Employee benefitsin Armenia

The universal health insurance package provides covered family-doctor consultations, diagnostics, specialist outpatient treatment, planned and emergency hospital care, listed medicines, emergency assistance, chronic-condition care and eligible prostheses. Employees use contracted facilities and pharmacies, with referrals and other required documents; payments above the package reimbursement can require a patient co-payment. Routine dental treatment, orthodontics, dental prostheses and whitening are outside the general package, while emergency dental care for acute pain or inflammation is covered. Ordinary glasses and contact lenses, cosmetic procedures, unlisted treatments and noncontracted facilities are generally excluded. This public package is distinct from additional employer medical insurance.

State-funded health insurance in the 2026 rollout covers qualifying Armenian citizen children, resident citizens aged 65 or over, people with specified disabilities, eligible military-disability pensioners, Chernobyl clean-up participants, eligible survivors/veterans, parents or guardians of a child with a disability, and qualifying low-income-family members. The legal resident/citizenship conditions differ by group. A worker who also qualifies for a more favourable state-funded group receives that treatment. Coverage for mothers caring for a child under 2 and one parent in a family with three or more minor children is a later rollout category; those family circumstances alone do not establish current 2026 enrolment.

Armenia introduced phased universal health insurance on 1 January 2026. In 2026, employees enter the paid-contribution cohort when salary from an individual employer reaches AMD 200,001: the initial cohort used November 2025 salary, and later 2026 entrants qualify through January–November salary. Crossing the threshold starts continuing deductions even if pay later falls during the following 12 months. The employee premium is AMD 4,800 per month for salary up to AMD 500,000 and AMD 10,800 for salary of AMD 500,001 or more. The employer withholds the payment; this is an employee deduction, rather than an additional employer payroll contribution. Employers remit by the 20th of the following month. New 2026 entrants obtain insured status from the first day of the month after payment. Multiple employers each withhold on their own salary; overpayment above the monthly premium can be reclaimed from the fund. Citizenship or lawful residence and the applicable insured group determine eligibility; employee status alone does not immediately insure everyone. Qualifying state-funded groups receive more favourable treatment. People who leave employment during their twelve-month insured period must continue the full monthly premium themselves.

Private medical insurance supplements the state package with insurer-funded access to covered private healthcare. Plans can include specialist consultations, hospital treatment, diagnostics, dental or maternity care, depending on the contract. Competitive technology employers commonly provide supplementary cover. Some extend medical insurance to families; one disclosed semiconductor-employer policy funds 100% of its medical plan for employees and family members living with them. That full funding is an employer example, not a national premium standard. Employee contributions, dependant eligibility, waiting periods, provider networks and treatment limits are defined by each policy.

Competitive technology employers commonly provide gym or wellbeing support through sports memberships, fitness facilities or organised activities. The employer can buy access directly or reimburse approved membership costs. One disclosed semiconductor-employer policy reimburses AMD 195,000 per year towards a gym membership, with a January–December scheme year and retrospective payment at year-end. This is an employer-specific allowance rather than a national norm. The policy defines eligible expenses, proof of payment and any employee costs above its allowance.

Some employers include mental-health assistance in broader wellbeing support, through confidential counselling or an employee assistance service that helps with personal and emotional concerns. The arrangement can cover employees and specified household members. Session availability, clinical referral, confidentiality protections and any treatment charges are determined by the service and employer policy; a wellbeing programme does not automatically provide unlimited psychiatric care.

An employee whose health deteriorates because of work can receive statutory support while their capacity is assessed. If suitable work is unavailable, a benefit is payable under the applicable rules. When an employee is moved to a lower-paid job for health reasons, the difference from previous average monthly pay is compensated pending the expert assessment. Where work-injury or occupational-disease insurance was not in place, the employer bears the legally determined compensation after loss of work capacity is established. Workplace-injury cases have specific employment protections; ordinary sickness absence limits should not be applied automatically.

