The individual employment contract must contain twelve elements, listed in Article 21, paragraph 3, of the Labor Code. It is drawn up in writing before the commencement of work, although in special and justified cases the deadline is extended to seven days from the date of employment. The absence of any one of the twelve elements does not invalidate the contract, but leaves the employer without proof when something is contested.
This page provides the full list as it appears in the law, explains in simple terms what each element means, and shows which three are most often forgotten.
The employment contract must especially contain the identity of the parties, the place of work, a general description of the job, the start date of employment, the duration when the parties enter into a fixed-term contract, the length of paid leave, the notice period for termination of the contract, the components of the salary and the date of its payment, the normal weekly working hours, a reference to the applicable collective bargaining agreement, the probationary period, as well as the types and procedures of disciplinary measures, if there is no collective bargaining agreement.
Source: Labor Code, Article 21/3
The law is arranged alphabetically, from A to H. The third column shows what each means in practice.
| Letter | Element | What does it mean? |
|---|---|---|
| a | Identity of the parties | The full name of the employer with NIPT and of the employee, with identification data. |
| b | Place of work | The address where the work is carried out. If there are multiple locations, they are all listed. |
| c | General job description | Position and key responsibilities, not just the title. |
| ç | Start date of employment | The first actual day of work, the same as the one declared on the tax return. |
| d | Duration | Only when the contract is for a fixed term. The end date is clearly stated. |
| of death | Paid leave | No less than 22 working days per year. It may also be granted by reference to the Code or the collective bargaining agreement. |
| e | Notice period | From 2 weeks to 3 months, by years of work |
| ë | Pay elements and payment date | Basic salary, Mandatory add-ons, and the day of the month when it is paid |
| f | Weekly standard time | Hours per week, no more than 40 |
| g | Reference to the collective contract | If such a thing exists in the sector or in the enterprise. |
| good | Trial period | The first three months under Article 142. If it's not written, it doesn't exist. |
| h | Disciplinary measures | Types and procedures required when there is no collective bargaining agreement. |
Point 6 of that same article allows for an exemption. Information on leave, notice periods, pay components, weekly working time, and the probationary period may be provided by reference to the Code, a Council of Ministers' decision, or the collective agreement. This does not mean they are removed, but that they need not be reproduced verbatim.
The word the law uses is "in particular." This means that the twelve elements are the minimum, not the maximum. The parties may add others, such as confidentiality or the use of work tools, provided that none of them grants less than the law requires.
Of the twelve, three are the ones that are almost always missing from the contracts brought to us for review.
The probationary period, which does not exist if it is not written down. Disciplinary measures, which are mandatory when the business does not have a collective bargaining agreement. And the pay date, which is rarely specified, even though the law requires it along with its constituent elements.
Read also: Types of contracts and when a fixed term becomes an open-ended term.
Article 21, paragraph 1, requires written form. Paragraph 2 of the same article says something different, which in practice carries more weight.
The contract is considered binding when the employee agrees to perform work within the organization and according to the employer's instructions, in exchange for payment. Thus, the relationship arises from the work performed, not from the signing.
Caution: It's often said that work without a contract isn't protected. The opposite is true. The employee has all the rights, while the employer is left without proof of pay, schedule, or start date. In a dispute, these are proven by testimony, bank transfers, or any other means.
These two deadlines are constantly confused because they stem from two different laws.
Article 21, paragraph 4, states that in special and justified cases, when the contract has not been concluded beforehand, the employer is required to conclude it within seven days from the date of employment. This is an exception, not the rule.
The tax declaration cannot wait. The employee must submit Form ESIG027 at least one calendar day before starting work.
Read also: Accurate reporting of employees and wages.
An employee starts work on Monday. The declaration must be made on Sunday or earlier. The contract must be signed on Monday, and only if there is a justified reason can it be postponed until the following Sunday. In practice, we do both before the first day, because the seven-day deadline is protected only if the reason is proven.
Article 21, point 5, adds an obligation that almost no one complies with.
When an employee is required to work outside Albania for more than one month, the employer obtains his consent and provides him with a written document. That document contains all twelve elements, plus the duration of the employment abroad, the currency in which it is paid, and the cash or in-kind benefits.
Article 23, paragraph 2, is clear. The employer is not required to implement orders that change the terms of the contract. Changes are made by agreement between the parties.
This applies to every item on the list. Salary, schedule, workplace, and position change only by an additional act signed by both parties.
A clause that gives the employer the right to change the employee's location or schedule on its own does not fall within this rule. It remains invalid to the extent that it conflicts with the law, while the rest of the contract remains in effect.
Read also: Contract amendment and supplementary act.
If you want to know within five minutes whether a contract holds up, go through these six points.
Caution: Violation of Article 21, third paragraph, falls under point 2 of Article 202 and is punishable by a fine of up to thirty times the minimum monthly wage. With a minimum wage of 50,000 LEK, this means up to 1,500,000 LEK, regardless of how small the missing element may seem.
Twelve, pursuant to Article 21, paragraph 3, of the Labor Code. The law uses the word "especially," so these are the minimum and the parties may add others.
The employment relationship exists even without a document, because Article 21(2) ties it to work performed for pay. The written form remains the employer's obligation, and its absence leaves him without proof.
For special and justified cases, within 7 days from the date of employment. This is not a free period; it is an exception that requires a reason.
No. The declaration using form ESIG027 must be made at least one calendar day before work begins. There are two different deadlines under two different laws.
The contract remains valid, but the missing element is not proven. In practice, the absence of a probationary period and disciplinary measures is what costs the most.
No. Article 23, paragraph 2, requires an agreement between the parties. The amendment is made by an additional act signed by both.
The code does not specify a language. In practice, it is kept in Albanian, or bilingual when the employer is foreign, because during inspections and in court the Albanian text is the one that is read.
Yes, and this is not disputed in practice. The contract is signed in two copies, one for each party, and the employer's copy is kept in the employee's file.
