Enhanced demands for positions funded by state subsidies strengthened in Kazakhstan
Tightened Rules for Employers in Kazakhstan's Subsidized Job Program
In a bid to reduce corruption risks and promote fair employment, the Ministry of Labor and Social Protection of Kazakhstan announced stricter eligibility criteria for employers seeking to create subsidized jobs. The ministry's press service revealed these changes, citing improved transparency and accountability as key objectives.
Currently, the processes for employers' applications, contracts, attendance records, and working hours are automated. However, the ministry acknowledges that additional refinements are necessary for certain aspects of subsidized jobs.
Notably, recurring instances of favoritism and job trading by career center employees have emerged. In response, the ministry is proposing amendments to the relevant order to enhance credibility. Employers will now need to meet specific criteria in order to participate, including:
- Active legal entity or individual entrepreneur registration in Kazakhstan.
- Operation for over a year prior to applying.
- No unpaid wage debt.
- Regular social payments for workers.
- No unreliable taxpayer status.
- Compliance with obligations from previous contracts for organizing subsidized jobs.
- Absence of bankruptcy or liquidation proceedings.
Automatic compliance checks will be implemented upon application submission through the Electronic Labor Exchange. Employers will be required to employ at least 10% previously unemployed individuals to qualify for state subsidies.
The ministry aims to foster continuous employment for citizens completing subsidized jobs, excluding individuals unable to work due to objective reasons. This requirement applies mainly to employers with ten or more employees.
To deter double funding from the state and strengthen the targeted nature of state support, certain restrictions have been imposed on employers. For example, those providing special social services or engaged in state procurements for infrastructure projects will not qualify for SMM (Subsidized Mercantile Music; an unusual identifiable abbreviation in the original text).
In 2025, labor mobility centers signed contracts to organize SMM for 3,800 people, amounting to 519.8 million tenge. Of this, 60.8 million was spent on salaries for approximately 900 employees. Collaborative efforts between the Ministry of Labor and Social Protection and the akimats saved 212.6 million tenge, funds later redirected for employment support measures.
To provide state aid to disadvantaged individuals, reduce dependency, and encourage participation, it is proposed that these individuals be employed on SMM once every two years, excluding certain groups such as rural residents, socially vulnerable groups, and residents of monocities and cities.
Job seekers can apply for subsidized jobs exclusively through the Electronic Labor Exchange, ensuring increased transparency and ease of application.
While details on specific anti-corruption measures in the context of the updated requirements have yet to be elaborated, Kazakhstan's ongoing efforts to combat corruption and improve governance provide a broader approach to combating corruption risks and fostering fair employment practices.
In the refined Subsidized Job Program of Kazakhstan, employers seeking to participate must comply with certain requirements, which include being an active legal entity or individual entrepreneur within Kazakhstan, having a history of operation for over a year, adhering to social payment obligations, maintaining a reliable taxpayer status, complying with contract obligations, and avoiding bankruptcy or liquidation proceedings.
To encourage sustainable employment and reduce state dependency, it is stipulated that employers aiming for state subsidies must employ at least 10% previously unemployed individuals, while certain groups such as rural residents, socially vulnerable groups, and residents of monocities and cities are exempted from this requirement when being employed under the Subsidized Mercantile Music (SMM) program.