The funded pension system builds an individual retirement account from worker deductions and state support. Employees born on or after 1 January 1974 generally participate; older employees can opt in. Before pension age, the employee deduction is 5% of monthly salary up to AMD 500,000. Above that, it is 10% of salary minus AMD 25,000, subject to the ordinary monthly assessment ceiling of 15 times the statutory minimum wage: AMD 1,125,000 at the current minimum, and therefore a maximum ordinary monthly deduction of AMD 87,500. It is not a flat 10% deduction on all higher earnings. The state supplies the difference needed for a total 10% contribution, up to AMD 25,000 per month. The employer calculates and remits deductions rather than matching them as an ordinary employer contribution. Older opt-ins and post-pension-age participation have separate 5% rules, and employees can elect to remove the ordinary maximum-base limit.

For an employee participating in the funded pension system and remaining employed during childcare leave, the employer pays AMD 3,000 per month from the month after leave starts through the month the child turns 2. The combined pension-account allocation is AMD 8,000 per month, with the state funding the balance. Contributions stop when the leave is interrupted. This employer obligation is a specific exception to the ordinary employee-funded pension deduction model.

Liquidation, redundancy and dismissal because another employee is reinstated generally trigger 1 average monthly salary in severance. Specified other grounds, including job unsuitability, long-term incapacity, qualifying essential-term changes and certain military-service cases, use continuous-service bands: 10 times average daily pay up to 1 year, 25 times for 1–5 years, 30 times for 5–10, 35 times for 10–15, and 44 times above 15 years. These amounts depend on the legal dismissal ground; they are not a universal payment on every resignation or mutual termination. A collective agreement, employment contract or written agreement can improve the payment.

Some technology employers provide life insurance alongside medical insurance. The policy pays its insured benefit to the beneficiary following a covered death. The employer’s arrangement determines eligibility, insured amounts, beneficiaries and exclusions. Family medical cover does not automatically extend life insurance to dependants.

Some technology employers include specific cancer cover in their benefits package. The policy defines which diagnosis or treatment triggers cover, the insured amount or eligible expenses, and any waiting periods or exclusions. Cancer cover is distinct from life insurance and from ordinary access to medical consultations.

Some technology employers provide interest-free loan support. The employee receives a repayable advance rather than a cash gift, and the loan agreement sets eligibility, principal, repayment schedule and treatment when employment ends. A 0% interest rate removes contractual interest but does not by itself establish a tax exemption.

Employees in legally designated occupations involving mental or emotional strain or occupational risk receive 25 working days of annual leave on a five-day week or 30 on a six-day week. Exceptional listed categories receive 35 or 42 working days respectively. The Government’s occupation list determines entitlement; a demanding office job alone does not automatically qualify. Additional leave and better pay may also be agreed under an employment contract or collective agreement.

Employees receive at least 20 working days of annual leave on a five-day week, or 24 working days on a six-day week. Part-time or shortened-hours status does not reduce the statutory number of leave days. The leave year follows the employee’s start date. First-year leave is normally available after six months of continuous employment, with earlier access for protected categories or by agreement. Leave can be split, but one block must be at least 10 working days on a five-day week or 12 on a six-day week. The employer pays average daily salary for leave days, normally no later than three days before leave begins. Unused leave is compensated on termination; continuing employment generally requires taking leave rather than replacing it with cash.

A medically certified illness gives access to temporary incapacity benefit from the first calendar day. For incapacity starting on or after 1 September 2025, the employer funds the first 7 calendar days and the state pays from day 8; employers exempt from tax-agent duties follow the state-funded exception. Benefit is 80% of the statutory average monthly earnings base, converted to a daily amount by dividing by 30.4 and paid for eligible calendar days. The average generally uses income over the preceding 12 calendar months, with statutory adjustments for shorter service and childcare periods. The earnings-derived benefit base has a ceiling of 10 times the law’s minimum monthly wage definition and a floor of 50% of that definition; this minimum adds the corresponding income tax to the net statutory minimum, so it is not simply the take-home AMD 75,000 wage floor. Certification and administration use the electronic health and tax systems. Long illness requires functional assessment by three months and can continue under the assessment rules; there is no general 120-day full-salary entitlement.

