1. Employment Relations

1.1. Employment Relationship

• The employment relationship arises from a contract, whether written or unwritten.
• The employment relationship exists, in any case, solely by the fact of performing work on behalf of an employer.
• The employment contract is drawn up in whatever form the contracting parties deem appropriate.
• Proof of the existence of the contract or of the employment relationship may be provided by any means.
• Unless otherwise specified in writing, the contract is presumed to be concluded for an indefinite duration.
• In the absence of a written employment contract, the employment relationship is presumed to be established for an indefinite duration.
• The contract of employment may be concluded for a fixed term, on a full-time or part-time basis, only in the following cases:
  • when the employee is hired to perform work related to non-renewable contracts for works or services;
  • when replacing a temporarily absent employee whose position the employer must keep open;
  • when the employer needs to carry out periodic work of a discontinuous nature;
  • when there is a temporary increase in workload or seasonal need;
  • when the activity or employment is inherently temporary or of limited duration.
• The contract must specify the duration of employment and the reasons justifying its limited term.
• Any fixed-term employment contract concluded in violation of the law is deemed to be a contract of indefinite duration.
• In the event of a change in the legal status of the employer, all employment relationships in effect on the date of the change remain valid with the new employer.
• Any modification to employment relations may only occur in the forms and under the conditions provided by this law or through collective bargaining.

1.2. Suspension of the Employment Relationship

The employment relationship is suspended by operation of law in the following cases:

• mutual agreement between the parties;
• sick leave or similar leave as provided under social security legislation and regulations;
• fulfillment of national service obligations or reserve maintenance periods;
• exercise of an elected public office;
• deprivation of liberty of the worker, as long as no final conviction has been pronounced;
• disciplinary suspension from duty;
• exercise of the right to strike;
• unpaid leave.

Workers are automatically reinstated to their position or to one with equivalent pay at the end of the period that led to the suspension of the employment relationship.

1.3. Termination of the Employment Relationship

The employment relationship ends in the following cases:

• nullity or legal annulment of the employment contract;
• expiry of a fixed-term employment contract;
• resignation;
• dismissal;
• total incapacity to work, as defined by law;
• redundancy (staff reduction);
• legal cessation of the employer’s activity;
• retirement;
• death of the worker.

At the end of the employment relationship, the worker must be given a work certificate specifying:

• the date of hiring,
• the date of termination,
• the positions held,
• and the corresponding employment periods.

Special Cases

Resignation:

• Resignation is a right recognized to the worker.
• The worker wishing to terminate the employment relationship must submit a written resignation to the employer.

Disciplinary Dismissal:

• Disciplinary dismissal must comply with procedures established in the internal regulations.
• These disciplinary procedures must include:
  • written notification of the dismissal decision,
  • and a hearing where the employee may be assisted by a fellow worker of their choice from within the organization.
• Any individual dismissal that violates internal procedures or legal provisions is presumed to be unjustified, and it is up to the employer to prove otherwise.
• If a dismissal occurs in violation of mandatory legal procedures, the court shall annul the dismissal and require the employer to follow the proper procedure.
• In such cases, the court grants the worker financial compensation, at the employer’s expense, equivalent to the wages they would have received had they continued working.
• A dismissed worker who has not committed serious misconduct is entitled to a notice period, the minimum duration of which is set by collective agreements or conventions.

2. Wages

2.1. Remuneration

• In return for the work performed, the worker is entitled to remuneration, consisting of a salary.
• The term “salary” includes:
  • the basic wage, determined by the employer’s professional classification system;
  • allowances paid for seniority, overtime, or special working conditions, including shift work, nuisance, standby duty, night work, or geographical allowances;
  • bonuses related to productivity and work performance;
  • expense reimbursements for specific duties imposed by the employer (e.g., official missions, use of a personal vehicle for work).

2.2. Guaranteed National Minimum Wage (SNMG)

• The Guaranteed National Minimum Wage (SNMG) applicable across sectors is set by decree, taking into account:
  • the evolution of national average productivity;
  • the consumer price index;
  • and the general economic situation.

The SNMG includes the basic wage, allowances, and bonuses of any kind, excluding expense reimbursements.

2.3. Wage Protection Guarantees

• Every employer must ensure equal pay for work of equal value, without any discrimination.
• Wages must be expressed and paid exclusively in monetary form.
• The payslip must clearly indicate the amount of remuneration and all its components.
• Employers must regularly pay each worker their wages at the end of each pay period.
• Wages or wage advances are paid in priority over all other debts, including those owed to the State Treasury and social security, regardless of the nature or form of the employment relationship.
• Wages due to workers cannot be seized, withheld, or opposed for any reason that would be to the detriment of the worker.

