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Expand your global workforce in Iran

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

Talent overview

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:

Sales, IT, Real Estate, Teaching, Law, Medicine, Manufacturing, Operations, Management

Top local universities in Iran

Uni1 33

University of Tehran

Ranking:

Local: 1

World: 545

Uni2 32

Tehran University of Medical Sciences

Ranking:

Local: 2

World: 1046

Uni3 Iran

Sharif University of Technology

Ranking:

Local: 3

World: 1096

Uni4 Iran

Technical and Vocational University

Ranking:

Local: 4

World: 1436

Uni3 33

Shahid Beheshti University of Medical Sciences

Ranking:

Local: 5

World: 1678

Top Local Job Boards:

IranTalent, Iran Estekdam, Jobinja

Number of LinkedIn users:

4,567,000

Top Recruitment Agencies:

Kapira, Hamijobs

Where to find talent

Top Local Job Boards:

Number of LinkedIn users:

Top Recruitment Agencies:

Salary Data

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

Employ in Iran

Employing in Iran

Below are the key points an employer must keep in mind while seeking employees in Iran.

Employee Contract:

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.

Probation Period

The probationary period for employees in Iran is one month for unskilled and semi-skilled employees, and three months for skilled and specialised employees.

Public and Provincial Holidays:

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

Employee Leaves:

Type of Leave Duration Mandatory
Annual Leave 30 days Yes
Maternity Leave 90 days Yes

Leave Compliance

Payroll in

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Payroll cycle

Employees in Iran can be paid monthly.

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Minimum wage

Minimum wage in Iran is set at IRR 26,554,950 per month.

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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.

How taxes work

Employer Payroll Tax:

Tax Type Tax Rate (%)
Social Security 23%

Employee Payroll Tax:

Tax Type Tax Rate (%)
Social Security 7%

Employee Income Tax:

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:

VAT in Iran is charged at 9%.

Bonus

13th Month Pay:
There is no statutory mention of the 13th month’s pay in Iran.

Employee Benefits:

  • Maternity Leave
  • Social Security

Additional Fringe Benefits an employer can provide:

  • Accommodation
  • Food Vouchers
  • Transportation
  • Bonuses
  • Insurance

Employee offboarding

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.

Tw Visa Img

Visa and
immigration

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.

Your employment toolkit for Iran

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