Table of Content
Introduction
Hiring in Georgia isn’t the challenge.
Navigating the paperwork, compliance, and taxes is.
You could do it alone, but why risk the mess?
Sure, Georgia’s fast-growing talent pool is really incredible opportunity for businesses.
BUT,
If you want to hire smarter in 2025, an Employer of Record Georgia makes it seamless.
Here’s the complete guide to getting it right.
Why choose Remote Hiring in Georgia?
Georgia should be at the top of your list, when you think about expanding your business.
why?
Simple, This small country at the crossroads of Europe and Asia is a hidden gem for building remote teams.
Let’s break down why hiring in Georgia is a no-brainer.
Quick Snapshot of Georgia
Languages Spoken: English, German, French, Russian, and of course, Georgian.
Currency: Georgian Lari (GEL).
Capital: Tbilisi.
Population: About 3.7 million – a concentrated pool of talent ready to work.
Hire Budget-Friendly Talent Without Compromising Quality
Compared with hiring costs in Georgia, Western Europe and the U.S. are major savings. Here's a snapshot:
Role | United States | Europe | Georgia |
Software Developer | $110,000 | $75,000 | $36,000 |
QA Engineer | $90,000 | $70,000 | $21,600 |
Data Scientist | $72,000 | $54,000 | $26,400 |
Graphic Designer | $50,000 | $42,000 | $18,000 |
Digital Marketer | $66,000 | $52,000 | $21,600 |
Content Writer | $55,000 | $45,000 | $15,000 |
Social Media Manager | $60,000 | $55,000 | $18,000 |
Project Manager | $84,000 | $66,000 | $20,400 |
HR Specialist | $70,000 | $62,000 | $16,800 |
Customer Support Specialist | $40,000 | $33,000 | $12,000 |
A Diverse Talent Pool Waiting for You
Georgia’s got talent – and not just in tech. You’ll find a balanced ecosystem of professionals ready to boost your business:
Developers: Skilled in PHP, Python, Java, JavaScript, and frameworks like Django, MEAN stack, Ruby on Rails.
QA Engineers: Masters of Selenium, JUnit, TestNG – they catch bugs before your customers do.
Data Scientists: Fluent in R, Python, TensorFlow – turning data into insights.
DevOps Engineers: Streamline your ops with CI/CD pipelines, Docker, Kubernetes.
But it doesn’t stop there.
Content Writers: Crafting everything from tech guides to healthcare blogs, with SEO in their back pocket.
Digital Marketers: Rocking tools like Google Analytics, SEMrush, Meta, LinkedIn to drive growth.
Project Managers: Pros in Agile, Scrum, and Lean methodologies.
HR Specialists: Navigating talent acquisition, employee engagement, and compliance like pros.
Why Use Employer of Record Services in Georgia?
Hire in Georgia is a great choice.
But let’s be real: setting up a legal entity there isn’t a walk in the park.
It means:
Registering a legal entity
Setting up a local bank account
Navigating complex labor laws and tax regulations
Managing local payroll and employee benefits
BUT
The best part is that you get to skip the whole “setting up a legal entity” part. Gegidze, one of the best employer of Record Companies has already set up your EOR and is ready to roll.
What Is Employer of Record and Why Should You Care?
An Employer of Record is like your backstage crew.
While you handle the spotlight, your EOR handles the behind-the-scenes chaos:
Hiring and onboarding employees in Georgia.
Managing payroll, taxes, and benefits like clockwork.
Keeping you 100% compliant with local laws.
5 Reasons to Use an Global Employer of Record in Georgia
1. Speed Up Your Hiring Game
Well, let’s say, you have found the perfect candidate in Georgia today.
BUT,
Instead of waiting months to set up a local entity, you onboard them in days.
An EOR lets you hire instantly. No delays. No red tape.
2. Stay Out of Legal Trouble
Georgian labor laws are no joke. Overtime rules, leave policies, payroll taxes, simply put, it’s a lot.
An EOR makes sure you’re always compliant, so you never have to worry about:
Missing a regulation.
Facing fines.
Wasting time Googling “Georgian labor law penalties.”
Let the experts handle it.
3. Payroll Without the Pain
Running payroll in a new country? It’s like trying to solve a Rubik’s Cube blindfolded (can you do that?).
An EOR takes care of:
Calculating salaries and deductions.
Paying employees on time, every time.
Filing tax returns and managing contributions.
All you have to do is approve the payments. Simple.
4. Save Money and Sanity
Well, Setting up a business entity in Georgia isn’t cheap. Office space, lawyers, bank fees, it adds up.
With an Employer of Record Georgia, you skip those costs and the never-ending admin work. Instead, you get:
One partner handling it all.
One invoice for all your HR, payroll, and compliance needs.
