Employee Benefits in Angola
Angola, officially known as the Republic of Angola, is a coastal country in West-central South Africa with a workforce of 15,430,003 people (2023) and a GDP of 84.72 billion US dollars (2023). The country’s reliance on the oil and gas industry has resulted in volatility, with large parts of the country left in poverty and inequality, particularly since the end of its civil conflict in 2002.
Labor laws in Angola have been changed in recent years to bring balance to employee and employer rights, promoting improvements to fixed-term contract regulations and enhancing employee protections. Employers need to ensure compliance with Angolan labor law when hiring in Angola and offer compelling benefits to attract potential employees and increase staff retention.
This guide will provide a comprehensive guide to employee benefits in Angola, with information on the changes to the Angola labor laws and both mandatory and optional benefits of Angolan labor law. We’ll also explain how Remote People can help when it comes to hiring in Angola and adhering to Angola labor laws.
Angola Employment Laws
Until 2015, primary labor legislation in Angola was depicted by the General Labor Law of Angola (GLL), detailing employee rights and benefits such as working hours, pay, and employee leave. The New General Labor Law (NGLL) was introduced in March 2024 to improve employee protection, replacing the existing system and introducing improvements to employee benefits including:
- Fixed-term contracts
- Employee leave
- Overtime pay
The NGLL aims to promote economic and social development in Angola and ensure the creation of lawful employment for the Angolan workforce.
When employing in Angola, it’s important to consult legal experts for detailed compliance. This is to ensure that your employment practices adhere to the latest legislation depicted by the NGLL and simplify the process of hiring in Angola.
Mandatory Employee Benefits in Angola
Employers and employees are liable to Social Security contributions on gross income. These contributions intend to cover family, unemployment, and pension protections.
Social security rates for employers and employees in Angola are as follows:
| Category | Social Security Rate |
|---|---|
| Employers | 8% |
| Employees | 3% 8% (Retired Employees) |
Foreigners working in Angola without a residence permit may be exempt from social security contributions if they are already covered by the social security regulations of their home country.
The INSS (Instituto Nacional de Seguranca Social) governs the national social security scheme, with all contributions being withheld from an employee’s salary and remitted to the Ministry of Finance.
Annual Paid Leave
Employees in Angola are entitled to 22 days of annual leave on full pay, once one year of employment has been completed (not including weekly rest days).
For a new employee, 2 days of annual leave is accrued in each month of work in the first year. Employees are required to take at least 6 days of annual leave in this first year of work. Annual leave is generally acquired on the 1st of January of the following year and is to be used by the 31st of December of that year.
Working Hours
In general, working hours cannot exceed 44 hours per week and 8 hours per day. This also includes overnight work, where employees cannot work longer than 8 hours – working for 3 hours or more between 8pm and 6am of the following day constitutes night-time work.
The typical 44 hour working week is often divided into six days of 7 or 8 hours. Work beyond this amount is generally compensated at a rate of 1.5 or twice an employee’s hourly rate.
Reasonable exceptions can be made to these general rules as per the NGLL.
Overtime Pay
Overtime should be paid at an enhanced rate for each hour of overtime completed. The rate hourly rate will vary depending on the number of hours worked and employer type.
The maximum limits must be adhered to when carrying out overtime hours:
| Category | Maximum Overtime Limit |
|---|---|
| Per Day | 2 hours |
| Per Month | 40 hours |
| Per Year | 200 hours |
Overtime hours should only be performed if legal requirements are met and should arise only due to urgent requirements by an employer.
The publication of the NGLL made the following changes to overtime compensation laws for employees in Angola:
| Category | Details |
|---|---|
| Overtime Rate (Up to 30 Hours) | 50% remuneration |
| Overtime Rate (Exceeding 30 Hours) | 75% remuneration (applies to overtime on rest days) |
| Overtime Records Requirement | Must be endorsed by employees within 72 hours |
| Remuneration for Non-Compliance | Employees entitled to 2 hours of overtime |
The NGLL also simplified existing laws around labor linking certain entitlements, including shift, night, and on-call work.
These types of work now receive a flat compensation rate of 120% of the base salary, 150% for the first 30 overtime hours in one month, and 175% for extra overtime.
