Employer of Record in Macedonia

An Employer of Record (EOR) in Macedonia is a company that legally hires employees on your behalf. This means you can build a team in Macedonia without setting up a local legal entity. The EOR takes care of payroll, taxes, benefits, and compliance with local labor laws, while you manage your employee's day-to-day work. It's a straightforward way to hire talent in a new country. For companies looking to hire in Macedonia, an EOR provider like Rivermate can simplify the process.

How an Employer of Record (EOR) Works in Macedonia

Using an EOR in Macedonia streamlines the hiring process. You find the talent, and the EOR handles the rest.

Here is how it works:

• You find your ideal candidate in Macedonia.
• The EOR legally hires the employee through their local Macedonian entity.
• The EOR drafts a compliant employment contract that meets all local regulations.
• They manage all HR tasks, including payroll, taxes, and benefits administration.
• Your employee works for you, just like any other team member, while the EOR handles the legal and administrative responsibilities.

Why use an Employer of Record in Macedonia

Using an EOR in Macedonia helps you expand your team quickly and efficiently. It removes the legal and administrative burdens of international hiring. This lets you focus on growing your business.

Here are some key benefits:

• Enter the market faster. You can hire employees in days, not the months it takes to set up a legal entity.
• Ensure full compliance. EORs are experts in Macedonian labor laws, which are overseen by the Ministry of Labour and Social Policy. They ensure your hiring practices comply with the Labor Relations Law.
• Reduce costs. Avoid the significant expenses and time associated with establishing a legal entity in Macedonia.
• Simplify payroll and HR. The EOR manages all payroll calculations, tax withholdings, and statutory benefits for your Macedonian employees.
• Mitigate risks. The EOR assumes the legal responsibility for employment, reducing your risk of non-compliance with local laws.

Rivermate's transparent pricing model eliminates complexity with a single, competitive monthly fee per employee. Unlike traditional PEO providers, our pricing in Macedonia includes comprehensive HR support, benefits administration, compliance management, and access to our proprietary dashboard for real-time workforce analytics. No hidden costs, no setup fees—just straightforward pricing that scales with your business needs while ensuring full legal compliance in Macedonia.

Hiring in North Macedonia offers a gateway to a skilled workforce with competitive labor costs. The country's location in Southeast Europe provides proximity to other European markets. To hire employees, you must provide a written employment contract in the local language and register them for social insurance and health funds.

Employment contracts & must-have clauses

You must provide a written employment contract to your employees in North Macedonia. The contract can be for a fixed term, not to exceed five years, or for an indefinite period. Keep two copies of the contract: one for the employee and one for your business premises.

Your employment contracts should include the following:

• Parties Involved: Names and details of both the employer and employee.
• Start Date: The official start date of employment.
• Job Details: A description of the role and responsibilities.
• Workplace: The location where the work will be performed.
• Compensation: The basic salary and any other benefits, stated in Macedonian denar.
• Working Hours: Details on the daily and weekly work schedule.
• Leave: Information on annual leave and other types of leave.
• Probation Period: If applicable, the duration of the probation period.

Probation periods

You can include a probation period in the employment contract, which can last up to six months. During this period, the minimum notice for termination is three days.

Working hours & overtime

The standard workweek in North Macedonia is 40 hours, typically eight hours per day, five days a week.

• Breaks: Employees working more than six hours a day get a 30-minute lunch break.
• Rest Periods: Workers must have at least 12 hours of rest between workdays and a minimum of 24 hours of rest per week.
• Overtime: Overtime is allowed up to eight hours per week and 190 hours per year. You should approve overtime in advance and specify the overtime pay rate in the employment contract.

Public & regional holidays

Your employees in North Macedonia are entitled to time off for public holidays. Some holidays are for all citizens, while others are specific to certain religious or ethnic communities.

This is a list of major holidays for 2024 and may not be exhaustive. Dates for some holidays may vary each year.

