Categories
Blog News

Angola: Temporary Employment Contract

26/02/2025

Angola: Temporary Employment Contract

Presidential Decree 51/25, of 19 February 2025, enacted the new legal regime for:

  1. Temporary employment contracts; and
  2. The activity of temporary employment companies.

Below is a summary of the new regime:

  • Definitions:
    1. Temporary Employment Contract” – The contract between a temporary employment company and an employee whereby the employee undertakes to provide temporary work to a third party in exchange for remuneration from the temporary employment company;
    2. Contract for Provision of Temporary Work” – The contract between a temporary employment company and another company (the “user”) whereby the former undertakes to provide one or more temporary employees to the latter;
    3. Temporary Employment Company” – Company engaged in the temporary provision of employees to other companies;
    4. User Company” – Company that uses the work of an employee provided by a temporary employment company, and who will work under its direction.

A) TEMPORARY EMPLOYMENT REGIME

    • Temporary Employment Contract – A temporary employment contact is required to be in writing and contain the following minimum clauses:
      1. Identification of the parties;
      2. Job description and professional classification;
      3. Remuneration;
      4. Duration;
      5. Work place
      6. Work schedule;
      7. Date of signing.
    • Justification – A company may only use temporary employees (to be provided by a temporary employment company) in the following cases:
      1. To fill in the position of an employee who is temporarily absent;
      2. To respond to a temporary and/exceptional work demand;
      3. To perform occasional work which is outside the normal activity of the company;
      4. Seasonal work;
      5. Other situations where the temporary nature of the work does not warrant the hiring of permanent staff;
      6. To perform urgent tasks;
      7. To protect against risks to the facilities, equipment or employees;
      8. Start of business or new activities of uncertain duration, restructuring, business expansion, etc;
      9. In case the employee has been unemployed for over 1 year;
      10. Construction or similar works;
      11. Training;
      12. Retired employee.
    • Duration – The contract duration cannot exceed the terms set forth in the General Labor Law (between a minimum of 6 and a maximum of 60 months depending on the justification case above).
      If the employee is hired outside one of the justifications set forth above, or if the maximum duration of the contract is exceeded, the employee becomes a permanent member of staff of the user company. This is also applicable in case the temporary employment company is found to not have a license to carry out its activity (more below).
    • Contract for Provision of Temporary Work – The contract for provision of temporary work is required to be in writing and contain the following minimum clauses:
      1. Identification of the parties (including license number of the temporary employment company and social security numbers);
      2. Justification for temporary employment (per above cases);
      3. Job description;
      4. Work place;
      5. Work schedule;
      6. Fee to be paid by the user company to the temporary employment company;
      7. Commencement date;
      8. Contract duration;
      9. Date of contract signing.

In addition, the temporary employment company must provide to the user company a copy of the respective work accident and occupational disease insurance.

    • Employee replacement – Unless agreed otherwise, termination of the temporary employment contract will not cause termination of the contract for provision of temporary work. In this case, the temporary employment company must provide a substitute employee to the user company. This obligation also applies in case the employee is found not to be fit for the job in the first 15 days of employment or if the employee is suspended following for disciplinary reasons.
    • Work rules – The temporary employee is subject to the direction of the user company and to its applicable rules and policies in terms of work schedule, work location, HSE, use of equipment and facilities, etc..
    • Disciplinary action – The temporary employment company (not the user company) is responsible for exercising disciplinary action against the employee.
    • No charge to employee – The temporary employment company cannot charge any fee or payment to employee for provision of any services or training.
    • HSE – The temporary employee enjoys the same conditions applicable to the user company employees as regards HSE.

B) TEMPORARY EMPLOYMENT COMPANIES

    • License – Temporary employment companies must obtain a license from the Ministry of Labor (Maptss) through its National Institute of Employment and Professional Training (Instituto Nacional de Emprego e Formação Profissional – INEFOP). In order to obtain a license, the company must:
      1. Have good reputation;
      2. Possess technical and organizational capacity;
      3. Be in good standing with the tax and social security office.

Requisite (ii) is confirmed by an inspection carried out by the General Labor Inspectorate (Inspecção Geral do Trabalho).

The license has a duration of 24 months, renewable.

    • Reporting – The companies must submit to the employment center where they are based (i) a 6-monthly activity report in the format attached to PD 51/25, and (ii) a full list of the employees provided, including details on contract duration, workplace, salary, professional classification, etc..
    • Training – The companies must spend no less than 5% of their annual turnover in professional training of their temporary employees.

In all matters not specifically covered by PD 51/25, temporary employment contracts are subject to the General Labor Law.

