Angola: New Law Passed to Encourage Local Hiring

December 14, 2020 Lucy Halse

Key Points

  • The government has passed a new law to promote local hiring in the oil and gas industry
  • The law affects contracts signed after October 20, 2020
  • Oil and gas companies must report their progress in hiring local employers to MIREMPET
  • Companies must sign agreements with MIREMET after signing contracts for goods and services
  • Companies must outline a plan to recruit and train local workers
  • A plan and implementation status report must be submitted to MIREPET every year
  • Failure to comply may result in fines and prohibit companies from hiring foreign workers

Overview

The Angolan government has created a new law that promotes local hiring in the oil and gas industry. The new law impacts contracts signed after October 20, 2020.

What are the Changes?

The Angolan government has created a new law requiring oil and gas companies to report their progress in training and employing local workers.

Companies must enter into an agreement with the Ministry of Minerals and Petroleum (MIREMPET) every time they sign a contract for goods or services. In the agreement, companies must provide a plan for recruiting, training, integrating, and developing their workforce to demonstrate that they will hire and train local employees.

What Should Employers and Applicants Know?

Companies must submit a human resources development plan to MIREMPET by October 31st every year showing their attempts to train and hire local workers. They must also submit an implementation status report by March 31st each year

Employers should note that penalties apply for noncompliance under the new law. Failure to comply with the decree may bring fines ranging from USD 50,000 – USD 300,000. Additionally, non-compliant companies may be prohibited from hiring foreign workers.

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Content in this publication is not intended as legal advice, nor should it be relied upon as such. For additional information on the issues discussed, consult an Envoy-affiliated attorney or another qualified professional.

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