Kazakhstan Employer of Record (EOR): 2026 Guide

Date:

July 27, 2026

Last updated:

July 26, 2026

Introduction

Hiring in Kazakhstan means navigating one of the region’s most heavily regulated labor codes. You must draft written employment contracts in Kazakh or Russian, ensure both parties understand them, and obtain work permits for foreign nationals while meeting local employment quotas.

You also need to calculate and file social insurance contributions separately from income tax, and follow strict termination procedures.

Miss any of these requirements, and authorities can impose penalties, prohibit further employment, or flag your company for audit.

An employer of record (EOR) in Kazakhstan becomes the legal employer on your behalf. This allows you to hire, onboard, and pay employees compliantly without setting up an entity.

This guide covers employment contracts, payroll, work permits, and how to choose the right EOR partner for Kazakhstan.

Kazakhstan at a glance

Population: 21.09M

Currency: Kazakhstani tenge (KZT)

Capital city: Nur-Sultan

Languages spoken: Kazakh and Russian

Gross Domestic Product (GDP): 176.72K ₸

One platform to grow your global team

Hire and pay talent globally, the hassle-free way with Skuad.

Talk to an expert

Employment in Kazakhstan

What you should know before employing in Kazakhstan?

To start business operations in Kazakhstan, you should be aware of several facets of the local labor laws and regulations.

The table below lists some of the mandatory labor entitlements that you must keep in mind while employing in Kazakhstan.

Entitlememnts	Explanation
Working hours	Adult workers can work up to 40 hours per week. Workers between the ages of 16 and 18 are restricted from working more than 36 hours a week.
Over time eligibility	Kazakhstan states that overtime is only applicable to the employees who give their consent. A maximum of two hours of overtime work is legal on a single calendar day in Kazakhstan. According to the Labor Code of the Republic of Kazakhstan, hourly pay for overtime work is compensated at no less than one and a half times the standard rate. 14–16 year-olds are capped at 24 hours/week
Paid public holidays	The public holidays in Kazakhstan are as follows. New Year’s Day Orthodox Christmas Day International Women’s Day Nauryz Celebration Unity Day Defender’s Day Victory Day Capital City Day Kurban Ait Constitution Day Independence Day Republic day Dates of these holidays and observances may change based on religious calendars.
Holiday pay	Generally, all employees working in Kazakhstan have the right to claim 24 days of annual leave. Employees can also get additional holidays in an emergency, but must contact the employer first.
Medical leave	Employees are entitled to 3 days paid sick leave per year (6 days for severe illness). The sickness allowance is paid from the 1st day of incapacity until recovery. The monthly payment cannot exceed 25 times the MCI (Monthly Calculation Index).
Maternity leave	Article 99 of the labor laws in Kazakhstan has allotted a total of 126 days of maternity leave (70 days before and 56 days after the delivery of the baby). Additional leave without pay can also be granted. The post-birth portion rises to 70 days for complicated births or multiple children.
Annual Leave Accrual Entitlement	Normally, all the employees tend to use all of their leave. They’re entitled to full payment or another holiday, depending on the occasion.
Leave cash out	Compensation is given if any employee has to work on a holiday. Unused holidays can be cashed out. Note: Leave cash-out generally applies to unused annual leave on termination, not to swapping ordinary leave for cash during employment
Employee protection and anti-discrimination rights	According to the labor rules of Kazakhstan, no employee can be discriminated against based on origin, social/official/property status, sex, race, nationality, language, religion, beliefs, age, or similar.
Confidential and personal information	The 2013 personal protection law in Kazakhstan guarantees the protection of the information held by companies. All citizens are entitled to privacy in their communication as well.

Understanding and penetrating the Kazakhstani culture will also help you in getting potential candidates for employment. However, this process of researching requires a lot of effort and resources.

Contractors vs full-time employees

In Kazakhstan, employment contracts can be:

Indefinite
For a definite period
To fill in for temporarily absent employees

Workers who work on different contracts independently are known as contractors. Contractual workers pay their taxes and manage their work independently.

Full-time employees receive orders and instructions from the employer and are entitled to different perks for working full-time.

The table below gives you a snapshot of how they differ.

