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Labour Laws and Employee Rights in Albania

labour-laws-and-employee-rights-in-albania

Labour Laws and Employee Rights in Albania

Albania’s labour framework is built around the Labour Code and related social insurance rules that shape everyday workplace life: how contracts are formed, how working time is measured, how paid leave works, and what protections apply when employment ends. This page is designed for practical clarity—so employees, employers, and HR teams can understand the core rights and duties that commonly matter most.

Legal Note: Information is accurate to the publication date 28 December 2025 and is provided for general guidance. Labour rules, minimum wage decisions, and implementing acts can change. Always verify details with official texts and, when needed, a qualified professional.


Employment Contracts and Workplace Relationship

Contract Type Matters: The Labour Code treats an employment relationship as a rights-and-duties agreement. In practice, contracts are commonly either:

  • Indefinite-term (the typical default form).
  • Fixed-term, used where there are objective reasons linked to the temporary nature of the task.

Probation (Trial Period): A probation period may be agreed in writing and is generally capped at up to 3 months. During probation, either party may end the contract with a short notice period (commonly 5 days), subject to the Labour Code rules.

Practical meaning: probation is the time to confirm fit, job scope, and performance expectations—ideally documented clearly.

Documents to Keep Handy

  • Signed employment contract and any amendments
  • Job description or role statement (if separate)
  • Monthly payslips and attendance/working-time records
  • Leave approvals (annual leave, sickness, family-related leave)
  • Any written warnings, performance notes, or termination notices (if applicable)

Pay, Payroll, and Minimum Wage

Minimum wage is set through government decisions and can be updated over time. As of December 2025, widely reported official announcements indicate a monthly minimum wage of ALL 40,000, with an announced increase to ALL 50,000 planned to take effect from 1 January 2026 (subject to publication and implementation details).

Tip for accuracy: When checking minimum wage, confirm the effective date and whether the decision also sets an hourly or daily equivalent for time-based work.

Pay TopicWhat to Look ForBest Place to Verify
Minimum WageAmount, effective date, and any hourly equivalentOfficial Gazette (QBZ) decision text
Overtime PayPremium percentage and whether rest-time compensation is usedLabour Code provisions and your contract/collective agreement
Social InsuranceEmployee/employer contribution rates and assessment baseSocial Insurance law and official guidance

Working Time, Breaks, and Overtime

Normal Daily Working Time

  • Normal daily working time is generally capped at 8 hours (within overall weekly limits).
  • Daily rest is generally at least 11 consecutive hours.
  • Where a worker performs more than 6 continuous hours, the law provides for breaks (with minimum break durations and timing rules depending on the pattern of work).

Overtime Limits and Compensation

  • Overtime is time worked beyond the normal daily or maximum weekly duration.
  • Annual overtime requested by the employer is generally limited to up to 200 hours per year.
  • Weekly overtime should not be required once the employee has already worked 48 hours in that week, and average weekly hours over a defined reference period are generally expected to remain within limits.
  • When overtime is paid (rather than compensated by time off), the premium is generally at least 25% above normal pay; overtime performed on weekly rest days or official holidays is generally compensated at a higher level (commonly at least 50% above normal pay) or by equivalent rest.

Recordkeeping: If you track working time, store proof of schedules, attendance, and approvals. It helps clarify overtime eligibility and avoids misunderstandings later.


Paid Leave and Other Time Off

Annual leave is a cornerstone employee right. Under the Labour Code, paid annual leave is generally not less than 22 working days per working year, and official public holidays are not counted as annual leave days.

Scheduling: Employers typically set the start date while considering the employee’s wishes, and the start date is generally communicated in advance (commonly 30 days).

Common Paid Leave Situations

  • Marriage (employee): typically 5 paid days.
  • Bereavement (spouse/partner, direct ascendants/descendants): typically 5 paid days.
  • Birth of a child (spouse/partner): typically 3 paid days.

Unpaid Leave Example

For a serious illness of close family members (supported by medical documentation), the Labour Code provides for an unpaid leave period, commonly up to 30 days.

Good practice: keep a written request and approval trail to avoid later disputes.


Maternity, Paternity, and Family Benefits

Family-related protections come from both the Labour Code and the Social Insurance framework. For maternity, the Social Insurance law provides a maternity allowance for a leave period commonly described as 365 days, including 35 days before birth and 63 days after birth as defined in the law.

