Georgia Work Permits & Visas: Employer Guide to Types & Sponsorship
- Jan 30
- 12 min read
TL;DR
For a decade, the narrative surrounding Georgia was simple: it was the world’s most accessible playground for capital and talent. A country where a passport and a dream were enough to set up a business and stay for 365 days without a single bureaucrat knocking on the door. To be blunt, the "Administrative Honeymoon" is over. As of March 1, 2026, Georgia has transitioned from a liberal sanctuary of "don’t ask, don’t tell" immigration into a sophisticated, regulated European-style labor market.
For decision-makers, this isn't just a change in paperwork; it is a fundamental shift in how business must be conducted in the Caucasus.
The legislative shift, characterized by the 2025 amendments to the Law on Labour Migration, has created a definitive line in the sand. Before March 2026, foreign nationals could largely operate in a grey zone, working remotely or even locally while technically on a "tourist" status provided by the one-year visa-free rule.
That door has been slammed shut. The state now recognizes that a residence permit and a work permit are two separate legal animals. Holding the right to stay in Georgia no longer grants the right to work in Georgia.
This guide serves as the definitive manual for founders, HR directors, and legal counsel. It is designed to strip away the "digital nomad" fluff and provide the hard, founder-level clarity required to manage a global team within the new Georgian compliance framework.
Understanding the distinction between the 365-day visa-free rule and official work residence permits is no longer optional; it is the difference between a thriving local operation and a GEL 12,000 fine per employee.
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The 365-Day Rule vs. The "Right to Work" Reality
The most dangerous trap for a new employer in Georgia is the assumption that the "One-Year Visa-Free Rule" is an all-access pass to the labor market. It is not. For citizens of 98 countries, including the EU, USA, UK, and much of the GCC, Georgia allows a full year of stay upon entry. This policy remains one of the most generous on the planet, but in the 2026 landscape, it is strictly a residency privilege, not a labor authorization.
Stay Duration | Legal Status (Visa-Free National) | Labor Authorization (2026 Rules) |
Day 1–365 | Legal Stay (Residency) | Illegal without a Special Labour Permit |
After Day 365 | Illegal Stay (unless renewed) | Illegal without a Permit and Residence |
The mechanism of entry for these 98 countries is seamless. A citizen of the United Kingdom or the United States can enter with a standard passport or even an ID card for EU citizens. However, once that individual sits down in a Tbilisi office or a co-working space to perform work for a Georgian entity, they enter a state of non-compliance if they lack the "Special Labour Permit". This permit is a new mandatory requirement for most foreigners intending to work or engage in entrepreneurial activity.
The state’s motivation for this decoupling is clear: visibility. The Georgian Revenue Service and the Ministry of Labor are no longer content with foreign workers operating under the radar. By mandating a "Special Labour Permit," the government creates a digital trail that links the individual’s physical presence to their economic output and tax contributions. This is particularly relevant when considering the differences between hiring via a local entity versus an Employer of Record.
The List of 98: Who is Exempt from Entry Visas?
While the labor rules have tightened, the list of countries permitted to enter and stay for 365 days remains broad. This group forms the primary talent pool for international companies operating in Georgia.
Continent | Key Countries Included in the 365-Day Rule |
Europe | All EU Members, UK, Switzerland, Norway, Iceland, Monaco, Serbia, Ukraine |
Americas | USA, Canada, Brazil, Argentina, Mexico, Colombia, Panama |
Middle East | UAE, Saudi Arabia, Qatar, Kuwait, Bahrain, Oman, Israel |
Asia/Oceania | Japan, South Korea, Singapore, Malaysia, Australia, New Zealand |
For decision-makers, this list represents the "Easy Path" for initial relocation. However, for talent from countries not on this list, such as India, China (non-diplomatic), or much of Africa, the path is significantly more arduous, requiring a D1 Immigration Visa before they ever set foot in the country.
The 2026 Mandate: The Special Labour Permit
The "Special Labour Permit" (also referred to as the "Right to Work" permit) is the heart of the 2026 reform. It is a government-issued authorization that must be obtained before a foreign national can legally engage in labor activities.
The mechanism is as follows: the Georgian employer, whether a local LLC, an Individual Entrepreneur, or an EOR like Team Up, must submit an application to the Ministry of Internally Displaced Persons from the Occupied Territories, Labour, Health, and Social Affairs. This is not a suggestion; it is a hard prerequisite.
