Employer of Record in Angola

Hiring independent contractors has boomed in popularity because of the cost savings and flexibility they offer. It can be a great option if you require niche skills or short-term project support. Contractors allow businesses to access specialized skills quickly, without the time and cost of setting up a local entity.

However, it’s important to know the limits of this model: contractors are not a substitute for full-time employees. Relying on them for ongoing, long-term roles can create serious compliance risks, including employee misclassification, which can lead to fines, back taxes, and reputational damage.

Playroll’s contractor management solutions make it simple to compliantly engage, onboard, and pay contractors around the world. We provide clear visibility into agreements, streamline payments, and reduce compliance risks – so you can focus on getting the work done. And when you’re ready to take the next step, we can help seamlessly convert contractors into full-time employees through our global Employer of Record service.

Businesses can only operate smoothly in Angola if they comply with local labor laws including drafting compliant employment contract agreements and meeting taxation and payroll obligations. Learn more about the employment laws and regulations in Angola below, to avoid any compliance issues.

Employment Contract Requirements

In Angola, it's crucial to strictly adhere to employment and labor laws. When hiring in the country, a written contract should include:

• Employer and employee details
• Start date
• Job description
• Salary details in Angolan kwanza

Onboarding Process

We can help you get a new employee started in Angola quickly, with a minimum onboarding time of just 1-2 working days. The timeline starts once the employee submits all required information onto the Playroll platform and completes any necessary local authority registrations. For non-nationals, the Right to Work assessment (if applicable) may add up to three extra days. Additional time may be needed for follow-ups on this assessment. Please note, payroll cut-off dates can impact the actual start date. Playroll's payroll cut-off date is the 10th of each month unless otherwise specified.

Working Hours in Angola

Working hours follow the General Labour Law, which tailors conditions to each company's activity. The regular maximum workday is 8 hours, and the weekly limit is 44 hours.

Overtime in Angola

The maximum overtime is two hours a day, 40 hours a month, and 200 hours a year. For the first 30 overtime hours, rates vary by enterprise size, and beyond that, different rates apply as follows:

• Large enterprises: 150% for the initial 30 hours of overtime, 175% for all hours beyond the initial 30, including the 31st hour and beyond
• Average enterprises: 130% for the initial 30 hours of overtime, 145% for all hours beyond the initial 30, including the 31st hour and beyond
• Small enterprises: 120% for the initial 30 hours of overtime, 120% for all hours beyond the initial 30, including the 31st hour and beyond
• Micro-enterprises: 110% for the initial 30 hours of overtime, 110% for all hours beyond the initial 30, including the 31st hour and beyond

Probation Period in Angola

Probation period isn't mandatory, but it usually lasts for two months. If needed, both parties can extend it in writing. Extensions can be up to four months for complex technical roles and up to six months for managerial positions.

Hiring in Angola means navigating local labor laws, mandatory employee benefits, payroll taxes, and strict employment regulations. These requirements aren’t always intuitive, especially if your team lacks in-country legal or HR expertise. An Employer of Record steps in as the legal employer for your hires, managing all compliance-related responsibilities. This includes issuing locally compliant contracts, registering employees with relevant authorities, processing payroll, and handling social security contributions and taxes in line with national laws.

By handing over these complexities to an EOR, your business avoids costly compliance errors and the time required to master local employment standards. You can focus on growing your team and operations while trusting that the legal and administrative foundation is solid. Whether you're making one strategic hire or building out an entire team, the EOR keeps you compliant, removes guesswork, and reduces the risk of legal or financial penalties, without requiring you to open a legal entity or maintain a local HR team.

In Angola, employers shoulder several key payroll tax responsibilities that go beyond simply paying salaries. The biggest employer burden is the social security contribution, managed through the Instituto Nacional de Segurança Social (INSS).

• Employers must contribute 8% of each employee’s gross monthly pay, while employees contribute 3%. These payments fund pensions, survivor benefits, and other social protections, and they must be remitted every month alongside employee withholdings. Failure to pay or report correctly can lead to penalties and audits.
• On top of this, employers are also responsible for withholding and remitting the Imposto sobre o Rendimento do Trabalho (IRT), Angola’s employment income tax, which applies progressively to earnings above AOA 100,000 per month.
• Beyond taxes, employers in Angola must also budget for mandatory bonuses—a 13th salary paid before an employee’s vacation (vacation bonus) and a 14th salary paid at year-end (Christmas bonus).

Using payroll management software can help employers streamline compliance, consolidate payroll data, and avoid costly penalties in Angola.

Running payroll in Angola is complex, especially when you're hiring without a local entity. Local laws determine everything from tax withholdings and reporting deadlines to benefit contributions and currency requirements. Missteps can lead to fines, payment delays, or unhappy employees. An Employer of Record takes this burden off your plate by handling the full payroll process. Acting as the legal employer, the EOR ensures you remain compliant with all payroll-related obligations, while still allowing you to manage your team’s day-to-day work and performance.

