Employment in Macedonia

The local terms работен однос, договор за вработување and вработување describe an employment relationship, an employment contract and employment itself. North Macedonia has a functionally distributed system rather than one central employment authority. The Ministry of Economy and Labour, the Employment Service Agency of the Republic of North Macedonia (ESA or AVRSM), the Public Revenue Office (UJP), the State Labour Inspectorate, the State Statistical Office and ESARM each perform different functions. ESA provides services through 30 employment centers. Before employment starts, the usual process is a written договор за вработување. The worker should receive a copy when signing. The employer must register the worker with ESA and compulsory social insurance before the first working day. Employment rights begin from the contract date. An indefinite contract is the standard form. A fixed-term contract for the same work can generally last up to five years, excluding seasonal work. Seasonal work can last up to eight months within twelve months. The contract states the parties, start date, duties, workplace, duration, full-time or part-time status, daily and weekly hours, basic pay, allowances and leave. It also refers to the employer's internal rules where relevant. A probation period is optional and must state its pay and duration in the contract. It may last up to four months, or three working days for seasonal work. During probation, the worker may end the contract with three working days' notice. Workers should check that the signed contract matches the actual job, workplace, schedule and pay before starting. ESA's e-rabota service lists current vacancies and offers free job placement in North Macedonia or abroad, job clubs, career guidance and an individual employment plan. A person normally registers in person at the employment center for the place of residence with an identity document and the original diploma or certificate. Active jobseekers and people receiving a cash benefit usually report every 30 days with proof of their search; other jobseekers usually report every six months. An individual employment plan records goals, activities, measures and place of participation and is valid for six months. The 2026 active labour market plan includes training, internships, employer training, subsidized employment, information-technology and language skills, and public works. Formal employment remains the main form of paid work, but informal work is significant, especially in seasonal agriculture, construction and related activities. In the second quarter of 2026, North Macedonia had 798,718 economically active people, 708,698 employed people and 90,020 unemployed people. The activity rate was 52.5%, the employment rate 46.6% and the unemployment rate 11.3%. Informal employment covered 101,022 people; 51.0% of that work was in agriculture, forestry and fishing and 17.2% in construction. The vacancy rate was 2.17%, with 2,980 vacancies in services and sales and a 6.23% vacancy rate in accommodation and food services. These figures describe the labour market at that date and do not guarantee a job or a particular wage. Pay must be monetary and consists of basic pay, a performance component and allowances where applicable. For full-time work under the normal standard, the statutory minimum wage from March 2026 is 38,507 MKD gross, approximately 26,046 MKD net. The average wage in June 2026 was 72,785 MKD gross and 48,381 MKD net. Actual pay depends on the occupation, contract, sector and employer. The wage period may not exceed one month, and payment must normally occur no later than 15 days after that period. Personal income tax is 10%. Payroll normally deducts social contributions and the personal allowance before calculating tax and the net amount. From 1 July 2026, the contribution rates are 19.9% for pension insurance, 7.5% for health insurance, 0.5% for workplace injury insurance and 0.1% for unemployment insurance. The employer reports payroll through the UJP MPIN form by the tenth day of the following month. Workers can compare their payslip with the stated gross pay and check whether insurance contributions were submitted. Normal working time may not exceed 40 hours per week, usually across five days. Law or a collective agreement may set full-time work between 36 and 40 hours. Overtime normally may not exceed eight hours per week or 190 hours per year. A special exception for strategic national projects requires the worker's written consent. A worker receives a paid 30-minute break after at least six hours of work, or a 15-minute break for four to less than six hours. Daily rest must be at least 12 hours. Weekly rest must include at least 24 hours plus 12 hours, with Sunday as the default day. Permitted Sunday work requires at least a 50% Sunday supplement and replacement rest. Paid annual leave is at least 20 working days and may reach 26 days under a collective agreement or contract. Older workers, workers with disabilities or at least 60% physical impairment, and workers caring for a child with a disability may receive three additional days. The full annual-leave entitlement normally arises after at least six months of uninterrupted work for the same employer. At least two uninterrupted weeks should be used by the end of the year, while the remaining days can normally be used by 30 June of the following year. Paid personal or family leave may total up to seven working days. Unpaid leave may reach three months per year under the applicable collective agreement. Workers are protected against discrimination in access to employment, pay, promotion, training, working time, leave and termination. Equal pay applies to equal work. Harassment, sexual harassment and workplace bullying are prohibited. Occupational safety and health, information about risks and medical monitoring belong among the employment conditions where applicable. The worker must perform the agreed work, follow lawful instructions and respect working-time and workplace discipline. The employer must keep records of working time. A worker usually gives at least one month's notice when ending employment; the contract or collective agreement may provide a longer period of up to three months. An employer normally gives at least one month's notice, or two months when the employer has more than 150 workers or the termination affects more than 5% of the workforce. Seasonal work has a seven-working-day notice period. Termination must be written, reasoned and include information about legal remedies. A worker can challenge an immediate termination within eight days and can bring a court claim within 15 days after the complaint decision. Claims for unpaid money generally expire after three years. After losing a job, ESA cash unemployment benefit may require at least nine months of uninterrupted employment or twelve months with interruptions during the previous 18 months. Eligibility also depends on the reason employment ended and on submitting the application. Registration and reporting duties apply after job loss, and health-insurance status should be checked with the Health Insurance Fund. The Law on Work Engagement of Persons and the e-Employment system provide a functional alternative for certain short-term or seasonal activities. The permitted sectors include agriculture, forestry and fishing, accommodation and food services, and household work. Before the activity starts, the employer must register it and inform the worker about the type, place, duration, hours, breaks, safety and pay. Access can include unemployed and employed people, self-employed people, students, pensioners, foreigners with regulated residence and minors for permitted work. This arrangement is not a regular employment contract, so its contract terms and protection must be checked separately; social, child-protection, pension and in some cases unemployment rights can nevertheless remain. Foreign workers may need a work permit or a temporary-residence employment process. ESARM can issue permits for specified regulated-residence, family, refugee or protection statuses and can provide opinions for employment, posting and seasonal work. Some short-term services may use a certificate without a work permit. Permit costs and processing times are case-specific and should be checked for the worker's status, nationality, activity and intended duration. ESA placement and career-guidance services are free. Payroll deductions cover tax and social contributions, while contract, permit and translation costs can arise depending on the case. Current special rules should be checked before relying on a general summary, particularly for foreign workers, seasonal work, termination and changing contribution rates.