Georgia

There are four main ways to hire in Georgia. You can use HQ payroll for short-term arrangements where tax residency stays in your home country, engage contractors for project-based work, set up a local entity for a long-term presence, or partner with an Employer of Record. An EOR offers a straightforward way to hire employees compliantly without establishing a local company.

Contractors work well when the relationship is project-based and the person serves multiple clients. If an individual gives their full and undivided attention to your company in Georgia, employment is the right structure under Georgian law, covering entitlements like paid annual leave, sick leave, and the mandatory pension scheme. For project-based contractor engagements, Boundless’s Agent of Record (AOR) service handles classification, contracts, and payments compliantly in Georgia.

While many employers practice employing remote workers as independent contractors, it’s a bad practice. If an individual is giving their full and undivided attention to your company in Georgia, treating them as an independent contractor is a likely breach of Georgian employment laws and of those in your country.

Your company could be liable for fines on owed holiday pay, sick pay, social welfare payments, paternity benefit, maternity benefit, or other legal measures. Since the individuals you are working with do not receive the benefit of local employment laws and protections that are often afforded to people working full-time hours.

When you hire employees in Georgia, you have certain obligations as an employer. HR compliance is about ensuring your policies and procedures respect all applicable laws and regulations regarding employment and work practices. Complying with local employment law in Georgia is fundamental for the correct running of your business – not only because these laws are in place to protect employees and guarantee their rights are safeguarded, but to minimise your risk of liabilities as an employer. Being compliant means respecting and following all local labour laws, sick leave and illness benefits, annual leave, minimum wage, tax credits, working hours regulations.

An Employer of Record is the legal employer of the individual in Georgia for government, tax, and employment purposes. It provides a locally compliant contract, runs payroll, files employment taxes, and manages statutory benefits such as 126 days of maternity leave and 24 paid working days of annual leave. You remain responsible for sourcing workers, managing day-to-day work, and funding payroll each cycle.

When employing through an Employer of Record (EOR) in Georgia, the Employer of Record is responsible for filing and paying employees’ taxes and social insurance contributions.

Boundless partners with employment lawyers and advisers in each country we operate in, including Georgia. They ensure employment contracts and onboarding documents comply with the local jurisdiction. We hold detailed discussions on specific norms such as payroll, social protection, data protection, notice periods, and work-from-home regulations. When a sensitive issue arises, our internal team engages the relevant firm promptly.

The company remains responsible and informs employees of the day-to-day management of the people and teams that are employed through Boundless, including any disciplinary or performance issues.

Boundless ensures compliance with Georgian-specific procedures, practices and labour laws while employing people and teams on behalf of the company.

Any employee who is locally employed through an Employer of Record receives all employment rights and protections provided under Georgian labour law. They receive a locally compliant employment contract and are entitled to statutory benefits such as annual leave, maternity leave, sick leave, and other protections provided by the Labour Code of Georgia. The Employer of Record ensures that employment arrangements comply with local employment, tax, and payroll regulations.