Acceptable payment methods
The Protection of Wages Law of 2007 (the “Law”), as amended in 2022, stipulates the permissible methods for payment of wages, which according to the Law are the following:
- Payment to a bank account or payment account of the employee’s choice
- Payment by bank cheque in the employee’s name
Provided that the employee is in the process of opening of a bank account, the employer may pay the wages in cash for a period not exceeding four (4) months from the date of employment. The employer may continue to pay wages in cash only in case that the request for opening of a bank account is rejected. In this case the employer must provide evidence of the rejection (a relevant attestation from the credit institution that rejected the employee's application for the opening of a payment account) to the Director of Director of the Department of Labour Relations of the Ministry of Labour and Social Insurance.
Compulsory issue of monthly/weekly payslips
Following the amendment of the Law in 2022, all employers have an obligation to issue payslips on a monthly/weekly basis. The employer (in case of a company – its directors) are personally liable in case of failure to comply with this requirement of the Law.
Moreover, the Law requires that payslips are issued and circulated to employees within five (5) working days from the date of the payment of wages.
Payslips should contain at least the following information:
- The following information for both the employer and the employee:
1.1. Full name
1.2. Address
1.3. Identity
1.4. Employee’s social insurance number and employer’s registration number - Payment date
- Period of payment
- Wages payment details (basic salary, overtime, etc.)
- Employer’s contribution to Social Insurance Funds and other funds
- Employee’s contribution to Social Insurance Funds and other funds
- Other information (e.g. cost of living allowance, commissions, etc.)