Differentiator	Employee	Contractor
Control and Subordination	Follows employer instructions and work schedules	Maintains independence in execution
Integration	Integrated into organizational structure	Provides discrete deliverables
Economic risk	Receives a guaranteed salary	Bears business risk; invoices for services
Equipment and Resources	Employer provides tools and workspace	Uses own resources
Exclusivity	Typically works for one employer	Serves multiple clients
Legal Framework	Labor Code (employment contract)	Civil law contract (commercial agreement)
Tax treatment	Employer pays payroll taxes, social contributions	Contractor handles own taxes

Misclassification can result in back payment of taxes, social contributions, penalties, and potential criminal liability for tax evasion.

Advantages of hiring contractors

Flexibility: Since contractors are hired on a short-term basis, you are free to determine the scope of their work. If new needs arise, new contracts can be drafted in the short term.
Independence: Short-term contractors usually work independently and on their own timeline. They do not require close supervision, and your resources can be transferred elsewhere, as needed.
Cost: Hiring contractors may be cheaper in the long run, although their individual rates are higher than those of full-time employees. This is because such employees are not entitled to employment benefits such as bonuses and tax compensation.

Advantages of hiring full-time employees

Loyalty and organizational commitment: Full-time employees are likely to be more loyal as they exclusively work for your company.
Knowledge: All employees undergo training when they join a firm. The skills and knowledge gained by a full-time employee, however, stay within the organization.
Legal freedom: Since full-time employees are defined as such in their contracts from the outset, misclassifications and the repercussions thereof can be avoided completely. When hiring full-time employees, you determine the terms of the contract and entitlements, and these are not liable to change unless mutually decided by both parties.

Choosing between contractors and full-time employees in Kazakhstan changes your tax exposure, your misclassification risk, and how much of the working relationship you control.

Whether hiring full-time or a contractor, Skuad supports both. See pricing

Hiring in Kazakhstan

Hiring in Kazakhstan requires compliance with the Labor Code, mandatory work permits for foreign nationals, and formal employment contracts.

An employer must enter into an employment contract, which can either be for an indefinite period or temporary. Contracts must be written in the Kazakh language and state the responsibilities, benefits, salary, working time, and immunities.

Hiring across Kazakh and Russian language markets, with credentials issued under different systems, makes verifying a candidate's history harder for foreign employers.

Skuad supports background checks as part of the hiring workflow, covering identity verification, employment history, criminal records, and education credentials, so you know who you are onboarding before contracts are signed.

Combined with Skuad's local EOR infrastructure, the process from candidate verification to compliant onboarding runs through one platform.

Probation and termination

Probation in Kazakhstan

Article 36 of the labor laws in Kazakhstan mentions the probation period to test an employee’s dedication and conformance to the organization. This period cannot exceed three months and must be stated in the employment contract.

The employer can terminate the employee with a written application stating a proper reason during the probation period.

Termination in Kazakhstan

Topic	Explantion
Grounds for termination	An employer can dismiss an employee only on the grounds listed in the Labour Code. These include liquidation of the employer, a reduction in headcount or staff, repeated failure to perform duties, absence without a valid reason for three or more consecutive hours in a working day, and being at work under the influence of alcohol or drugs.
Notice for employer-initiated termination	For dismissal due to liquidation or staff reduction, the employer must give written notice at least one month in advance. The notice can be shortened with the employee's written consent. A labour or collective agreement can set a longer period. The one-month rule does not apply to disciplinary dismissal, probation failure, or expiry of a fixed-term contract.
Notice for employee-initiated termination	An employee can resign by giving the employer at least one month's written notice.
Restriction on dismissal	An employer cannot dismiss an employee during sick leave or annual paid vacation. Exceptions include liquidation of the employer, serious misconduct by a senior executive that causes material damage, and absence due to temporary disability for more than two consecutive months.
Severance and compensation for loss of employment	The employer pays compensation of one average monthly salary on liquidation, staff reduction, or the employer's failure to meet the contract terms. It rises to two average monthly salaries where dismissal follows a drop in production, work, or services that worsen the employer's economic position.
Compensation for unused annual leave	On termination, the employee is paid compensation for any unused paid annual leave, calculated on the average wage.
Final settlement timing	Wages owed, unused leave compensation, and severance where due are paid as the final settlement.