Key Features of the Special Labour Permit:
Employer-Specific: The permit is tied to a specific employer. If a worker changes jobs, the new employer must apply for a fresh permit.
Contractual Requirement: A signed employment agreement must exist before the application is submitted.
Processing Time: The Ministry has 30 calendar days to issue a decision. This 30-day window must be built into any onboarding timeline.
Validity: The permit is generally valid for the duration of the employment contract, but must be renewed at least 30 days before its expiration.
The "Founder-Level" reality here is that you can no longer "hire and hope." The 30-day processing time means your recruitment pipeline must be adjusted. If you need a developer on Day 1, you should have started the permit process on Day -30.
This is a significant shift from the previous regime, where a worker could start on a Monday and the company could figure out the "residency stuff" months later. Failure to follow this sequence leads to the first major compliance trap: the "Unauthorized Labor" fine (Reference EOR-07 on risk management).
The GEL 50,000 Turnover Trap: The Math of Sponsorship
If the Special Labour Permit is the gatekeeper of labor, the "Turnover Requirement" is the gatekeeper of the company itself. This is perhaps the most misunderstood and most lethal compliance requirement for small-to-medium enterprises (SMEs) and startups in Georgia.
To sponsor a foreign worker for a Work Residence Permit, a Georgian entity must demonstrate a minimum annual turnover. This is not a flat fee; it is a per-foreigner requirement.
The Per-Foreigner Turnover Formula:
The law stipulates that for every foreign national employed (including the director/owner if they are foreign), the company must show a turnover of at least $\text GEL 50,000$ over the preceding 12 months.
Company Type | Turnover Requirement per Foreigner |
Standard LLC / IE | GEL 50,000 (~$18,500) |
Educational Institutions | GEL 35,000 (~$13,000) |
Medical Facilities | GEL 35,000 (~$13,000) |
Why This is a "Trap" for Startups:
The 12-Month Lookback: The Revenue Service issues this certificate based on the past 12 months of declared turnover. A brand-new startup with zero history cannot sponsor anyone for a residence permit immediately because it has no 12-month track record of $\text GEL 50,000$ revenue.
The "Foreigner" Definition: This rule applies even if the foreigner already has a residence permit through other means (e.g., property ownership). If they are working for you, they count toward your turnover quota.
Verification Sources: Turnover is verified via VAT statements from the Revenue Service or bank statements from a Georgian Business Bank Account.
For a founder, this creates a "Chicken and Egg" problem. You need foreign talent to build the product that generates the turnover, but you can't sponsor the talent until you have the turnover. This is precisely where the Employer of Record (EOR) model becomes a strategic necessity rather than an administrative convenience.
The D1 Visa Path: For Non-visa-free Nationals
For decision-makers looking to tap into talent pools in India, Pakistan, Nigeria, or China, the 365-day rule is irrelevant. These nationals must follow the "D1 Immigration Visa" path.
The D1 visa is the specific category for labor migration. Unlike visa-free nationals who can apply for residency while in the country, D1 candidates must apply from a Georgian consulate abroad.
The D1 Application Dossier:
Proof of Purpose: A notarized labor contract and the company’s business extract.
Financial Means: Evidence that the applicant has sufficient funds (or the employer will provide them) to live in Georgia.
Accommodation: Proof of where the individual will stay (rental agreement or owner consent).
Insurance: Valid travel and health insurance.
Once the D1 visa is granted and the individual enters Georgia, they have a limited window to apply for their residence permit. The visa must have at least 40 days of validity remaining at the time of the residency application at the Public Service Hall. If you miss this window, the candidate must leave the country and restart the process from scratch. There are no "extensions" for a missed 40-day window.
Income Thresholds: The Subsistence Minimum Multiplier
The Georgian government wants to ensure that foreign workers are not undercutting the local market and are earning enough to support themselves. To achieve this, they tie the required salary to the "subsistence minimum".
To be eligible for a Work Residence Permit, the foreign national must prove a monthly income of at least five times the subsistence minimum for an average working-age consumer.