Employees can request 3 working days of unpaid leave for their marriage and up to 3 working days for the death of a family member. An employee with a disability or caring for an ill family member can request the medically indicated period, up to 30 working days per year. A husband whose wife is on maternity leave or caring for a child under 1 can request up to 2 months’ unpaid leave. Employees can also request up to 4 working days annually for their national, religious or remembrance days. Other unpaid leave may be agreed, within the statutory limits; the general agreed private-sector maximum is 60 days in a working year. Employers can offer paid enhancements through their policies.

Maternity leave normally lasts 140 calendar days: 70 before birth and 70 after. A complicated birth gives 155 days, and multiple births 180 days, with 85 or 110 post-birth days respectively. Unused pre-birth days after an early delivery are added after birth. Maternity benefit is funded by the state for the eligible leave period, using 100% of the statutory average monthly earnings base divided by 30.4 and multiplied by calendar days. The employee base is capped at 15 times the benefit law’s minimum monthly wage definition, which adds the corresponding income tax to the net statutory minimum; a 50% minimum-base floor also applies. The preceding 12 calendar months normally supply the earnings average, with legal adjustments for earlier employers and childcare periods. The employer can agree to fund pay above the statutory cap. The electronic healthcare and revenue records support calculation and payment.

A father can request 5 working days of paternity leave within 30 days after the child’s birth. The employer pays the employee’s average daily salary for each day. This is a short paid entitlement separate from longer childcare leave or an employer’s additional parental policy.

An employee adopting or becoming guardian of a newborn receives leave from adoption or appointment until the infant reaches 70 days of age. For two or more newborns, the end point is 110 days. The child’s biological mother receiving a child through a surrogate has the corresponding leave from birth. These are age-based end points, not an extra 70 or 110 days added after a late adoption. Statutory payment follows the maternity-benefit law and its eligibility and calculation rules.

The mother or stepmother, father or stepfather, or guardian actually caring for a child can request childcare leave until the child turns 3. The leave can be used in one period or in parts. It preserves the employment relationship but is not a statutory employer salary-continuation promise. State childcare allowances and retirement contributions have their own eligibility and funding rules.

Some employers support the children of relocated employees with funding for international schooling. The employer decides which dependants and schools qualify, what fees it covers and whether support continues for the whole assignment. This is an expatriate package component rather than a general statutory education entitlement.

Statutory non-working holidays are separate from annual leave. Work on a holiday included in the employee’s work schedule is generally paid at least twice the hourly or daily rate. For unscheduled work on a rest day or non-working holiday, the parties can agree double pay, another paid rest day within a month, or an additional annual-leave day. Special continuous-service sectors and certain martial-law work have separate rules. The recurring statutory calendar contains 13 non-working dates, including 27 January for remembrance of fallen defenders; additional government-declared non-working days require separate decisions. Regional city days and religious commemorations do not automatically give everyone a paid day off.

Armenia does not impose a general thirteenth-month salary. Employers can agree extra salary payments or bonuses in employment terms, but the amount, timing and conditions follow the applicable contract or plan. An optional annual performance bonus should be distinguished from an unconditional extra month of pay.

Some employers add discretionary or performance-based cash bonuses to salary. The company plan sets eligibility, performance conditions, payment dates and any leaver treatment. An annual incentive plan does not create a statutory thirteenth-month salary. Actual technology-employer disclosures include performance and annual incentive bonuses, but do not establish a national bonus percentage.

Some technology employers offer employees access to a share-purchase plan. The employee purchases company shares under the plan’s contribution, price and participation rules, rather than receiving a guaranteed cash bonus. Holding shares exposes the employee to changes in the company’s share price. Eligibility, purchase windows and local tax treatment depend on the arrangement.

Some technology employers reward employees who refer successful candidates. The employer’s rules define which vacancies qualify, when a referral counts and when any award becomes payable. This recognition payment is distinct from a performance bonus or a statutory salary supplement.

