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Your guide to the employment landscape, working customs and local labor laws in Iran.
Capital
Tehran
Currency
Irani Rial (IRR)
Languages
Persian
GDP per Capita
$5,453
Employer Tax
23%
Payroll Frequency
Monthly
Iran, also known as Persia, is a country in Western Asia. It has a rich cultural history and is home to one of the world’s oldest civilizations. Iran is considered the world’s ‘Energy Superpower’ due to its large oil and gas reserves. The economy is strongly dominated by oil and gas production. The Tehran Stock Exchange, which consists of over 40 industries, has been one of the best-performing exchanges in the world over the last decade.
Major economic hubs:
Tehran, Mashhad, Isfahan, Karaj
Skills in demand:
Local: 1
World: 545
Local: 2
World: 1046
Local: 3
World: 1096
Local: 4
World: 1436
Local: 5
World: 1678
IranTalent, Iran Estekdam, Jobinja
4,567,000
Top Local Job Boards:
Top Local Job Boards
Number of LinkedIn users:
Number of LinkedIn users
Top Recruitment Agencies:
Some of the popular jobs and their annual salaries are listed below:
Job Title | Average Monthly Salary (in IRR) | Average Monthly Salary (in USD) |
Financial Manager | 89,100,000 | 2129.03 |
General Manager | 81,000,000 | 1935.48 |
Business Development Manager | 77,000,000 | 1839.90 |
Financial Analyst | 58,100,000 | 1388.29 |
Business Analyst | 58,800,000 | 1405.02 |
Project Manager | 52,600,000 | 1256.87 |
Below are the key points an employer must keep in mind while seeking employees in Iran.
Employment contracts in Iran can be either for a fixed term or can be permanent. A contract for a permanent job with no mention of a term will be considered permanent. The contract must contain details like type of work, compensation, working hours, leaves, and job location. A probation period, if any, must also be specified on the contract.
The probationary period for employees in Iran is one month for unskilled and semi-skilled employees, and three months for skilled and specialised employees.
Date | Name | Type |
4 Feb | Birthday of Imam Ali and Father’s Day (Tentative Date) | National holiday |
11 Feb | Revolution Day | National holiday |
18 Feb | Prophet’s Ascension (Tentative Date) | National holiday |
8 Mar | Imam Mahdi’s birthday (Tentative Date) | National holiday |
20 Mar | Oil Nationalization Day | National holiday |
21 Mar | Norooz (Persian New Year) (Tentative Date) | National holiday |
22 Mar | Norooz Holiday (Tentative Date) | National holiday |
23 Mar | Norooz Holiday (Tentative Date) | National holiday |
24 Mar | Norooz Holiday (Tentative Date) | National holiday |
1 Apr | Islamic Republic Day | National holiday |
02 Apr | Nature Day | National holiday |
12 Apr | Martyrdom of Imam Ali (Tentative Date) | National holiday |
22 Apr | Eid-e-Fetr (End of Ramadan) (Tentative Date) | National holiday |
23 Apr | Eid-e-Fetr (Additional Holiday) (Tentative Date) | National holiday |
16 May | Martyrdom of Imam Sadeq | National holiday |
4 Jun | Demise of Imam Khomeini | National holiday |
5 Jun | Khordad National Uprising | National holiday |
29 Jun | Eid-e-Ghorban (Feast of Sacrifice) (Tentative Date) | National holiday |
7 Jul | Eid-e-Ghadir (Tentative Date) | National holiday |
27 Jul | Tassoua (Tentative Date) | National holiday |
28 Jul | Ashura (Tentative Date) | National holiday |
6 Sep | Arbaeen (Tentative Date) | National holiday |
14 Sep | Demise of Prophet Muhammad and Martyrdom of Imam Hassan (Tentative Date) | National holiday |
15 Sep | Martyrdom of Imam Reza (Tentative Date) | National holiday |
24 Sep | Martyrdom of Imam Hasan al-Askari (Tentative Date) | National holiday |
3 Oct | Birthday of Prophet Muhammad and Imam Sadeq (Tentative Date) | National holiday |
17 Dec | Martyrdom of Hazrat Fatima (Tentative Date) | National holiday |
Type of Leave | Duration | Mandatory |
Annual Leave | 30 days | Yes |
Maternity Leave | 90 days | Yes |
Leave Compliance
Payroll cycle
Employees in Iran can be paid monthly.
Minimum wage
Minimum wage in Iran is set at IRR 26,554,950 per month.
Overtime pay
The standard working hours in Iran are 8 hours per day and 44 hours per week. Overtime is legal in Iran, permitted up to 4 hours per day with a compensation of 40% above the hourly rate.
Tax Type | Tax Rate (%) |
Social Security | 23% |
Tax Type | Tax Rate (%) |
Social Security | 7% |
Income (IRR) | Rate |
0 – 30,000,000 | 15% |
30,000,001 – 100,000,000 | 20% |
100,000,001 – 250,000,000 | 25% |
250,000,001 – 1,000,000,000 | 30% |
Above 1,000,000,000 | 35% |
VAT in Iran is charged at 9%.
Additional Fringe Benefits an employer can provide:
Employment in Iran can be terminated both by the employee and the employer. The employer can terminate the employment only on substantial grounds. If the employer terminates the employment without substantial grounds, they must pay severance to the employee.
The notice period in Iran for both the employer and employee is one month.
Severance pay in Iran is calculated as 30 days’ salary for every year of service.
A visa is mandatorily required for foreign nationals seeking jobs in Iran. A work visa in Iran is typically valid for one year and can be renewed. Along with a work visa, one must also obtain a residency permit, which is usually valid for up to three years.
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Overtime Pay
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