News - Armenia Offers Incentives for Hiring Seniors and People with Disabilities

The Armenian Ministry of Labor and Social Affairs has introduced a groundbreaking initiative aimed at improving employment opportunities for people with disabilities and citizens over the age of 63. Minister Arsen Torosyan underscored the program's significance during a government meeting, highlighting its goal to expand job prospects for these individuals who often have valuable professional experience and potential. The initiative is designed to foster their integration into public and economic life, allowing them to earn additional income and participate more actively in society. A key element of this initiative is the provision of financial incentives to employers committed to hiring individuals from these target groups. Employers who enter into employment contracts with people with disabilities or citizens over 63 for at least 3 to 6 months will receive state financial support. Importantly, this support will not be available to government bodies or organizations where the state or community holds a 50% or greater share. Employment opportunities may be offered on either a full-time or part-time basis. Employers meeting these criteria will receive quarterly compensation for a portion of the paid income tax associated with the newly employed individuals: 50% for the first three months with a maximum of 25,000 drams per month, and 100% for the next three months, capped at 50,000 drams per month. If the employment relationship continues for an additional year after the compensation period, the employer will receive a one-time subsidy of 100,000 drams. By 2027, the program aims to support approximately 200 participants at an estimated cost of 45 million drams, without placing extra costs on the state budget. This will be achieved through optimization and redistribution of the ministry's existing budget allocations for 2027-2029. The anticipated outcomes of this initiative include increased competitiveness and more stable employment for people with disabilities and older citizens in the labor market. This program aligns with Armenia's 2050 Transformation Strategy and the government's 2021-2026 Program, which focuses on improving the effectiveness of state employment programs and introducing new employment support mechanisms. Deputy Prime Minister Tigran Khachatryan also suggested additional incentives for employers who hire these groups.