Hiring contractors in Macedonia

You can hire independent contractors in North Macedonia for project-based work, which offers flexibility and access to specialized skills. When you hire a contractor, the relationship is governed by a service agreement, not employment law. This means contractors are not entitled to benefits like minimum wage, paid leave, or social security.

A key risk in hiring contractors is misclassification. If a contractor is deemed to be an employee in disguise, your company could face significant penalties. This includes back payments for taxes, social contributions, and employee benefits.

To determine if a worker is a contractor or an employee, authorities look at factors like:

• Control: Do you dictate their work hours and methods?
• Integration: Is the worker part of your core business operations?
• Exclusivity: Does the worker provide services only to your company?
• Tools: Do you provide the tools and equipment for the work?

An Employer of Record (EOR) can help you mitigate misclassification risk. An EOR can help you correctly classify your workers and ensure you have a compliant service agreement in place. This allows you to engage contractors in North Macedonia while minimizing legal and financial risks.

Understanding compensation and payroll in North Macedonia is straightforward. The country has a defined minimum wage, standard payroll cycles, and clear regulations for overtime and taxes. This guide breaks down what you need to know to pay your team correctly and stay compliant.

Payroll cycles & wage structure

In North Macedonia, you pay your employees monthly. Payments are typically made at the end of the month for the work completed during that month. You should pay your employees through a bank transfer, as cash payments are not common for formal employment.

Beyond the basic salary, it is common to provide additional compensation. This can include:

• A mandatory meal allowance.
• Bonuses for holidays or based on performance.
• A 13th-month salary is a common practice.

Overtime & minimums

The standard work week is 40 hours, based on an 8-hour day. Any work beyond this is considered overtime. Overtime is limited to 8 hours per week and 190 hours per year. You must pay employees a premium for overtime hours, typically at least 135% of their standard hourly rate. For work on weekends or holidays, the premium is generally 150% of the standard rate.

As of April 2025, the net minimum wage in North Macedonia is MKD 24,400 per month. The government adjusts this rate based on economic conditions and inflation.

Employer taxes and contributions

As an employer, you are responsible for paying social security contributions on behalf of your employees. These contributions are calculated based on the employee's gross salary.

Employee taxes and deductions

You must withhold taxes and social security contributions from your employees' gross salaries.

In North Macedonia, your employee benefits and leave are a mix of government-mandated entitlements and extra perks that companies offer. The Labor Law sets the foundation, making sure you get essentials like paid time off and social security. Many companies, especially larger and international ones, provide additional benefits to attract and keep the best talent.

Statutory leave

The law in North Macedonia requires employers to provide several types of paid leave.

• Annual Leave You get a minimum of 20 working days of paid vacation each year. This can increase to a maximum of 26 days based on how long you've worked for the company. You are eligible for this leave after six months of continuous work with the same employer.
• Sick Leave If you're sick, your employer pays for the first 30 days. The amount you receive depends on how long you are out, starting at 70% of your regular pay for the first 7 days and increasing to 90% after 15 days. After 30 days, the Health Insurance Fund takes over the payments.
• Maternity Leave Mothers get nine months of paid maternity leave for a single child and 15 months for multiple births. This is covered by social security.
• Paternity Leave Fathers are entitled to 7 days of paid leave.
• Other Paid Leave You can also take paid time off for specific life events. This includes up to 7 days for the death of an immediate family member and up to 3 days for marriage.

Public holidays & regional holidays

You get paid time off for national holidays. If a holiday falls on a Sunday, the following Monday is a non-working day.

Typical supplemental benefits

Companies in North Macedonia offer a range of benefits. Some are required by law, while others are voluntary perks to create a more attractive job offer.

How an EOR can help with setting up benefits

Setting up a competitive and compliant benefits package in a new country can be complex. An Employer of Record (EOR) simplifies this process for you.

An EOR already has a legal entity in North Macedonia, so you don't need to set one up. They handle all the administrative work of managing employee benefits. This includes everything from enrolling employees in mandatory social security programs to sourcing and managing supplemental benefits like private health insurance.