Specialized IT Residencies and Tax Regimes
Georgia’s "Virtual Zone" and "International Company" statuses are world-famous, but they are often conflated with residency. It is vital to understand that having a "Virtual Zone" company does not automatically grant you residency. It merely gives you a legal framework to apply it.
1. The IT Sector Residence Permit (New for 2025/2026)
This is a high-speed lane for the tech industry. It is designed for IT professionals and can be issued for up to 3 years.
Requirement | IT Residence Permit Detail |
Experience | Minimum 2 years in the IT field |
Annual Income | Minimum $25,000 (equivalent in GEL) |
Employer Status | Must be a registered IT entity or IE with IT codes |
2. Virtual Zone Person (VZP) vs. International Company (IC)
While both offer tax breaks, they impact residency differently (See EOR-05 for the full tax comparison).
Virtual Zone: Focuses on 0% Corporate Tax for export-based IT. It does not exempt you from the 50,000$ turnover rule when you want to hire foreign staff.
International Company: This is the "Gold Standard." It reduces Personal Income Tax (PIT) for employees from 20% to 5%. Because this status requires "substantial" local presence and history (2 years), companies holding IC status are generally viewed more favorably by the Ministry of Labor during the permit process.
Compliance Traps: Fines, Digital Audits, and Inspections
The era of "forgiveness over permission" in Georgia is officially dead. The 2026 enforcement regime is digital, integrated, and punitive.
1. The Digital Cross-Check
The Ministry of Labor and the Revenue Service (RS.ge) now share a unified database. When a company registers an employee on RS.ge to pay their 20% income tax, the system automatically checks if that employee has a "Special Labour Permit" or a "Work Residence Permit". If the permit is missing, the system flags the company for an automatic audit. You cannot hide foreign employees on your payroll anymore.
2. Labor Inspection Raids
The Labour Inspection has been empowered to conduct surprise visits to verify that the physical reality matches the paperwork. They check:
Job Descriptions: If a worker is hired as a "Marketing Consultant" but is performing "Software Engineering," the permit can be revoked for misrepresentation.
Physical Presence: If an employee is registered at a Tbilisi office but is actually working from a beach in Batumi without updating the Ministry, the employer faces fines.
Safety Officers: Every entity with a physical office must have a certified Safety Officer. Failure to present one during an inspection is an immediate violation.
3. The Penalty Ladder
Fines are no longer symbolic. They are designed to hurt.
First Offense: $\text GEL 2,000$ per unregistered foreign worker.
Second Offense: $\text GEL 4,000$ per worker (doubled).
Third Offense: $\text GEL 12,000$ per worker (tripled).
Crucially, the fine is often levied against both the employer and the employee. An employee hit with a 2,000$ fine and an "Illegal Labor" mark on their record will find it nearly impossible to renew their residency or ever obtain a D1 visa again.
The EOR Sponsorship Workflow: How Team Up Bridges the Gap
For most decision-makers, the administrative burden of these new rules is the primary obstacle to scaling in Georgia. This is why the Employer of Record (EOR) model has become the standard for international firms. As a local Georgian EOR, Team Up assumes the role of the legal employer, meaning we are the ones "on the hook" for legal compliance.
The Team Up "Co-Employment Shield"
When you use Team Up, you are not just outsourcing payroll; you are hiring our 12-month turnover history and our legal expertise.
Instant Sponsorship: Because Team Up is an established entity with significant local turnover, we already exceed the $\text GEL 50,000$ per-foreigner requirement. This allows you to hire foreign talent immediately, without waiting for your own company to build up a 12-month revenue history.
Special Labour Permit Management: Our legal team handles the 30-day Ministry of Labor application process. We ensure the contract, the job description, and the candidate's qualifications are perfectly aligned to avoid rejection.
Residency Coordination: We manage the 40-day window at the Public Service Hall. We handle the translations, the notarizations, and the physical filing, so your team doesn't have to spend three days in a government building.
Tax and Pension Shield: We manage the "2+2+2" pension contributions and the 20% PIT. This ensures the employee's "Good Standing" certificate, a requirement for residency renewal, is always clean.
Termination Protection: Georgian labor law is notoriously protective of the employee (Reference EOR-07). Team Up ensures that any offboarding follows the mandatory 30-day notice periods or severance requirements to avoid labor disputes that could trigger an inspection.