Remote work is available when the job can be performed away from the workplace and employee and employer agree in writing. The agreement, collective terms or work rules set the conditions, equipment, materials and reimbursement of acquisition costs. Employees must remain available in the agreed way and retain their employment rights. Travel back to the workplace is reimbursed according to a written agreement and is distinct from a business trip. Emergency cases can require remote work when ordinary workplace attendance is impossible.

Competitive technology employers commonly offer meal support or office refreshments. Support can be a meal allowance, an onsite cafeteria, or employer-provided snacks and drinks. These forms differ: access to a cafeteria does not by itself mean every meal is free. The employer policy states which meals or purchases it funds, the allowance period and any employee payment.

Technology employers commonly support professional development through technical and soft-skill courses, international certifications, digital learning and language tuition. Funding can take the form of employer-arranged training or approved expense reimbursement. One disclosed semiconductor-employer policy reimburses up to AMD 2 million annually for education, subject to manager approval and available company funding. This is a policy-specific ceiling, not a standard Armenian training budget. Other employers provide free English classes or access to learning platforms without publishing a cash allowance.

Some employers support commuting or transport alongside salary. The arrangement can be employer-provided transport, an allowance or an agreed reimbursement. Eligibility, covered travel and payment terms are set by the employer; commuting assistance is distinct from the reimbursement required for an authorised business trip.

Some technology employers offer a mix of office and home working, with agreed availability and coordination with the team. Remote days or location flexibility are part of employer policy and job suitability, rather than an automatic entitlement to a fixed number of days at home. Equipment, homeworking costs and travel back to the office should follow the agreed terms. Disclosed Yerevan employer practices include onsite/offsite working and work-from-home options.

Some employers recruiting foreign professionals assist with relocation and housing. Support can include moving costs or a rent stipend, with eligibility and duration tied to the role and assignment. The policy sets reimbursable expenses, payment limits and any repayment conditions if employment ends early. These arrangements are additional employer benefits and do not replace immigration or residence requirements.

Employment law applies when the real relationship is employment, even if the parties call the agreement a civil service contract. Armenian courts can apply employee protections to a civil contract that actually regulates employment. A genuine contractor delivers independent services under civil law; the agreement and working arrangements determine autonomy, deliverables, payment and termination. Employee annual leave, paternity pay and employer sick-pay duties should not be assigned automatically to an independent contractor. Contract language alone does not remove a misclassification risk.

Mandatory creation, change and termination of employment relationships through the state digital system starts on 1 July 2027, subject to the legal exceptions. Before then, the system can be used voluntarily; once a relationship originates digitally, its subsequent changes and termination also use the system. Continuing earlier paper employment contracts and qualifying appointment acts must be entered by 30 June 2028. The current timetable follows the September 2026 transition amendment.

Employment terms must be documented and signed, and should state the parties, start date, job, pay, hours, workplace and relevant conditions. Armenian-language terms can be accompanied by a translation. Indefinite employment is the ordinary model. A fixed term needs a legal basis connected with the work or a statutory category, such as seasonal or temporary work, replacing an absent employee, or a foreigner’s authorised stay. Repeated same-job contracts can become indefinite when the statutory conditions apply; Armenia does not impose a general three-year fixed-term cap on every employee. Part-time employment is permitted with specified working time and remuneration.

Employees must receive pay at least monthly, no later than the 15th of the following month, on working days. Employers may pay more frequently. Salary is paid in Armenian dram using the cash or noncash method required for the employer and location. On request, the employee receives a calculation sheet showing amounts calculated, paid and withheld.

The statutory minimum monthly wage is AMD 75,000. For hourly or piece-rate employees, the minimum hourly tariff is AMD 450 for the normal 40-hour week, AMD 500 for a reduced 36-hour week, and AMD 750 for a week of up to 24 hours. The statutory minima exclude taxes, social and other mandatory deductions, and additional payments, bonuses and supplements. Employers must therefore distinguish the legal minimum from the contractual gross salary needed to fund deductions.

