Global EOR Services in Turkmenistan
Find, Hire & Pay Employees in Turkmenistan
Global Employer of Record (EOR) services in Turkmenistan offer a seamless solution for companies aiming to hire employees in the region without setting up a local legal entity. By managing compliance, payroll, taxation, and employee benefits in accordance with Turkmenistan regulations, Global EOR services enable businesses to focus on growth while navigating the complexities of local labor laws with ease.
Why Use Global EOR Services in Turkmenistan?
Turkmenistan is not a common destination for global EOR providers due to its highly regulated market.
That said, where available, an EOR can help:
Act as the legal employer for local hires
Draft and execute compliant employment contracts (in Turkmen and Russian, sometimes English)
Register employees for tax and social fund contributions
Manage payroll in TMT
Handle statutory benefits and leave entitlements
Ensure compliance with Turkmenistan’s Labor Code and related laws
Support lawful terminations
👉 Note: Most foreign companies operating in Turkmenistan do so via joint ventures or direct entity setup because of strict rules on employing foreign nationals and tight government oversight.
🇹🇲 Turkmenistan: Country Overview
Turkmenistan is located in Central Asia and is rich in natural gas reserves, which dominate its economy. The country follows a highly centralized, state-controlled economic model. While foreign investment is permitted in certain sectors (mainly energy, infrastructure, and telecommunications), doing business in Turkmenistan can be complex due to regulatory restrictions and bureaucratic processes.
Capital: Ashgabat
Currency: Turkmenistani Manat (TMT)
Population: ~6 million
Official language: Turkmen
Main industries: Natural gas, petroleum, petrochemicals, textiles, agriculture (cotton)
Main exports: Natural gas, cotton, textiles, oil products
Main trading partners: China, Turkey, Russia, UAE
Employment Laws and Policies
Main law:
Labor Code of Turkmenistan (2009, with amendments)
Law on Occupational Safety and Health
📄 Employment Contracts
Written contracts are mandatory.
Contracts must specify job title, duties, salary, work hours, conditions, leave entitlements, and termination provisions.
Types:
Indefinite-term contract (default type)
Fixed-term contract (allowed where justified, e.g., project work)
🕰 Working Hours
Standard: 40 hours/week
Overtime: Allowed in limited circumstances; paid at increased rates as per Labor Code
🌴 Leave Entitlements
Annual leave: Minimum 24 calendar days
Sick leave: Paid by employer, rates depend on employment history and collective agreements
Maternity leave: 112 calendar days (70 before + 42 after birth), paid via social fund/employer
Paternity leave: Not specifically legislated, but unpaid leave may be granted
Public holidays: ~10 national holidays
💸 Payroll, Taxes & Contributions
Personal income tax: Flat 10% on salaries
Employer contributions:
Social security fund: ~20% (for pensions, social insurance)
Other local fees may apply
Employee contributions: Minimal; mostly covered by employer payments
Payroll is processed in TMT; payments must be made to government agencies on time to avoid penalties.
🏥 Health & Safety
Employers must provide:
A safe working environment
Health and safety training
Mandatory medical checks (especially for hazardous roles)
⚠ Termination & Severance
Notice period:
2 weeks to 2 months depending on reason (e.g., redundancy requires 2 months’ notice)
Severance:
Minimum 2 weeks to 3 months’ average earnings (depending on length of service and reason for termination)
Termination must follow the procedures under the Labor Code and often requires notifying or seeking approval from state bodies.
⚖ Non-Discrimination
Labor Code prohibits discrimination based on sex, race, nationality, language, origin, property or official status, place of residence, religion, political beliefs, or other factors not related to professional qualities.
Opening a Legal Entity in Turkmenistan
Options:
Representative office (cannot engage in commercial activities)
Joint venture with a local partner
Limited Liability Company (LLC) (requires local registration and often local ownership in some sectors)
👉 Setup process includes:
Approval from Ministry of Economy/Finance (or sector-specific regulator)
Registration with tax and social security authorities
Opening a local bank account
⏱ Timeline: 2–4 months
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