Paid Public Holidays
There are 13 public holidays in Angola that are separate from annual leave. Angolan public holidays in 2025 include:
- January 1 – New Year’s Day
- February 3 – Liberation Day
- March 3 & 4 – Carnival
- March 8 – International Women’s Day
- March 23 – Southern Africa Liberation Day
- April 4 – Angolan Peace Day
- April 18 – Good Friday
- May 1 – Labor Day
- September 17 – National Heroes’ Day
- November 2 – All Souls’ Day
- November 10 – Independence Day
- December 25 – Christmas Day
Sick Leave
Employees of medium or large companies in Angola are entitled to 6 months of fully paid leave when sick or injured, changing to half-pay thereafter for up to 1 year (reimbursable by social security). This has been increased from 2 months of fully paid leave as per the GLL.
Sick leave is only authorized when employees provide their employer with a doctor’s note. If an employee takes sick leave for over one year the social security system takes over payments.
Employees in Angola who work for small companies will be entitled to half-pay from their employer during the first 90 days of sick leave.
Maternity Leave
Employees in Angola are entitled to 3 months of maternity leave at full pay. This begins 4 weeks prior to the expected birth date, with the remainder being taken after this date.
An additional 4 weeks of unpaid leave can be taken after the initial 3 month period, provided that the employee has delivered written notice to the employer.
The NGLL introduces a new policy of up to 180 days of “pre-maternity leave” for high-risk pregnancies.
Both core maternity and pre-maternity leave are paid by employers and reimbursed by social security payments.
Another change made in the NGLL concerning parental benefits is that female employees are no longer entitled to an extra day of paid annual leave for each child under 14 years of age.
Paternity Leave
Fathers in Angola are entitled to 1 day of paid leave as per the GLL. An additional 7 days of unpaid paternity leave was introduced in the NGLL, which can be consecutive or interpolated.
Severance Pay
Severance pay in Angola consists of one month of pay for each year of seniority, up to a maximum of five years of employment.
This changes to 50% of an employee’s monthly salary for each year thereafter.
Severance is no longer based on the size of the employer, as in the GLL. It is now based solely on salary and years of service as per the NGLL.
All employees who are made redundant are entitled to one month of pay per year of service for the first five years of severance. They can also receive 50% of their monthly salary for each additional year of service.
Another change made in the NGLL is that the threshold for collective dismissal has been reduced from 20 to 5.
Fixed Term Contracts
A key change implemented by the NGLL was the revised literature on fixed-term contracts.
Applicable to new and renewed employment contracts, fixed-term contracts can only be used in specific situations such as the following:
- Replacing an employee on leave
- Meeting temporary increases in business requirements
The reason for the fixed-term contract must be included within the contract itself in order for this to be valid. If a reason is not included, the contract will be valid for an indefinite term.
The maximum trial period for fixed-term contracts has also been changed, reducing from 60 days to 30 days.
Supplementary Employee Benefits in Angola
Alongside mandatory employee benefits, it’s recommended that you introduce supplementary employee benefits to attract potential employees and improve employee retention when doing business in Angola.
Examples of supplementary employee benefits include:
- Private healthcare
- Performance bonuses
- Supplementary pension plans
- Enhanced maternity/paternity leave
- Extra allowances such as transportation, housing, and meals.
The introduction of the NGLL has also helped to support flexible working in Angola, with the following changes being made:
- New employment contract for teleworkers working from home or other remote locations
- Flexible working hours (e.g. amended start/end times) permitted to employees with children under 5 and employees caring for disabled/chronically ill children or dependent parents
Optimize Employee Benefits with Remote People
The complexity of Angola’s labor regulations can dissuade companies from hiring in Angola altogether.
Remote People’s Employer of Record services can help companies ensure streamlined compliance, payroll, and benefits administration. Choosing an EOR provider that fully understands Angola’s labor and taxation laws is crucial when employing in Angola, to eliminate the potential for mistakes and efficiently handle important legal and administrative processes.
We can also help you to find reliable, qualified employees in Angola via our Angola recruitment services. Our team of experts is experienced in the Angolan recruitment landscape and can help you navigate the best candidates for your business.
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