and in full compliance with all relevant labor laws using Rivermate's global Employer of Record (EOR) solution. We handle the responsibilities and legal risks associated with foreign employment so you can concentrate on growing your company.

2. Summary

Kyrgyzstan, formally the Kyrgyz Republic, is a landlocked mountainous nation in Central Asia. Kyrgyzstan is bounded to the north by Kazakhstan, to the west by Uzbekistan, to the south by Tajikistan, and to the east by China. Bishkek is its capital and biggest city. The bulk of the country's six million residents is ethnic Kyrgyz, with a large minority of Uzbeks and Russians. Kyrgyz and other Turkic languages are closely related.

Kyrgyzstan's history is rich in civilizations and empires. Despite its physical isolation due to its high mountainous terrain, Kyrgyzstan has served as a crossroads for various major civilizations as part of the Silk Road and other trading routes. Kyrgyzstan, inhabited by a series of tribes and clans, has frequently come under bigger dominance. Turkic nomads with ancestors from several Turkic nations, including the First and Second Turkic Khaganates, have lived in the country throughout its history. Kyrgyzstan was captured by the Mongols in the 13th century; it recovered independence but was afterward attacked by the Dzungar Khanate. Following the collapse of the Dzhungars, Kyrgyz and Kipchaks became an essential element of the Kokand Khanate. Kyrgyzstan joined the Russian Empire in 1876, and the Kirghiz Soviet Socialist Country was created in 1936 to become a constituent republic of the Soviet Union. As a result of Mikhail Gorbachev's democratic changes in the USSR, pro-independence candidate Askar Akayev was elected president in 1990. Kyrgyzstan gained independence from Moscow on August 31, 1991, and a democratic government was founded. Kyrgyzstan gained independence as a nation-state after the dissolution of the Soviet Union in 1991.

Kyrgyzstan was officially a unitary presidential republic after independence, but after the tulip revolution, it became a unitary parliamentary republic, though it gradually developed an executive president and was governed as a semi-presidential republic before reverting to a presidential system in 2021. Throughout its history, the nation has seen ethnic conflicts, revolts, economic difficulties, transitional regimes, and political struggles.

Kyrgyzstan belongs to the Commonwealth of the Independent States, the Eurasian Economic Union, the Collective Security Treaty Organization, the Shanghai Cooperation Organization, the Organization of Islamic Cooperation, the Organization for Security and Cooperation in Europe, the Organization of Turkic States, the TĂĽrksoy community, and the United Nations. It is a developing nation that ranks 120th on the Human Development Index and is the poorest in Central Asia. The country's transition economy is highly reliant on gold, coal, and uranium reserves.

Hiring talented employees in a short span is not an easy task. Partnering with an Employer of Record (EOR) like Rivermate in Kyrgyzstan is your best option, giving your organization enough time to focus on other aspects of international expansions like project management and inventory management. The EOR takes care of all the compliance and legal issues while helping you speed up hiring using their knowledge of domestic employment practices and virtual onboarding tools. Top EORs also have provisions for the e-signing of documents to enable faster onboarding.

3. Public holidays

4. Types of leave

There is no information about the types of leave for this country.

Paid time off

Employees are entitled to 28 days of paid vacation per year.

Public holidays

New Year’s Day

Orthodox Christmas

Defender of the Fatherland Day

International Women’s Day

Nowruz

Day of the People’s April Revolution

Labor Day

Constitution Day

Victory Day

Orozo Ait

Independence Day

Kurban Ait

Days of History and Commemoration of Ancestors

Sick days

Employers are not required to provide paid sick leave, but most do offer some time off in the event of illness.

Maternity leave

A pregnant female employee has the right to take up to 70 days of leave before and after the birth of her child. The mother is entitled to 70 days of leave after the birth of her child if the birth is complicated or if she has more than one child at the same time.

In some remote or mountainous areas, female workers are entitled to additional maternity leave.