Each overtime hour receives the normal hourly rate plus at least 50%, giving at least 150% total pay. Night work generally receives at least 30% extra, or 130% total hourly pay. Legally listed heavy or harmful work receives at least 30% of basic salary in additional pay; especially heavy or especially harmful work receives at least 50%. The statutory lists define these categories. Public-holiday and rest-day work follow their own double-pay or compensatory-rest rules, and special martial-law provisions can alter premiums for covered emergency duties.

Normal work is at most 8 hours a day and 40 hours a week. Including overtime, the usual ceilings are 12 hours a day including the meal/rest break, and 48 hours a week. Ordinary overtime is limited to 4 hours over two successive days and 180 hours annually, with specific emergency exceptions. A meal/rest break normally lasts 30 minutes to 2 hours and starts no later than 4 hours after work begins; it is generally outside working time. Daily uninterrupted rest is at least 11 hours and weekly rest at least 35 hours. The ordinary five-day week rests on Saturday and Sunday; continuous operations can use other scheduled rest days. Young employees and certain occupations have different rules.

Probation is optional and must be included in employment terms. The ordinary maximum is 3 months; a period of up to 12 months is possible only where legislation specifically permits it. Certain absences do not count towards the trial period. If the employer finds the employee unsuitable during the agreed trial, it can end employment with 3 days’ written notice. An employee whose trial was set at their request to assess the proposed job can likewise give 3 days’ notice. Continuing to work after the trial means the employee has passed and normal termination rules apply.

Employers need a lawful dismissal ground and the required written procedure; employment is not terminable at will. Liquidation or redundancy normally requires at least 2 months’ notice. For job unsuitability, long-term incapacity or qualifying essential-term changes, notice follows continuous service: 14 days up to 1 year, 35 days for 1–5 years, 42 days for 5–10, 49 days for 10–15, and 60 days above 15 years. Applicable contracts can extend these periods. Employees normally resign with 30 days’ written notice, or 5 days for specified health or employer-breach grounds; the employer can accept an earlier departure. Fixed-term expiry normally requires 10 days’ advance written notice. Statutory employer-notice periods include paid job-search time of at least 10% of the working time in the notice period. Final settlement is generally due on termination, including unused annual-leave compensation. Pregnancy-related dismissal protection runs from submitting medical confirmation until one month after maternity leave. Protection also applies during leave and qualifying incapacity, and while a person actually cares for a child under one, subject to the statutory exceptions. Liquidation has separate rules. Long-term incapacity dismissal uses more than six consecutive months or more than 180 days in the last twelve months, excluding maternity days; occupational injury has specific protection.

The ordinary employee income-tax rate is 20%. Employers withhold the tax and applicable worker-funded pension, health and defence-fund payments. Ordinary employee pension deductions do not create an employer matching charge, but specific obligations such as pension funding during childcare leave still apply. Health-insurance deductions have their own 2026 rollout and income thresholds. Contractual benefits and noncash remuneration follow their applicable tax rules.

Employers must provide safe working conditions and apply labour protections without discrimination on legally protected grounds. Collective agreements and employment contracts can improve statutory pay, leave and other terms. Employees have protections when asserting rights and participating lawfully in trade-union activities. Pay systems must use the same criteria for women and men. These safeguards apply to employment relationships; they do not convert a commercial services agreement into employment by themselves.

The government’s work-permit platform lets the employer register a vacancy, obtain the required approval and submit the foreign candidate for work-based temporary residence. Citizens of the Eurasian Economic Union are exempt from the work-permit requirement under the treaty; the platform also provides a route to confirm lawful residence for them and qualifying family members. European Union citizenship alone is not a blanket one-year work-permit exemption. Other exemption categories depend on the law and individual’s status. The published government fees are AMD 105,000 for initial work-based temporary residence or extension, and AMD 12,000 to restore its card. Visitor entry permission is separate from authorisation to work.