Payroll and Benefits Guide Angola
Last updated: May 02, 2023
Employer Payroll Contributions
|8.00%||Total Employment Cost|
Employee Payroll Contributions
|3.00%||Total Employee Cost|
Employee Income Tax
|0.00%||0.00 AOA – 70,000.00 AOA|
|10.00% + 3,000.00 AOA||70,001.00 AOA and 100,000.00 AOA|
|13.00% + 6,000.00 AOA||100,001.00 A00 and 150,000.00 AOA|
|16.00% + 12,500.00 AOA||150,001.00 AOA and 200,000.00 AOA|
|18.00% + 31,250.00 AOA||200,001.00 AOA and 300,000.00 AOA|
|19.00% + 49,250.00 AOA||300,001.00 AOA and 500,000.00 AOA|
|20.00% + 87,250.00 AOA||500,001.00 AOA and 1,000,000.00 AOA|
|21.00% + 187,250.00 AOA||1,000,001.00 AOA and 1,500,000.00 AOA|
|22.00% + 292,250.00 AOA||1,500,001.00 AOA and 2,000,000.00 AOA|
|23.00% + 402,250.00 AOA||2,000,001.00 AOA and 2,500,000.00 AOA|
|24.00% + 517,250.00 AOA||2,500,001.00 AOA and 5,000,000.00 AOA|
|24.50% + 1,117,250.00 AOA||5,000,001.00 AOA and 10,000,000.00 AOA|
|25.00% + 2,342,250.00 AOA||10,000,001.00 AOA and over|
The monthly minimum wage varies based on industry:
- Agriculture: 21,454.10 AOA
- Transport, services, and manufacturing: 32,181.15 AOA
- Extractive industry and trade: 26,817.62 AOA
MINIMUM WAGE (PER MONTH)
The payroll cycle is generally monthly, with wages paid by the last working day of the month.
In Angola, a 13th and 14th salary are mandatory with 50% being paid as a 13th salary for vacation bonus (which must be paid before an employee takes vacation) and 14th salary payment for a Christmas bonus.
The working hours are determined by the General Labour Law that outline specific conditions that are applied to each company activity. The standard maximum working day is 8 hours or 44 hours per week. Working hours are often increased to 9 hours per day if the work is intermittent or requires the employee’s presence, and the employer limits the working week to 5 consecutive days.
All employers must keep complete overtime records. The maximum number of overtime hours an employee can work is 2 hours per day, 40 hours per month, and 200 hours per year.
Hours worked during the mandated rest day are paid at 110% of the regular pay. Hours worked during the complimentary rest period are counted as overtime.
Overtime pay is determined by the time worked for every additional 15 minutes (i.e if overtime is performed for more than 15 minutes, but less than 44 minutes, it is calculated as half an hour overtime. It is calculated as an hour if the hours are over 45 minutes and up to 60 minutes.
In general, overtime payments are calculated per the size of the company and number of overtime hours performed:
Up to 30 hours of overtime per month:
- Large companies: 150% of the regular pay
- Medium companies: 130% of the regular pay
- Small companies: 120% of the regular pay
- Micro companies: 110% of the regular pay
Over 30 hours of overtime per month:
- Large companies: 175% of the regular pay
- Medium companies: 145% of the regular pay
- Small companies: 120% of the regular pay
- Micro companies: 110% of the regular pay
Paid Time Off
In the first year of employment, annual leave is generally accrued at two days for each month of work, with a minimum of 6 days of annual vacation to be taken in that particular year. Leave is acquired on the 1st of January the following year and can be taken once six months of work has been completed. After completing one year of employment, employees are entitled to 22 days of annual leave.
The annual leave entitlement begins on the 1st of January and is to be used by the 31st of December of the same year.
Female employees who have children under the age of 14 are entitled to one additional day of leave for each child.
An employee is entitled to full pay for the annual leave period and any other benefits accumulated during the year. There is also a standard bonus amount equal to 50% of the monthly salary paid before the beginning of the annual leave period.
There are 13 public holidays.
Employees on sick leave in medium or large companies receive full payment of their basic salary for the first two months of absence. From the third month to the 12th month of absence, the employer must pay the employee 50% of the basic salary until the relevant social protection entity takes over.
For smaller companies, employers shall pay 50% of the regular wage for 90 days.
Employees are entitled to be absent from work with paid remuneration due to illness, providing that such absence is documented and justified by providing a medical certificate.
Women who have contributed to the social security system for a minimum of 6 months before their pregnancy will receive 12 weeks’ maternity leave.
This leave is supplemented by the employer if necessary. Maternity leave commences four weeks before the due date (8 weeks before the due date for multiple births) and nine weeks of maternity leave after the child’s birth.