Kazakhstan does not recognize at-will employment. Dismissals must rest on a statutory ground in the Labor Code, with at least one month of written notice and correct severance, and a misstep here exposes foreign employers to reinstatement claims and penalties.

Incorporation: how to set up a subsidiary in Kazakhstan

A Limited Liability Partnership (LLP) is the most popular form of business organization. It is a separate legal body with a set of rules, regulations, and responsibilities.

The steps for the incorporation of an LLP are as follows.

Registration of the subsidiary and obtaining the online signature and tax registration

All the required documents should be sent to the administration of Kazakhstan with the legal name. A certificate will soon be issued to the employer, and an electronic signature will be provided in two or three days.

Obtaining a verified certificate and other required documents

Foreign employees will have to apply for work permits at this point, and the employer will also need to obtain all the necessary licenses and permits to set up a subsidiary.

Opening a bank account

The employer will have to create a current account with a bank in the country of Kazakhstan with any recognized banking institution. All the necessary documents must also be provided.

Registration of health insurance for employees

The employer must make sure that no employee is exempt from health or other benefits before the operations of the subsidiary begin.

Setting up an LLP in Kazakhstan involves name registration, an electronic signature, tax registration, a local bank account, and minimum capital, and the full process can run to four weeks before you account for the banking and currency rules that foreign founders tend to find unfamiliar.

EOR solution in Kazakhstan

Registering a subsidiary in Kazakhstan ties up your legal and finance teams in LLC charters, bank account setup, and minimum capital rules for roughly four weeks before a single employee is onboarded, and an employee working on your behalf for more than 183 days can trigger permanent establishment tax exposure.

Skuad helps remove that dependency by acting as the legal employer in Kazakhstan, so your company can hire, onboard, and pay employees without entity setup, local legal counsel, or in-house payroll infrastructure.

Here is what Skuad helps with:

Employment contract generation across 160+ countries, aligned with local labor laws and statutory requirements
Statutory contribution workflows across supported markets, covering applicable social insurance and pension obligations
Payroll processing in 70+ currencies with accurate tax withholding and statutory deductions
Termination and offboarding support aligned with local labor requirements across supported markets
Work permit and visa support for foreign nationals joining your team
Background verification covering identity, employment history, and criminal records before onboarding

Book a demo to see how Skuad onboards your first Kazakhstan hire in weeks rather than months.

General Employer of Record service terms

Terms	Explanation
Taxes that apply to invoices	All the values of work, services, and goods are taxed at a rate of 16% VAT, with reduced rates and exemptions for certain goods and services
Minimum duration of service	It depends on the nature of the work. There is no minimum duration of service in Kazakhstan.
Currency Accepted	Kazakhstani tenge (KZT)
Required Details & Documents	Important personal information, passport copy, bank-related details, and a passport-size photo are required for residents. For foreign nationals, personal details, a letter of employment from the employer, payment proof, duty and responsibilities within the organization, educational and technical qualifications, curriculum vitae, passport copy, bank details, passport-size photos, medical report, and police verification are needed.

Types of visas

The main types of visas in Kazakhstan are tabulated below.

Types of visas	Explanation
C3 work visa	Foreign nationals who hold an approved work permit and a signed employment contract with a Kazakhstani employer. Family members can receive dependent C3 visas.
C4 work visa	Foreign nationals coming for independent employment in occupations that are in demand in priority sectors, including those who arrange a job after arriving.
C5 business immigrant visa	Foreign nationals coming to set up or run their own business in Kazakhstan.
C6 seasonal worker visa	Foreign nationals coming for seasonal work.
B1 business visa	Short-term business trips such as meetings, negotiations, or training. It does not allow employment.