Then, you have more time. More focus. Fewer headaches.
5. Flexibility to Scale (Or Pivot)
Need to hire one person? Done. Need to build a remote team of ten? Easy. Need to scale down after a project? No problem.
An Employer of Record Solution gives you the freedom to grow or pivot fast without getting tied down by local entity commitments.
Work Hours and Overtime in Georgia
In Georgia, the standard workweek is 40 hours – typically 8 hours per day, 5 days a week. This setup provides a healthy work-life balance while keeping productivity high.
Teens (Aged 16-18): Limited to 36 hours per week.
Teens (Aged 14-16): Limited to 24 hours per week.
Overtime Rules
Sometimes, work demands a little extra effort. In Georgia, overtime is allowed, but it comes with clear guidelines:
Overtime Pay: Employees must be compensated at 150% of their regular hourly wage for overtime hours worked.
Maximum Hours:
Total work hours, including overtime, cannot exceed 48 hours per week.
Employers must ensure at least 12 hours of rest between consecutive workdays to avoid burnout.
Employee Rights and Employer Responsibilities
No Forced Overtime: Overtime work is generally voluntary unless agreed upon in the employment contract or justified by the nature of the job.
Written Agreement: It’s always smart to have overtime policies clearly outlined in employment contracts to avoid misunderstandings.
Entitlement | Details |
Standard Workweek | 40 hours (8 hours per day). |
Youth Limits | Ages 16-18: Max 36 hours/week. Ages 14-16: Max 26 hours/week. |
Overtime Pay | 150% of basic wages. Max overtime: 48 hours/week. 12-hour rest between shifts. |
Georgian Leave Policies
Let's talk about the types of leave Georgian employees are entitled to:
Entitlement | Details |
Paid Public Holidays | 18 public holidays (e.g., New Year’s Day, Independence Day). |
Holiday Pay | Based on average pay for the last 3 months. |
Medical Leave | Private: No legal mandate but common. Public: 5-10 hours depending on pay schedule. |
Maternity Leave | 730 days total (183 days paid; 200 for multiple births). Adoption: 550 days (90 days paid). |
Annual Leave | 24 days paid leave. Extra 10 days for hazardous jobs. |
Leave Expiry | Can roll over with an agreement; max 2 years. |
Leave Cash Out | Unused leave paid upon termination. |
Holidays in Georgia
Georgia is a country that loves its holidays, and for 2025, there are 18 national public holidays to mark on your calendar.
These holidays are a blend of cultural, religious, and national celebrations, giving us a glimpse into Georgia's rich traditions.
Here's the full list:
New Year’s Day – January 1 (Wednesday)
New Year’s Holiday – January 2 (Thursday)
Orthodox Christmas Day – January 7 (Tuesday)
Orthodox Epiphany – January 19 (Sunday)
Mother’s Day – March 3 (Monday)
International Women’s Day – March 8 (Saturday)
Independence Restoration Day – April 9 (Wednesday)
Orthodox Good Friday – April 18 (Friday)
Orthodox Holy Saturday – April 19 (Saturday)
Orthodox Easter Sunday – April 20 (Sunday)
Orthodox Easter Monday – April 21 (Monday)
Victory Day – May 9 (Friday)
Saint Andrew the First-Called Day – May 12 (Monday)
Day of Family Purity and Respect for Parents – May 17 (Saturday)
Independence Day – May 26 (Monday)
Saint Mary’s Day (Mariamoba) – August 28 (Thursday)
Svetitskhovloba (Day of Svetitskhoveli Cathedral) – October 14 (Tuesday)
Saint George’s Day (Giorgoba) – November 23 (Sunday)
Make sure these are in your calendar so you’re ready to navigate business schedules (and maybe sneak in some well-deserved rest). 🗓️
Heads up: Public holiday dates are pretty reliable, but it's always good to double-check closer to the time.
Vacation Days in Georgia
Your team in Georgia gets:
24 business days of paid vacation each year.
15 calendar days of unpaid leave per year.
That’s more than enough time for your employees to recharge, which means more productivity and fewer burnout headaches for you.
Maternity and Paternity Leave in Georgia
Georgia’s parental leave policies are straightforward and family-focused:
Maternity Leave:
126 calendar days of paid leave.
If there are complications or multiple births, this extends to 140 days.
Leave can be used during pregnancy or after childbirth.
The state pays for it, but employers can choose to offer extra support to stand out.
Childcare Leave:
Parents get two weeks of unpaid leave per year.
This applies until the child turns five.
These benefits are more than just numbers, they’re a way to attract and retain top talent by respecting what matters most to them.
Probation and Termination in Georgia: What You Need to Know for 2025
Let’s talk about keeping things fair, transparent, and legally compliant when it comes to probation and termination.
