Algeria Payroll & Employment Guide 2026
Regional Note: Algeria is Africa's largest country by area and a major hydrocarbon exporter. French is the operative language for payroll, contracts, and regulatory filings despite Arabic being the constitutional official language. Two critical constraints for international employers: (1) Currency controls by Bank of Algeria restrict DZD conversion and expatriate salary repatriation. (2) All employees — Algerian and foreign: contribute to CNAS and pay IRG at the same rates (no expat exemption).

Four key payroll indicators for Algeria
10 chapters, 13 pages
The opening summary of every chapter is below. Download the PDF for the full text, tables and rates.
Company Setup & Business Environment
Algeria is Africa's largest country by area and a major hydrocarbon exporter.
Working Hours & Leave
Maximum: 40 hours/week (private sector standard); some sectors up to 44 hours.
CNAS Social Insurance: 2026
Algeria uses a fragmented three-body social security system: CNAS (health/maternity/accidents), CNR
Income Tax: IRG (Impôt sur le Revenu Global)
(retirement), and CNAC (unemployment). 40% abatement (abattement forfaitaire): Applied to net salary (after CNAS deduction) before bracket calculation.
Minimum Wage (SNMG)
2026 Change: Finance Law 2026 raised the SNMG by +20% from DZD 20,000 to DZD 24,000/month effective 1 January 2026.
Gross-to-Net Illustration (DZD 80,000/month)
Note: The 40% abatement is unique to Algeria's IRG and significantly reduces effective tax burden compared to
Severance & Termination
headline brackets. Note: Minimum 2 years of continuous service required to qualify for statutory severance.
Work Permits & Visas for Foreign Employees
VERIFY: Algeria's work permit process is not well- documented in English.
Compliance Calendar
Compliance Calendar
Practical Notes & Key Risks
SNMG +20% from January 2026: DZD 24,000 is a significant jump from DZD 20,000.
This guide is general information, not legal advice or a complete statement of the law. It reflects the legislation in force when it was prepared, and legislation changes. Always seek country-specific professional advice for a specific situation.
Running payroll and employment operations in Algeria
Employing people in Algeria means applying the rules in this guide again every pay cycle: tracking rates, filing social security, running compliant wage payment channels and calculating end-of-service entitlements. Datassist teams exist so you can manage that from a single point.
Other country guides
Need to run payroll and employment operations in Algeria?
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