The child's father or any other relative who will be caring for the child may take part or all of this leave. Unpaid time off may be taken until the child reaches the age of three.

Employers pay employees 100 percent of their wages for the first ten working days of maternity leave. The government pays a benefit to the employee on leave starting on the 11th day and continuing until the end of the leave.

Female employees may not be denied employment or terminated because they are pregnant, and women who have young children at home may not be fired except in rare cases of misconduct.

Paternity leave

There are currently no laws or regulations in Kyrgyzstan regarding paternity leave.

Parental leave

Other than the already mentioned terms for maternity leave in Kyrgyzstan, there are no other provisions in the law regarding parental leave.

Other leave

5. Employment termination

There is no information about employment information for this country.

Termination process

An employment contract may be terminated in one or more of the following circumstances: the parties agree to terminate the contract; the contract is for a fixed term and the term has expired; either the employer or the employee chooses to terminate the contract; the employee transfers to a new job with a different employer, either at the employee's request or with the employer's agreement; and circumstances beyond the parties' control.

Additionally, an employee may cancel an employment contract with two weeks' written notice, and if an employer refuses to terminate a fixed-term employment contract at the employee's request, the employee may seek a judicial settlement.

There are numerous reasons for an employer to terminate an employee's employment contract. These include downsizing or layoffs, a change in the organization's ownership, an employee's lack of skills, and other sorts of major employee misconduct, such as absenteeism, showing up to work intoxicated, stealing, or presenting false information to the company.

Employers are often required to submit one month's written notice of termination, which must be acknowledged in writing by the employee. Employers, on the other hand, are only required to provide two weeks' notice if an employee is unable to perform the job's obligations owing to a lack of qualifications or health difficulties.

Generally, an employee cannot be discharged during a time of temporary disability or leave.

Notice period

The length of notice varies by employer, although it is normally limited to one month.

Probation period

Probationary periods are limited to three months for entry-level positions and six months for managers and similar positions. During the probationary period, either party may terminate employment by providing three days' written notice.

Severance pay

Severance payments are only required in specific circumstances and are typically equivalent to one or two months' wages.

6. Working hours

There is no information about the working hours for this country.

General working schedule

Kyrgyzstan's standard workweek is 40 hours. In certain instances, a worker's wage for night work must be at least 1.5 times the base wage.

Work performed on a scheduled day off or a holiday shall be compensated at a rate not less than twice the worker's regular rate of pay.

Overtime

Overtime is compensated at a rate of at least 1.5 times the worker's basic hourly rate for the first two hours and at a rate of at least two times the worker's basic hourly rate for the third hour and any additional overtime hours.

7. Minimum wage

There is no information about the minimum wage for this country.

The Kyrgyz Republic's minimum monthly wage is 1750 Kyrgyzstani Som, or about $20.

8. Employee benefits

There is no information about the employee benefits for this country.

Kyrgyzstan has a mandatory health insurance system that includes basic, mandatory, and voluntary health insurance. All citizens in the Kyrgyz Republic have access to free primary health care. A co-payment is required for hospitalization.

9. Taxes

There is no information about the taxes for this country.

Corporate tax

Companies in Kyrgyzstan are imposed a corporate tax rate of 10 percent.

Individual income tax

Taxable persons in Kyrgyzstan are imposed a flat income tax rate of 10 percent.

VAT, GST and sales tax

The value-added tax (VAT) or the goods and sales tax (GST) in Kyrgyzstan has three different rates. THhe standard rate is 12 percent but some goods and services are imposed reduced rates of 5 percent and 1 percent.

10. VISA and work permits

There is no information about VISA and work permits for this country.

Employers of foreign nationals in Kuwait have few alternatives under the country's immigration system. The petroleum-based sector dominates Kuwait's open economy, with financial services being the region's biggest non-petroleum business.

Visitors on business may get a commercial visit visa sponsored by a Kuwaiti enterprise. Certain nations may qualify for visa-on-arrival or hotel-sponsored visit visas.