SHARE

Categories
Blog News

Angola: Expatriate Employee Legal Regime

24/02/2025

Angola: Expatriate Employee Legal Regime

Presidential Decree 49/25, of 18 February 2025, enacted the new legal regime on the professional activity of Non-Resident Foreign (Expatriate) Employees in Angola. Below is a summary of the new regime:

  • Scope – PD 49/25 is applicable to all employment contracts entered into between non-resident foreign employees (also called “expatriates” for this summary) and any employer entities in Angola, including private or public companies, cooperatives, NGOs, diplomatic missions and international organizations, etc.;
  • Hiring Requirements – Expatriate employees can only be hired by an Angolan employer if they meet the following requisites:
    1. They must hold a valid Work Visa for the duration of the employment contract;
    2. They must be of legal age both in Angola and in their home country;
    3. Possess technical or scientific qualifications as confirmed by their employer;
    4. Possess physical and mental aptitude attested by a medical certificate.
  • Quota – The total expatriate workforce cannot exceed 30% per employer. At least 70% of the workforce must be comprised of national employees.
  • Employment Contract – The employment contact is required to be in writing and contain the following minimum clauses:
    1. Identification and address of the parties;
    2. Employee job (and professional classification);
    3. Workplace;
    4. Work schedule;
    5. Salary, including benefits;
    6. Undertaking that employee will return to home country at the end of contract;
    7. Commencement date;
    8. Date and place of signing.
      The undertaking under (6) must be certified by a notary public.
  • Duration – The contract must have a limited duration as agreed between employer and employee. The contract may be renewed up to two times.
  • Registration – The contract, including renewals, must be registered with the employment center (“centro de emprego”) where the employer is based. A registration fee of 5% of the monthly salary is due.
  • No discrimination – Expatriate employees and national employees are entitled to identical remuneration for the same or equivalent job. Expatriate employees should be included in the employer “job qualifier” (“qualificador ocupacional”) in the same terms as national employees.
  • Tax – Expatriate employees are subject to the general tax obligations and rates applicable to all other employees in Angola.
  • Severance Payment – In case of termination of employment, expatriate employees are entitled to the same severance payments as applicable to all other employees according to the General Labor Law.
  • Salary Repatriation – Salary repatriation is subject to the applicable foreign exchange legislation.

In all matters not specifically covered by PD 49/25, expatriated employees are subject to the General Labor Law.

SHARE

Categories
Blog News

Angola: Total Disability Pension

01/02/2025

Angola: Total Disability Pension

By way of Presidential Decree 15/25, of 29 January 2025, the Angolan executive has approved the new Regime on Protection for Total Disability caused by Non-occupational Diseases and Accidents. Here is a summary of PD 15/25:

  • Definition of Total Disability – Total and permanent inability to perform any job or work which was caused by a non-occupational (not work related) event and is confirmed by the Disability Verification Center (“Centro de Verificação de Incapacidades”);
  • Disability Pension requirements – Entitlement to the Total Disability Pension is subject to the following conditions:
    1. Registration with Mandatory Social Protection (“Protecção Social Obrigatória”);
    2. Guarantee period;
    3. Certification of Total Disability.
  • Exclusions – The Total Disability Pension may not be extended to persons who:
    1. Have a remunerated job;
    2. Receive or are entitled to an Old-age Pension.
  • Confirmation of disability – Confirmation of disability is done by the Disability Verification Center by conducting medical exams on the employee. If the application is denied, the employee must wait at least 2 years to request a new exam.
  • Guarantee Period – The guarantee period is 60 months of contributions (consecutive or not) to the Social Security system.
  • Pension amount – The Total Disability Pension is equivalent to 60% (sixty percent) of the employee average salary in the 24 months prior to disability, provided that:
    1. The Total Disability Pension cannot be less than the Minimum Retirement Pension;
    2. The Total Disability Pension cannot exceed 80% of the Old-age Pension.
  • Non-cumulation – The Total Disability Pension cannot be cumulated with other pensions of the Mandatory Social Protection, except the following:
    1. Survival Pension;
    2. Family Allowance;
    3. Breastfeeding Allowance.

In addition, the pensioner cannot receive any income as employee or independent service provider.

  • Old-age Pension – The Total Disability Pension is converted into Old-age Pension when the pensioner reaches the retirement age. The Old-age Pension amount will be the same as the Total Disability Pension.
  • Proof of life – The pensioner is required to comply with the following:
    1. Make a “proof of life” on an annual basis;
    2. Proof of total disability every 5 years for a maximum of 20 years.

This will be done before the Disability Verification Center.

Payment of the pension will be suspended in case the above is not complied with.

SHARE