Using an EOR ensures that you comply with all local labor laws regarding benefits and leave. They stay up-to-date on any legal changes so you don't have to. This saves you time and reduces risk, allowing you to focus on growing your business and supporting your team.

When you part ways with an employee in North Macedonia, you need to follow a clear and fair process. You cannot terminate an employment contract without a just cause. The country's labor laws outline specific rules for ending employment, from giving proper notice to calculating final pay. Following these regulations is key to a smooth offboarding experience and helps you avoid legal trouble. The process involves understanding the different reasons for termination, taking the right steps for each, and respecting employee rights.

Notice periods

When you terminate an employment contract, you must provide a written notice period. The law sets minimums, but your employment contract can specify a longer period.

In some situations, like serious employee misconduct, you may not need to provide a notice period. For employees on probation, the notice period is typically shorter, often around one week.

Severance pay

Severance pay is not always required. It mainly applies when you terminate an employee for business reasons, like redundancy. Severance is not usually necessary for terminations due to employee misconduct. When it is required, the amount is based on the employee's years of service with your company.

How Rivermate handles compliant exits

Navigating employee terminations in another country can be complex. We handle the entire offboarding process to ensure you comply with all of North Macedonia's labor laws.

• We manage the paperwork. We prepare and deliver all necessary documents, including the written termination notice.
• We ensure proper procedure. Our team makes sure you have a valid reason for termination and that you follow all legal steps.
• We calculate final pay. We handle the final salary, any accrued vacation time, and severance pay if applicable.

By managing the process, we help you minimize risks and ensure a fair and compliant exit for your employees.

Getting the right visas and work permits in North Macedonia is a multi-step process. If you plan to work in the country, you will generally need a long-stay visa, known as a Type D visa, to enter. This visa allows you to stay for more than 90 days and is the first step toward getting a temporary residence permit for employment once you are in the country. The employer in North Macedonia usually starts the work permit application process.

Employment visas & sponsorship realities

To legally work in North Macedonia, you need both a work visa to enter the country and a work permit that authorizes your employment. The most common route for long-term employment is the Type D visa.

An Employer of Record (EOR) can help you navigate this process, but there are some practical things to know.

What an EOR can typically sponsor:

• Work permits for new hires: An EOR can act as your legal employer in North Macedonia and sponsor work permits for employees with a valid job offer.
• Temporary residence permits: Once you have a work permit, the EOR can assist with the application for a temporary residence permit, which is necessary for living and working in the country.

What an EOR generally cannot sponsor:

• Visas without a job offer: You need a confirmed job offer from a North Macedonian employer before you can start the visa process.
• Permanent residency: The path to permanent residency usually requires five years of continuous legal residence in North Macedonia, which is something you would apply for individually after meeting the requirements.

Practical Routes for Employment:

1. Job Offer: Secure a job offer from a company in North Macedonia.
2. Work Permit Application: The employer will then apply for a work permit on your behalf with the Employment Agency of the Republic of North Macedonia.
3. Type D Visa: Once the work permit is approved, you can apply for a Type D visa at the North Macedonian embassy or consulate in your home country.
4. Arrival and Registration: Upon arriving in North Macedonia, you must register with the local police within 24 hours.
5. Residence Permit: After registering with the police, you will need to apply for a temporary residence permit from the Ministry of Interior.

Business travel compliance

For short-term business trips, the rules are different. You do not always need a long-stay visa.

• Short-Stay Visa (Type C): This visa is for visits up to 90 days and is suitable for business meetings, conferences, or other short-term work-related activities.
• Certificate of Employment: For work that will not exceed 90 days, you may be able to work based on a certificate of employment.

It is important to understand the purpose of your visit to choose the correct visa. If you are attending a business meeting, a Type C visa may be enough. However, if you are planning to perform work, even for a short period, you may need a short-term work permit. Always check the specific requirements based on your nationality and the nature of your visit.