Comparison: Direct Hiring vs. Team Up EOR
Feature | Direct Hiring (Your LLC) | Team Up EOR |
Setup Time | 2–4 weeks (Entity + Bank) | 24–48 hours |
Turnover Requirement | GEL 50k per foreigner | None (Uses EOR's history) |
Compliance Liability | 100% on you | 100% on EOR |
Ministry Registration | Manual / Self-managed | Automatic via EOR Portal |
Monthly Cost | Entity overhead + Accountant | Flat monthly fee (e.g., ~€199) |
Strategic Recommendations for Decision-makers
The 2026 shift is a transition from "informal" to "institutional." To thrive in this new environment, founders should adopt the following tactical playbook:
Abandon the 365-Day "Hack": Stop relying on the one-year visa-free stay as a long-term labor strategy. It is now a high-risk liability. Start the "Special Labour Permit" process the moment you identify a candidate.
Audit Your Turnover: If you are hiring directly, ensure your Revenue Service statements actually show the $\text GEL 50,000$ per foreign employee. If they don't, you must either stop hiring foreigners or move your foreign staff to an EOR.
Mind the 40-Day Clock: Set calendar alerts for residency renewals. In the 2026 regime, the Public Service Hall is strictly enforcing the 40-day submission rule. A 39-day submission is a rejection.
Leverage IT Statuses: If you are a tech firm, move toward "International Company" status or the specific "IT Residence Permit" to lower your tax burden and streamline your talent's residency.
Centralize Your Compliance: The digital cross-checks between banks, the RS.ge portal, and the Ministry of Labor mean that errors in one area will trigger investigations in another. Using a local EOR ensures that your payroll, tax, and residency are all managed by a single source of truth.
Georgia remains a premier destination for global business, perhaps the best in the region. But the rules of the game have changed. Those who adapt to the 2026 mandates will find a stable, low-tax, and highly efficient market. Those who ignore them will find a country that is no longer willing to look the other way.
Team Up is here to ensure you are in the former group. By acting as your local Georgian EOR, we handle the bureaucracy so you can focus on building your company in one of the most exciting economic frontiers on the planet.
Frequently Asked Questions
Does my employee need a "Work Permit" or a "Residence Permit"?
Both. Before 2026, many foreigners worked on visa-free stays. Now, a two-step process is mandatory:
Work Authorization (Permit): The employer must first apply to the Ministry of Labor to get the "Right to Employment Activity."
Residence Permit/D1 Visa: Only after the work permit is approved can the employee apply for the actual residence card (TRC) or a D1 (Work) Visa.
What is the 2026 "Transition Period"?
If you already have foreign employees registered in the labor migration portal before March 1, 2026, they are not immediately illegal. However, they must obtain the new Work Authorization and a valid Residence Permit no later than January 1, 2027.
What is the "GEL 50,000 Rule"?
To sponsor a foreign worker, the Georgian company must prove it has a turnover of at least GEL 50,000 for every foreign employee it intends to hire.
Standard: GEL 50,000 per foreigner.
Education/Medical: GEL 35,000 per foreigner.
Is there a minimum salary requirement for the employee?
Yes. To qualify for a work-based residence permit, the employee’s monthly salary must be at least five times the national subsistence minimum. As of early 2026, this typically ranges between GEL 1,200 and GEL 1,500 per month.
How long does the application take?
Work Authorization: The Ministry of Labor typically reviews applications within 30 calendar days.
Residence Permit: Once the work permit is granted, the residence application at the Public Service Hall takes another 10 to 30 days, depending on the fee paid for expedited service.
Can I hire someone who is already in Georgia on a tourist visa?
Yes, but they must apply for the Work Residence Permit within 10 days of receiving their Work Authorization. If they are outside the country, they must apply for a D1 Visa within 30 days of the permit approval.
Are there exemptions for IT companies?
Yes. There is a specific IT Specialist Residence Permit for employees with at least 2 years of experience and a personal annual income of $25,000 USD. These applicants are often exempt from the standard company turnover requirements if the employer holds "International Company" status.
What happens if I hire someone without a permit?
The 2026 reforms introduced steep fines:
First Offense: GEL 2,000 fine per unauthorized worker (levied against both the employer and the employee).
Repeat Offense: The fine doubles to GEL 4,000 and can eventually lead to a total ban on hiring foreign labor.