The maternity allowance is structured with a higher replacement rate earlier in the leave (commonly 80% for a defined portion) and a lower rate later (commonly 50% for the remainder), based on the daily average assessment base defined by the Social Insurance system.

Important Clarifications

  • Eligibility can depend on contribution history and qualifying conditions in the Social Insurance scheme.
  • Adoption provisions may apply for leave and allowance under the law.
  • Father’s leave possibility may apply under specific conditions after a legally defined period following birth, depending on how leave is allocated and whether the mother returns to work.

Ending Employment and Notice Periods

The Labour Code lays out detailed rules for termination, including notice periods and procedural steps. After probation, termination of an indefinite-term contract generally requires notice that depends on length of service:

  • 2 weeks for service up to 6 months
  • 1 month for service over 6 months up to 2 years
  • 2 months for service over 2 years up to 5 years
  • 3 months for service over 5 years

Procedure and Written Reasons

When the employer plans to terminate after probation, the Labour Code provides a structured procedure that includes advance written notice of a meeting and an opportunity for the employee to respond, followed by a written termination notice within a defined timeframe. Reasons should relate to legitimate grounds such as capability, conduct, or operational requirements.

Practical takeaway: keep communications in writing and store copies.

Paid Time to Seek a New Job

During the notice period, when termination is initiated by the employer, the employee is entitled to paid time off to look for new work—commonly at least 20 paid hours per week, with details implemented via the contract/collective agreement.

Use it well: schedule interviews, update documents, and keep written approvals for leave during notice.

Seniority Award and Collective Dismissal Rules

  • Seniority award: where the employer terminates employment and service is at least 3 years, the Labour Code provides a seniority-based award commonly calculated as at least 15 days’ wage per completed year, subject to conditions in the law.
  • Collective dismissals: special procedures apply when a minimum number of employees are dismissed within a defined period (thresholds vary by enterprise size), including written notifications and consultations, with copies provided to the ministry responsible for labour.

Fair Treatment and Non-Discrimination

A healthy workplace depends on fairness and dignity. The Labour Code includes protections that support equal treatment and prohibits termination for reasons that violate non-discrimination principles. In real workplaces, this usually translates into:

  • Clear job expectations and transparent performance feedback
  • Consistent application of workplace rules
  • Written documentation when decisions materially affect employment

Health and Safety Basics

Workplace health and safety is supported by rules on safe conditions, appropriate breaks, and risk prevention. Even where roles differ, good standards often include:

  • Written safety instructions for higher-risk tasks
  • Training and appropriate equipment where required
  • Clear reporting lines for hazards and incidents

Albania’s labour inspection function is commonly associated with the State Labour and Social Services Inspectorate, which focuses on working conditions, safety, working time, wages, and related compliance areas.

If you need an official channel: verify the current complaint and guidance process on the inspectorate’s official site or trusted institutional references.


Social Insurance Contributions

Social insurance is a major part of employee protection, supporting benefits such as maternity and other insured risks. The Social Insurance law specifies contribution rates, commonly described as:
9.5% paid by the insured person (employee) and 13.8% paid by the employer (for defined branches in the scheme), calculated on the assessment base as defined by law.

Note: rates, bases, and ceilings can differ by category and may be updated through legal acts. Always confirm the applicable rules for your employment category.


Workplace Disputes and Practical Steps

A calm, well-documented process is usually the fastest route to resolution. Keep communication respectful and written whenever possible.

  1. Collect the facts: contract, payslips, schedules, leave approvals, and any written notices.
  2. Request clarification in writing: a short, neutral message often resolves misunderstandings early.
  3. Use internal channels: HR, line manager, or formal grievance steps (if available).
  4. Verify official guidance: consult the Labour Code and Social Insurance law texts for the relevant topic.
  5. Seek qualified help when needed: for complex cases, professional advice can help interpret the specific facts and legal steps.
Issue AreaTypical EvidenceOfficial Text to Check
Overtime or SchedulingTimesheets, shift rosters, written approvalsLabour Code working-time and overtime provisions
Annual LeaveLeave balance records, approvals, holiday calendarLabour Code annual leave provisions
Maternity AllowanceContribution history, medical certificates, application recordsSocial Insurance law maternity provisions
Termination ProcessNotice letter, meeting invites, written reasons, datesLabour Code notice and procedure provisions

Sources