3. Rights and Obligations of Employees

Fundamental Rights of Salaried Workers

Employees enjoy the following fundamental rights:

• the right to exercise trade union freedom;
• the right to collective bargaining;
• the right to participate in the management of the employing organization (through the participation committee);
• the right to social security and retirement benefits;
• the right to occupational health, safety, and medical care;
• the right to rest;
• the right to participate in the prevention and settlement of labour disputes;
• the right to effective occupation within their employment;
• the right to respect for their physical and moral integrity and dignity;
• the right to protection against discrimination in employment, except based on aptitude and merit;
• the right to vocational training and career advancement;
• the right to regular payment of wages;
• and the right to social welfare benefits.

Fundamental Obligations of Salaried Workers

Employees have the following fundamental obligations:

• to perform, to the best of their abilities, the duties related to their position;
• to contribute to the employer’s efforts to improve organization and productivity;
• to carry out the instructions given by the hierarchy designated by the employer;
• to observe hygiene and safety measures established by the employer;
• to accept internal and external medical examinations organized by the employer within the framework of occupational health;
• to participate in training, upgrading, and retraining programs implemented by the employer to improve enterprise performance;
• to avoid any direct or indirect interest in a competing, client, or subcontracting enterprise, unless authorized by the employer, and not to engage in competition with the employer in their field of activity;
• to refrain from disclosing professional information related to techniques, technologies, or manufacturing processes.

4. Working Time

4.1 Legal Working Hours

• The legal duration of work is forty (40) hours per week under normal working conditions.
• Working hours are distributed over a minimum of five (5) working days per week.
• When work is carried out on a continuous-shift basis, the employer must allow a break period not exceeding one hour, of which half an hour is considered working time.
• The maximum daily working span is twelve (12) hours.

4.2 Overtime Work

• The employer may require any worker to perform overtime beyond the legal working time, provided such overtime does not exceed 20% of the legal duration.
• Overtime hours must be compensated with a premium of at least 50% above the normal hourly wage.

4.3 Night Work

• Night work refers to any work performed between 9:00 p.m. and 5:00 a.m.
• Workers of either sex under 19 years of age may not perform night work.
• Employers are prohibited from assigning female employees to night work, except with special authorization granted by the territorially competent labour inspector.

4.4 Shift Work

• When production or service needs require, the employer may organize work in successive teams (shift work).
• Shift workers are entitled to an indemnity.

5. Rest, Leave, Absences, and Public Holidays

5.1 Legal Rest

• Each worker is entitled to one full day of rest per week.
• The normal weekly rest day, under standard working conditions, is Friday.
• A worker who performs work on a legal rest day is entitled to compensatory rest of equal duration and to the overtime premium.

5.2 Annual Leave

• Every worker is entitled to paid annual leave, borne by the employer.
• The right to annual leave is based on work performed during a reference year extending from July 1 of the preceding year to June 30 of the current year.
• For newly hired workers, the reference period starts from the date of recruitment.
• Paid leave is calculated at the rate of two and a half (2.5) days per month of work, not exceeding thirty (30) calendar days per year.
• An additional leave of at least ten (10) days per year is granted to employees working in southern wilayas.
• The duration of the main leave may be increased for workers engaged in particularly arduous or dangerous work, or involving physical or nervous strain.
• The following periods are considered as working time for the purpose of calculating annual leave:
  • periods actually worked;
  • annual leave periods;
  • special paid or employer-authorized absences;
  • legal rest periods;
  • absences due to maternity, illness, or work accidents;
  • military service or recall periods.
• The employment relationship cannot be suspended or terminated during annual leave.
• A worker who becomes ill during annual leave may interrupt it to benefit from sick leave and related rights.
• The annual leave allowance equals one-twelfth (1/12) of the total remuneration received by the worker during the reference year or the preceding year.

