New work permit options, new fee rates, set for first-category employees

17 Apr 18

KAZAKHSTAN

IMPACT – MEDIUM

What is the change? Kazakhstan has introduced a two-year and three-year work permit option for first-category employees. The work permit fee rates have been updated to include the new permit options.

What does the change mean? Employers filing work permit applications for chief executives or deputy chief executives may now apply for two-year or three-year work permits. The fee rates in the chart below were updated to include the new work permit options for first-category employees. The fees are calculated by multiplying the country’s monthly calculation index (currently 2,405 tenges, or about US$7.30) by the relevant multipliers in the chart below. Work permit fee rates will remain the same for second-, third- and fourth-category employees.

  • Implementation time frame: The fee rates were updated Monday.
  • Visas/permits affected: First-category work permits.
  • Who is affected: Employers filing work permit applications in the first category.
  • Business impact: Employers should take note of the new two-year and three-year work permit options and the corresponding new fees for first-category employees.

Background: Work permits fees vary depending on the category of worker and the industry.

Foreign nationals eligible for work permits are divided into four categories: first-category employees (chief executives and deputy chief executives), second-category employees (managers and department heads), third-category employees (qualified specialists who do not qualify as second category employees) and fourth-category employees (all other qualified workers). Kazakhstan’s Ministry of Labor recently added a two-year and three-year work permit option for first-category employees. The fee rates were updated to adjust for these new permit options.

Industry Rates in Monthly Calculation Indexes
First Category Second Category Third Category Fourth Category
One- year Two- year Three- year
Agriculture, Forestry, Fishing 137 274 411 158 179 200
Mining, Quarrying (including the oil and gas sector) 154 308 462 178 202 225
Construction 171 342 513 198 224 250
Financial and Insurance Activity 137 274 411 158 179 200
Professional, Scientific and Engineering 137 274 411 158 179 200

The fees are calculated by multiplying the Monthly Calculation Index, currently 2,405 tenges, by the relevant multiplier in the chart above. Fees will apply to both new and renewal work permit applications. It is not possible to extend a current one-year work permit for first-category employees to two or three years. First-category work permits issued after April 16 are eligible for the two- or three-year option.

BAL Analysis: Businesses should consider the new work permit options for first-category employees planning to work in Kazakhstan for more than one year. Those with questions about how the fee structure works or what categories foreign workers should be placed in should contact their BAL professional.

This alert has been provided by the BAL Global Practice group and our network provider located in Kazakhstan. For additional information, please contact your BAL attorney.

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