Work permits

Particulars	Explanation
Can Skuad support work permits in Kazakhstan?	Yes. Skuad acts as your legal employer on your behalf and supports the work permit process.
Issuing authority	The work permit is issued by theMinistry of Labour and Social Protection through the local executive body. The visa is issued by Kazakh embassies and consulates under the Ministry of Foreign Affairs, and the letter of invitation comes from the Ministry of Internal Affairs migration service.
Processing time	About one month for the work permit, around five business days for the letter of invitation, and up to five working days for theC3 visa.
Work permit process	The employer runs a labour market test by posting the vacancy and can proceed only if no suitable local candidate is found within 15 calendar days. The employer applies for the permit to attract foreign labour through the local executive body, within the foreign-labour quota. Once the permit is approved, the employer requests a letter of invitation from the Ministry of Internal Affairs migration service, which generates a visa support number. An employment contract is signed between the employer and the employee. The employee applies for the C3 work visa at a Kazakh embassy or consulate and completes post-arrival registration, including the individual identification number (IIN).
Work permit categories	Four categories, based on the role- Category 1 covers top executives and their deputies Category 2 covers heads of structural divisions Category 3 covers specialists Category 4 covers skilled workers.
Work permit validity	Validity depends on the category. Category 1 can run one, two, or three years, renewable for the same period. Other categories are typically valid for one year, with renewal options that depend on the role and nationality.
Which nationalities need a work permit	Most foreign nationals need a work permit. Citizens of Russia, Belarus, Armenia, and Kyrgyzstan are exempt and use a temporary residence permit instead.
Change of employer within Kazakhstan	A work permit is tied to a specific employer and city. Moving to a new employer generally requires a new work permit through the labour authorities.
Work permit criteria	The employee's qualifications and education must match the role, supported by a degree. The employer must pass the labour market test and stay within the foreign-labour quota. A clean criminal record is generally expected.
When the employee can travel	The employee can travel to Kazakhstan once the C3 work visa is issued.
Switching from a business visa to a work visa	A foreign national can change the visa category to C3 from a B2, B3, B10, C2, or C9 visa without leaving Kazakhstan, in line with the official Rules for Issuing Visas.
Business visa processing time	Up to about five working days, with longer timelines possible during periods of high workload.
End of a work permit	A work permit ends when the employment ends or the permit expires.

Bringing a foreign national into Kazakhstan means securing a C3 work visa and an employer-sponsored work permit, a sequence that runs through a labor market quota and several government bodies, and one that can take two to six months from application to approval.

Skuad supports the work permit process on your behalf, including:

Supporting work permit applications for foreign employees joining your team
Helping coordinate visa documentation with relevant local immigration authorities
Assisting with residence or work permit conversions as required by local immigration law
Helping track documentation requirements and deadlines across the full permit lifecycle
Helping keep your team aligned with compliance requirements as permit rules and renewals change

Book a demo to see how Skuad supports Kazakhstan work permits end-to-end.

Payroll and taxes

How to set up payroll in Kazakhstan

You will need to acquire a basic understanding of the Kazakhstani rules and regulations to set up and keep the flow of payroll and taxes going. Even though Kazakhstan is a great place for a new business venture, you might get confused.

There are two ways you can tackle this.

You can find and train your team to administer taxes and payroll.
You can partner with Skuad’s EOR services for administering payroll and taxation.

Taxes in Kazakhstan

Tax	Explanation
Personal income tax	Annual income up to 8,500 MCI (Monthly Calculation Index), roughly KZT 33.4 million in 2026, is taxed at 10%. Income above that threshold is taxed at 15%. Tax residents pay these rates regardless of nationality.
Tax returns	Most employees have income tax withheld at source by the employer through Form 200.00, so they do not file separately. Annual declarations apply to certain individuals and to entities.
Tax year and filing deadline	The tax year is the calendar year, ending 31 December. The annual tax declaration for the prior year is generally due by 31 March.
Corporate income tax	The standard rate is 20%. From 2026, a 25% rate applies to second-tier banks and gambling businesses, while a reduced 5% rate applies to certain social-sector organizations, rising to 10% from 2027.
Withholding tax for non-residents	Interest is taxed at 15% and dividends at 15%, with some exceptions, and a 20% rate applies to entities registered in low-tax jurisdictions. Resident dividends are taxed separately at 5% up to 230,000 MCI and 15% above.
Value-added tax (VAT)	The standard VAT rate rose to 16% on 1 January 2026, up from 12%. Reduced rates and exemptions apply to some goods and services, including a 5% rate on medicines and medical services in 2026.
Employee contributions and deductions	Employees contribute 10% of gross salary to the mandatory pension (to the Unified Accumulative Pension Fund), and 2% to the mandatory social health insurance, in addition to progressive income tax. The employer withholds and remits these.
Employer contributions	Employers pay social tax, social insurance contributions to the State Social Insurance Fund at 5%, an employer pension contribution that has been phasing in since 2024, and an employer medical insurance contribution. These are calculated and paid monthly.
Property tax	A corporate asset tax of around 1.5% applies to the value of buildings and certain fixed assets. This is a company tax rather than a payroll item.
Medical insurance	Kazakhstan runs mandatory social health insurance through the Social Health Insurance Fund under the Ministry of Health, funded by both employee and employer contributions.