Probation Periods: Your Safety Net
You can set a probation period of up to six months.
Just make sure it’s in writing.
Probation gives you a chance to see if your new hire really clicks with your team and the role. Think of it as a mutual trial run — no surprises, no hard feelings.
Termination: When It’s Time to Say Goodbye
Sometimes, things don’t work out. Here’s when you can part ways, legally and professionally:
Job Done: The employee fulfilled their contract duties.
Contract Expired: For fixed-term agreements, it’s game over when the term ends.
Agreement Breached: If either side doesn’t hold up their end of the deal.
Invalid Agreement: If the contract is no longer legally valid.
Mutual Decision: Sometimes, both sides just agree it’s time to move on.
Court Rulings: If a legal decision makes the job impossible to perform.
Long-Term Disability:
30 consecutive days of incapacity, or
More than 50 days within six months.
Loss of Employer or Employee: If the employer (sole proprietor) or employee passes away.
Company Closure: If the company is shutting down for good.
Notice Period: A Heads-Up Goes a Long Way
If an employee wants to leave, they need to give you 30 days' written notice.
This keeps things professional and gives everyone time to plan
.
Severance Pay: Parting with Respect
If you’re the one making the call to terminate, the employee gets:
At least one month’s wages as severance.
It’s not just to follow the law, it’s because you value the time and effort they gave your business.
Keep It Compliant, Keep It Human
Termination isn’t fun.
But handling it right with respect, fairness, and compliance makes all the difference.
An Employer of Record Georgia can take the weight off your shoulders, ensuring everything’s by the book so you can focus on growing your business.
Taxes and Contributions in Georgia
Georgia’s tax system?
Simple, competitive, and designed to fuel growth.
It’s no wonder businesses and individuals are flocking here.
Here’s what makes it so appealing:
The Highlights:
Corporate Income Tax That Rewards Growth
A flat 15% rate, but here’s the twist: it only applies to distributed profits. This means reinvesting in your business keeps your tax burden low, thanks to the Estonian model.
Personal Income Tax That’s Straightforward
Pay a flat 20% on Georgian-sourced income. And if you’re earning from abroad? That’s exempt. Yes, really.
Special Tax Regimes for Big (and Small) Wins
Small Business Status: Reduced rates for small-scale entrepreneurs.
Free Industrial Zones: Perfect for manufacturers looking to optimize costs.
International Company Benefits: Tailored incentives for global players establishing roots in Georgia.
Double Taxation Treaties – Global Peace of Mind
Georgia has agreements with 56 countries, helping you avoid being taxed twice on the same income. Expand globally with fewer headaches.
Georgian Tax Table:
Tax Type | Rate | Who Pays | Notes |
Corporate Income Tax | 15% | Companies | On dividends |
Personal Income Tax | 5.49% (2024) | Individuals | Flat rate, some exceptions |
Rental Income Tax | 5% | Landlords | Residential property |
Small Business Tax | 19% | Qualifying Businesses | Restrictions apply |
Foreign Income Tax | 0% | Individuals | Exempt |
Property Tax | Up to 1% | Varies | Companies & individuals |
Land Tax | 0.24 GEL/sq. meter | Landowners | Non-agricultural land |
VAT | 18% | Consumers | Goods & services |
Wage Tax | 20% | Employers/Employees | Plus pension contributions |
Withholding Tax | Varies | Varies | Dividends, services, etc. |
When you partner with an Employer of Record Georgia, you don’t have to navigate these tax systems on your own.
Gegidze handles compliance on your behalf and make sure your payroll is accurate to get all the benefits that Georgia’s tax-friendly policies offer.
Learn more about Employer of Record Services in Georgia.
Employee Protections in Georgia
Entitlement | Details |
Anti-Discrimination Rights | No discrimination based on race, gender, age, etc. |
Confidentiality of Personal Data | Protected by Georgian law. Employers must handle personal information securely. |
Employer of Record vs PEO: What’s the Difference and Which One Do You Need?
Well, you’re ready to expand your team globally, but there are two options: Employer of Record (EOR) and Professional Employer Organization (PEO).
They might seem similar, but they’re not the same. Choosing the right one can make or break your global hiring experience.
Let’s break it down, no fluff, just facts.
What is an Employer of Record (EOR)?
And again, An EOR acts as the legal employer of your team members in another country. They handle everything: compliance, contracts, payroll, taxes, benefits – you name it.
You don’t need to set up a local entity. You stay focused on your business, and the EOR takes care of the legal maze.
Think of an EOR as your global hiring shortcut.
What is a Professional Employer Organization (PEO)?
A PEO is more like a co-employment setup. You and the PEO share responsibilities for your employees.
The PEO takes care of HR tasks like payroll, benefits, and compliance, but here’s the catch: You need to have a local legal entity in the country where you’re hiring.