Key Ways an EOR Supports Payroll in Angola:

• Compliance Assurance: Ensures payroll aligns with local tax laws, labor regulations, and statutory deadlines.
• Payroll Processing & Tax Management: Calculates salaries, applies correct tax withholdings, and submits required reports.
• Benefits & Social Security Contributions: Manages employer obligations for pensions, health insurance, and other legal entitlements.
• Contract Generation & HR Administration: Drafts compliant employment contracts and supports onboarding, terminations, and HR tasks.
• Currency Payments: Issues timely salary payments in local currency, ensuring employees are paid accurately and on time.

In Angola, work permits and visas are essential for employers hiring foreign workers. The process involves submitting applications, meeting eligibility criteria, and paying fees. Key visa types include the Type C Work Visa, which is tailored for employees in the petroleum and construction industries, and the Type D Work Visa, designed for workers in commercial, industrial, and fishing sectors.

Short-Term Work Visas are also available for temporary assignments and consultations, valid for up to 90 days and intended for urgent or temporary work assignments. Employers must comply with Angolan labor laws, including workforce quotas requiring 70% local employees, while sponsoring foreign hires and navigating application and renewal procedures.

As of Ferbruary 2025, a new legal regime for non-resident foreign employees was established under Presidential Decree No. 49/25, which replaced the previous regulations from 2017.

Mandatory Leave Entitlement in Angola

The annual leave entitlement in Angola is 22 days for a full time worker. These can include public holidays on top of that or within those days, which would otherwise be unpaid.

Public Holidays In Angola

Angola has a total of 12 public holidays when employees can take time off from work.

In addition, if a public holiday falls on a Tuesday or Thursday, a Monday or Friday may become an additionally recognised public holiday/ 'day-off equivalent'. As such, employees in Angola have approximately 18 paid holidays annually.

Paid Time Off in Angola

Employees with one year of service are entitled to 22 days of paid vacation, excluding weekends, compensatory rest days, and public holidays. Female employees with children under 14 receive an extra day of leave per child, while disabled employees are entitled to five additional days of annual leave.

Maternity Leave In Angola

In Angola, women contributing to the social security system for at least 6 months before pregnancy are entitled to 12 weeks of paid maternity leave. The employer may supplement this leave if needed. Maternity leave begins four weeks before the due date (or 8 weeks before for multiple births) and continues for nine weeks after the child's birth.

Paternity Leave In Angola

Employees in Angola are entitled to one day of paid leave at the time of the birth of their child as part of paternity leave.

Sick Leave In Angola

Employees can take sick leave with a medical certificate as proof. Details differ depending on the size of the company:

1. In large companies, 100% of the regular salary is paid for the first two months, followed by 50% from the third to the twelfth month
2. In medium-sized companies, 50% of the normal salary is paid for 90 days.

Parental Leave In Angola

After maternity leave, with an employer agreement, a woman can get four extra weeks of unpaid leave for child care.

Military Service Leave

Employees have the right to take paid leave for military duties, up to 2 days per month and a maximum of 15 days per year

Family Support Leave

Employees can take up to 8 days of paid family support leave per year with prior approval from the employer.

Administering employee benefits in Angola requires more than just offering a standard package. Local labor laws often mandate specific entitlements, from health insurance to paid leave, and the rules can change without warning. Angola also has unique standards for what an attractive, competitive benefits package looks like. For businesses without in-country expertise, meeting these obligations and expectations can quickly become risky and expensive. An Employer of Record acts as your compliance partner, ensuring all benefits are provided according to the latest legal requirements and without administrative strain on your internal team.

Beyond compliance, an EOR brings clarity and consistency to a process that’s often complex and fragmented. They handle enrollments, ensure accurate employer contributions, manage communications with local providers, and keep everything properly documented. This means employees get what they’re entitled to, and you avoid the headache of navigating benefits systems in a foreign market. Whether you're hiring one person or building a larger team, an EOR provides a clear, dependable structure that lets you offer competitive benefits without taking on unnecessary risk or workload.

Termination Process in Angola

Angolan employment law prioritizes employee protection. Both parties can mutually terminate the employment contract. Generally, employers can only terminate employees for:

• Gross misconduct
• Violation of the contract
• Economic reasons
• Poor performance

Notice Period in Angola

Executives, middle-level technicians, and high-level technicians in Angola have a 60-day notice period, while general employees have a 30-day notice period. For collective dismissals, the prior notice is 60 days.

Severance in Angola

Severance pay is calculated at one months salary for the initial five years of employment, decreasing to half the monthly salary for each subsequent year.