Foreign nationals are severely limited from working in Kuwait, and the government vigorously encourages the hiring of Kuwaitis. Recent nationalization initiatives have emphasized the replacement of foreign nationals in the public sector with Kuwaitis.

Foreign nationals must acquire an entrance visa as well as employment and residency permits as part of the immigration procedure. Local sponsorship is required.

11. Employer Of Record service terms

There is no information about the Employer of Record (EoR) service terms for this country.

Employment contracts

Employment contracts must contain a job description, salaries, location of employment, and the employer's and employee's rights and duties. Both parties must sign and date it in writing. Although employment contracts might be for a set period of time, it is preferable to have them for an indefinite period of time.

With Rivermate being your Employer of Record (EoR) in Kyrgyzstan, you do not have to worry about the employment contracts, as we take care of that.

Minimum assignment length

Fixed-term contracts are not authorized in all instances and, in general, cannot last longer than five years. If no time frame is mentioned in writing, the term will be endless. If both parties choose to continue the connection after a fixed-term contract ends, the contract is considered indefinite.

Payment currency

Kyrgyz Som (KGS)

United States Dollar (USD)

Euro (EUR)

British Pound (GBP)

Chinese Yuan (CNY)

13.Opening a subsidiary in Kyrgyzstan

There is no information about the working hours for this country.

How to set up a subsidiary

Learning how to establish a Kyrgyz Republic subsidiary may be a time-consuming procedure, and failing to comply with any of the country's rules might result in penalties or delays. We suggest beginning the process by thinking about your firm and location. Different areas or cities in the Kyrgyz Republic may function similarly to states, with their own laws, prices, and availability. If you are unfamiliar with the various locations in the Kyrgyz Republic, you should speak with a consultant who can assist you in finding the appropriate site for your subsidiary.

You should also think about the activities you want to do in Kyrgyzstan. For your incorporation, the country offers a variety of entity alternatives, including a limited liability company (LLC), a public limited company, a representative office, a branch office, and more. It is critical to choose an organization that matches your company objectives, since some will provide you more or less flexibility to operate in the Kyrgyz Republic.

Companies that want to operate in the nation like a local firm often organize as an LLC because it gives them the greatest freedom. The following are the processes to establishing your Kyrgyz Republic subsidiary as an LLC:

1. Making your by-laws

2. Establishing an in-country bank account

3. Contract creation with a notary public

4. Submitting the essential documentation to the appropriate judicial authorities

Subsidiary laws

The subsidiary laws of the Kyrgyz Republic differ depending on geography and entity. LLCs need one director and one shareholder of any country; however, the only shareholder cannot be a corporate body. There is no need for a minimum number of shares to be held in order to establish this organization. A limited liability corporation (LLC) cannot have more than 30 shareholders; otherwise, it must convert to a joint stock company within one year or risk liquidation.

Because LLCs function in the same way as resident companies, you will be subject to the same Kyrgyz Republic subsidiary tax legislation. To be compliant, you must submit an annual tax return as well as financial statements. Setting up your Kyrgyz Republic subsidiary as an LLC might take up to three months in total.

13. Why choose Rivermate as your Employer of Record / PEO in Kyrgyzstan

Establishing an entity in Kyrgyzstan to hire a team takes time, money, and effort. The labor law in Kyrgyzstan has strong worker employment protection, requiring great attention to details and a thorough awareness of local best practices. Rivermate makes expanding into Kyrgyzstan simple and effortless. We can assist you with hiring your preferred talent, managing HR and payroll, and ensuring compliance with local legislation without the hassle of establishing a foreign branch office or subsidiary. Our PEO and Global Employer of Record (EOR) solutions in Kyrgyzstan give you peace of mind so you can focus on running your business. Please contact us if you'd like to learn more about how Rivermate can help you hire employees in Kyrgyzstan via our Employer of Record (EOR) / PEO solution.

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