PEOs are great if you’re already established in that country.
Side-by-Side Comparison: EOR vs PEO
Feature | Employer of Record (EOR) | Professional Employer Organization (PEO) |
Legal Entity Required | No – the EOR acts as the legal employer | Yes – you need a local entity |
Responsibility for Compliance | Fully handled by the EOR | Shared between you and the PEO |
Speed of Hiring | Fast – no need to set up a local entity | Slower – requires entity setup |
Scope | Global hiring made simple | Works best for established entities |
Risk Management | EOR takes on the compliance risk | You share the risk |
Best For | Quick global expansion, no local entity setup | Businesses with existing local entities |
Setting Up a local entity in Georgia: Is It Worth the Extra Effort?
Sometimes, an Employer of Record (EOR) is the perfect shortcut; it is quick, efficient, and compliant.
But if you’re ready to plant roots in Georgia for the long haul, setting up a local entity could be the way to go.
The most common choice is a Limited Liability Company (LLC). It gives you full control over payroll, hiring, and operations.
But, and it’s a big but,
It comes with paperwork, processes, and waiting. Lots of waiting.
P.S. With Gegidze you can Incorporate a company in Georgia remotely in 1 day.
Let’s compare:
Local Entity vs. Global Employer of Record: Which Path Fits Your Business?
Factor | Setting Up a Local Entity | Employer of Record (EOR) |
Speed | Can take weeks or months — registration, paperwork, compliance setup all take time. | Hire in days or weeks — the EOR already has everything in place. |
Cost | High upfront costs: legal fees, office setup, banking, and ongoing admin. | Flat monthly fee per employee — no hidden costs or setup fees. |
Compliance | You’re on your own to navigate local labor laws, taxes, and regulations. | EOR ensures full compliance with Georgian laws and regulations. |
Flexibility | Not easy to pivot or downsize; you’re committed to the long term. | Scale up or down as needed — no long-term commitments. |
Control | Full control over operations, payroll, and policies. | You manage day-to-day work; the EOR handles the legal employer role. |
Risk | High — compliance missteps can lead to fines or legal issues. | Low — the EOR assumes legal and compliance risks. |
Payroll & Taxes | Requires setting up payroll and managing taxes internally. | EOR manages payroll, taxes, and benefits seamlessly. |
Best For | Businesses ready for a permanent presence in Georgia. | Businesses looking for a quick, compliant entry with less commitment. |
When to Choose a Local Entity
Long-Term Plans: If Georgia is central to your growth strategy and you want full control.
Significant Investment: If you’re ready to invest time, money, and resources in building a local presence.
In-House Compliance: If you have the expertise to handle local laws, taxes, and employment regulations.
When to Choose an Employer of Record Solution
Quick Expansion: If you want to hire talent fast without setting up shop.
Lower Risk: If you want to avoid the pitfalls of non-compliance.
Flexibility: If you’re testing the waters or need the ability to scale without hassle.
Not Sure Which Fits Your Needs?
At Gegidze Agency, we’ve helped businesses thrive in Georgia with both EOR services and company incorporations.
Get in Touch and we’ll help you map out the right path for your business.
Why an Employer of Record Georgia is the Smarter Choice: The Mobius Binary Success Story
Let’s get real, Setting up a local entity in Georgia takes time, money, and a whole lot of patience, things most business owners don’t have when they’re on a growth trajectory.
But what if you could skip the headaches and still get the results?
That’s exactly what Mobius Binary, a UK-based cybersecurity company, did.
Here’s how partnering with Gegidze’s Employer of Record (EOR) services made all the difference:
3 Top-Tier Hires in One Year: Mobius Binary needed specialized cybersecurity talent fast. We sourced the right experts from Georgia and had them onboarded seamlessly.
€165,000 Saved: No need to set up a legal entity, open bank accounts, or navigate complex tax laws. By using our EOR services, Mobius Binary slashed costs and avoided unnecessary delays.
100% Compliance, 0% Stress: We took care of contracts, payroll, and local labor laws, so Mobius Binary could stay focused on their mission — protecting clients from cyber threats.
This isn’t just a success story. It’s a clear example of how using an EOR in Georgia through Gegidze can give your business the speed, efficiency, and cost savings you need to grow confidently.
Expand to Neighboring Countries with Ease
Start Hiring with Employer of Record Georgia and grow your team. We handle the hard stuff so you don’t have to.
Our EOR services also cover:
Frequently Asked Questions (FAQs)
What is the best Employer of Record service in Georgia?
The best Employer of Record services in Georgia depend on your business needs. Look for Employer of Record companies that offer complete compliance solutions, seamless onboarding, and efficient Employer of Record payroll services.
A global Employer of Record like Gegidze can help you hire in Georgia without establishing a local entity.