If the birth takes place after the expected delivery date, the period of leave is extended by the necessary period to last at least nine weeks after the child’s birth.
Maternity pay is calculated using the cumulative earnings of the preceding six months.
PAID MATERNITY LEAVE (DAYS)
The Angola General Labor Law provides one day of paid leave at the time of the birth of a child.
After the maternity leave ends, and with prior agreement from the employer, the employer can provide a female employee with an additional four weeks of supplementary unpaid leave to take care of the child.
Employees are entitled to three days’ leave per month (up to a maximum of 12 working days a year) to provide urgent assistance to members of the employee’s household.
Family Support Leave: An employee is entitled to 8 days of paid family per year with prior employer approval.
Military Service Leave: An employee may take paid leave for military duties of up to 2 days per month to a maximum of 15 days per year.
Education Leave: After giving the employer 30 days’ written notice, an employee may take unpaid leave for 60 days for education or training.
After an employment contract has been terminated, the employee is entitled to receive payment for any unused leave for that year. The employee must be paid within three days following the termination of their employment. Angolan law allows payment in lieu of notice for individuals dismissed for economic reasons.
In the event of a group layoff of more than five people, the employer must notify the worker’s representative body and the provincial offices of the Ministry of Labour to explain the reason for their layoffs. In the event of a dismissal of five or fewer people, the employer must present reasoning in writing to the employee’s representative body, who must respond within seven days.
This response is then passed to the Ministry of Labour, which has ten days to stop the layoff. If there is no response, it is assumed that the layoff is approved.
As of March 26, 2021, the termination of legal and labor relations based on the absence of workers from the workplace is prohibited (without prejudice to the application of disciplinary measures on other grounds).
For executives, middle-level technicians, and high-level technicians, the notice period is 60 days. For general employees, the notice is 30 days.
Severance pay is calculated at one month’s salary for the first five years of employment, reducing to half the monthly salary for each year after that.
Probation is not mandatory, however, 2 months is common practice. The parties may extend the probation period, in writing, up to 4 months, in the case of employees who perform highly technical complex work which is difficult to evaluate and up to 6 months in case of employees who perform management duties.
Work visas allow individuals to stay for up to 12 months and can be extended twice with multiple visa submissions. Visas are valid only for the professional activity outlined in the work contract, and types vary based on the activity mentioned—the Ministry of Public Administration, employment, and social security issue all work visas and residence permits.
All foreign employees must apply for their work visa at an Angolan consulate and provide the required documentation, including a letter from their future employer addressed to the embassy together with the completed application forms, a photocopy of the applicant’s passport, and two passport-size photos. These documents must be translated into Portuguese by an official translator and legalized by a public notary, the Ministry for Foreign Affairs, or an Angolan Embassy.
The law states that all Angolan work permits and work visas must be issued within 15 days, however, in some cases, can take longer.
Angola work visas are issued for at least 3 months but no more than 3 years. All work visas will need to be reapplied for before their expiry date.
The employees will also need a residence permit, a temporary permit for those staying for five years or less, or a permanent residence permit for those wishing to stay ten years or more.
A teleworking legislation is in place requiring that Telework must be established through a written agreement for each employee. Employers have the option to accept or reject employees telework request when it is incompatible with the activity of the employer.
However, employers may not reject teleworking requests of employees who: (1) are pregnant with health complications (2) have a health condition incompatible with onsite work or (3) care for a child under age 5 or a disabled dependent with a disability equal or above 60%.
- Employers are required to provide teleworkers with necessary work tools and bear their installation, repairs and maintenance costs (unless it is agreed otherwise).
- Employers are required to reimburse employees for teleworking-related expenses which are not normally incurred by employees.
- Teleworkers should enjoy the same rights as on-site employees, including protection against occupational accidents and illnesses as well as employee benefits.
- Employees’ right to disconnect after completion of their working hours should be respected.
The VAT standard rate is 14%.
Stay up to date on payroll & employment law changes
The minimum wage has been increased.
Questions & Answers
Public Holidays Calendar
|Sunday||Jan-1||New Year's Day|
|Monday||Jan-2||New Year’s Day||In lieu|
|Saturday||Feb-4||Liberation Movement Day|
|Wednesday||Mar-8||International Woman's Day|
|Thursday||Mar-23||Southern Africa Liberation Day|
|Friday||Mar-24||Southern Africa Liberation Day||observed|
|Tuesday||Feb-21||National Heroes Day|
|Thursday||Nov-2||All Soul's Day|
|Friday||Nov-3||All Soul's Day||observed|