5.3 Absences

Workers may, upon prior notification and justification to the employer, be granted paid absences for the following reasons:

• to perform trade union or staff representative duties;
• to attend training sessions (professional or union-related) authorized by the employer, or to sit for academic or professional examinations;
• Three (3) paid working days are granted for each of the following family events:
  • worker’s own marriage;
  • birth of a child;
  • marriage of a child;
  • death of an ascendant, descendant, or first-degree relative of the worker or their spouse;
  • death of the worker’s spouse;
  • circumcision of a child.
• A worker is entitled to leave for pilgrimage (Hajj) once during their professional career.
• Female workers are entitled to maternity leave of 14 weeks (pre- and postnatal), and may also benefit from paid absences for breastfeeding, under the employer’s internal regulations.

5.4 Public Holidays

The following days are official public holidays, non-working and paid:

For Algerian and foreign workers of the Christian faith, the following are also public, paid holidays:

• Easter Monday
• Ascension Day
• August 15 (Assumption)
• December 25 (Christmas)

For Algerian and foreign workers of the Jewish faith, the following are also public, paid holidays:

• Rosh Hashanah (New Year)
• Yom Kippur (Day of Atonement)
• Pesach (Passover)

6. Individual Labour Disputes

6.1 Internal Dispute Resolution Procedures

• Individual labour disputes are handled under procedures provided by the collective agreement.
• In the absence of such procedures, the worker submits the complaint to their immediate supervisor, who must reply within eight (8) days.
• If there is no response, or the response is unsatisfactory, the worker may refer the matter to the personnel management body or to the employer.
• The management or employer must provide a written explanation within fifteen (15) days from the date of referral.
• After exhausting internal procedures, the worker may refer the matter to the Labour Inspectorate.

6.2 Conciliation Procedure

• Every individual labour dispute must first undergo an attempt at conciliation before the conciliation office, prior to any judicial action.
• The conciliation office operates within the Labour Inspectorate.
• The Labour Inspectorate may be seized through a written request or in-person declaration, the latter being recorded by the inspector.
• Within three (3) days, the inspector convenes both parties to a conciliation session, allowing at least eight (8) days’ notice.
• If the defendant fails to appear, a second summons is issued, with a hearing held within eight (8) days.
• If the claimant fails to appear, the office may strike the case.
• In case of agreement, a conciliation report is drawn up; if not, a non-conciliation report is issued.
• The conciliation agreement must be executed within 30 days.
• If not executed, the President of the Social Court may order enforcement within 15 days, with a daily penalty of not less than 25% of the minimum wage (SNMG).

6.3 Social Court Composition

• The Social Court sits under the presidency of a magistrate, assisted by two workers’ assessors and two employers’ assessors.
• Assessors are appointed for three years by order of the President of the competent Court of Appeal, chosen from among elected candidates as prescribed by law.

6.4 Filing Before the Social Court

• In case of non-conciliation, the interested party files a claim before the Social Court.
• The claim must include a copy of the non-conciliation report issued by the conciliation office.
• The first hearing is scheduled within fifteen (15) days of filing.
• Except for interlocutory judgments, the court must decide as promptly as possible.
• Once the judgment becomes final and enforceable, the judge sets a daily penalty payment.

6.5 Subject-Matter Jurisdiction

The Social Courts have jurisdiction, subject to civil procedure laws, over:

• individual labour disputes arising from the execution, suspension, or termination of an employment relationship, training, or apprenticeship contract;
• and any matters expressly assigned to them by law.

They rule in first and last instance, except where jurisdiction is contested, when the claim primarily concerns:

• annulment of disciplinary sanctions imposed in violation of legal or contractual procedures;
• issuance of work certificates, pay slips, or other legally required employment documents.

Provisional enforcement applies by right to judgments concerning:

• application or interpretation of a collective agreement;
• application or interpretation of a conciliation agreement;
• payment of wages and allowances for the last six (6) months.

Beyond this period, the court may also order provisional enforcement without requiring security.

Counterclaims are joined with the principal claim, which determines the court’s level of jurisdiction.

6.6 Territorial Jurisdiction

• Claims are filed before the court of the place where the work was performed or where the defendant resides.
• If the termination or suspension of employment results from a work accident or occupational disease, the claim may be filed at the worker’s domicile.

6.7 Legal Aid for Workers

Legal aid is automatically granted to any worker or apprentice whose wage is less than twice the national guaranteed minimum wage (SNMG).

Legal References

• Law No. 90-11 of 21 April 1990, amended and supplemented, on employment relations
• Ordinance No. 97-03 of 11 January 1997, setting the legal working time
• Law No. 63-278 of 26 July 1963, amended and supplemented, establishing the list of public holidays
• Law No. 90-04 of 6 February 1990, amended and supplemented, on settlement of individual labour disputes