Labor in Albania
Albania offers not only a highly skilled labour force but also one of the lowest labour costs in the region. Labor relations between employee and employer are regulated by individual employment contracts pursuant to the Labor Code of the Republic of Albania and Law no. 8549, dated 11.11.1999 “On the Status of the Civil Employee”.
Albania adheres to all basic international labor organization conventions protecting worker rights.
Minimum Wage
The minimum wage in Albania is 22,000 ALL (starting from 01.07.2011)[1], approx. 157 Euro. The basic minimum monthly salary is paid for 8 working hours per day.
Minimum Base Pay (Euro) – Comparison with region
Source: Federation of European Employers 2013
According to INSTAT data, the avarage wage (public and private sector) is 36,075 ALL (approx. 257 Euro)
Avarage Gross Wage in Euro – Comparison with the region
Source: Federation of European Employers, SIEPA, INSTAT
Mandatory Social Insurance Contributions
Social insurance is 27.9% of the gross salary (with the employer paying 16.7% and the employee 11.2%).[2]
Insurance composition:
| Diseases | 0.3% |
| Maternity | 1.4% |
| Pension | 21.6% |
| Accidents and occupational diseases | 0.3% |
| Unemployment insurance | 0.9% |
| Health insurance | 3.4% |
Employment structure by sectors:
The employmenet structure by sectors refers that during the period of years 2010 – 2012:
- – 17.8% of the employees are employed in the public sector;
- – 27.6 % of the employees are employed in the non-agricultural privatesector;
- – 54.6 % of the employees are employed in the agricultural private sector.
Employed by economic activity
| Economic activity | 2008 | 2009 | 2010 | 2011 |
| Total | 100,0 | 100,0 | 100,0 | 100,0 |
| Agriculture, Foresty, Fishing | 58.3 | 55.2 | 55.3 | 54.6 |
| Industry | 8.8 | 9.3 | 9.2 | 9.9 |
| Construction | 4.7 | 4.4 | 4.25 | 3.7 |
| Trade | 5.4 | 6.4 | 6.3 | 7 |
| Transport and Communication | 2.6 | 2.5 | 2.6 | 2.8 |
| Other Services | 12.1 | 13.3 | 13.3 | 12 |
Source: INSTAT