Total employer cost in Kazakhstan goes well beyond gross salary. Social tax, pension contributions to the Unified Accumulative Pension Fund, social insurance, and medical insurance all sit on top, and the rates shift from year to year, which makes budgeting harder to estimate from the outside.

Skuad's employee cost calculator helps you model the loaded monthly cost of a Kazakhstan hire, including statutory employer contributions, before you commit to an offer.

Kazakhstan EOR: navigate labor code requirements without opening a local office

Foreign companies hiring in Kazakhstan must follow Labor Code requirements, which include mandatory written employment contracts in Kazakh or Russian, work permit requirements, social insurance contributions, one-month notice periods for termination, and strict restrictions on dismissing employees during sick leave or annual vacation.

Skuad supports the operational complexity of hiring in Kazakhstan, employment contracts, social insurance filings, payroll in Kazakhstani Tenge, statutory benefits, and work permit support so your team can focus on the work, not the paperwork.

Companies across SaaS, logistics, e-commerce, and technology use Skuad to enter the Kazakhstan market faster, stay compliant as Labour Code obligations evolve, and scale their Kazakhstanian workforce without building local HR infrastructure from scratch.

Start hiring in Kazakhstan without setting up a local entity. Book a demo

FAQs

1. What is an Employer of Record in Kazakhstan?

An Employer of Record (EOR) in Kazakhstan is a third party that acts as the legal employer for your local hires, while you handle the day-to-day work of the employees.

2. Can a foreign company hire in Kazakhstan without a local entity?

Most EOR providers hold a local entity in Kazakhstan, so the employers can directly start hiring and working with foreign employees without registering any entities in Kazakhstan.

3. What are the main compliance risks when hiring in Kazakhstan?

Misclassifying a worker as a contractor when the role functions like employment is the main risk, since the labor code takes an employee-protective stance and has no at-will dismissal. Getting it wrong can mean back-dated taxes, social tax, and UAPF contributions, plus penalties from the State Revenue Committee.

4. Is an EOR better than setting up an entity in Kazakhstan?

Setting up your own entity means registering an LLC, opening a local bank account, and meeting minimum capital rules, which usually takes around four weeks before you can hire. An EOR skips all of that and lets you onboard in a fraction of the time.

5. How quickly can you onboard an employee in Kazakhstan through an EOR?

Onboarding through an EOR in Kazakhstan typically takes around two weeks. The exact timeline depends on the role, the documents the employee provides, and whether a foreign national needs a C3 work visa, which adds two to three months.

About the author

Martyna Krawczyk

HR and Immigration Lawyer, Global HR Operations

Martyna Krawczyk is an HR and Immigration Lawyer and an Associate in Payoneer Workforce Management(Formerly Skuad) Global HR Operations team. She earned an LPC LL.M. from the University of Law in the UK and holds an Associate CIPD certification. Martyna is Vice President of the Labour Law Association of Poland and was awarded the Wolters Legal Hackathon 2024. She specialises in international employment law, cross-border workforce compliance, and global immigration - key areas that reflect Skuad's core values.

Employer of Record in Kazakhstan: A Comprehensive Guide for 2026

Table of Content

Introduction

Kazakhstan at a glance

One platform to grow your global team

Employment in Kazakhstan

What you should know before employing in Kazakhstan?