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Employment in Greece

Employment in Greece has constantly decreased since January 2015 to 24.47%.

The most common type of work contract in Greece is the full-time contract, with an indefinite duration. Part-time work isn’t common and the maximum length of a single fixed-term contract is 36 months.

Children under 15 years of age are only allowed to work for an industrial business if the only other employees are the employer’s family and if the child’s health is not at risk.

Key points on employment in Greece

There are several key areas to be aware of within the Greek employment regulatory framework, especially for companies that plan to initiate a full local office and human resources department.  These challenges can be mitigated by use of a locally sourced payroll provider who is familiar with all of the local laws and rules for both local employees as well as foreign nationals.

  1. Contracts

    The most common type of work contract in Greece is the full-time contract, with an indefinite duration, while part-time work isn’t common. A fixed-term contracts is prohibited for permanent tasks and the maximum length of a single fixed-term contract is 36 months.

Employment Termination

Information Explanation
Termination of Employment ?

Termination of employment contracts in Greece is governed by Articles 669 et seq. Greek Civil Code.

Employment contracts can be concluded for both limited and unlimited periods. Fixed (limited) contracts of employment by rights end upon expiry of the period for which they were entered into (Art. 669 Greek Civil Code). Should the employee continue to offer his services after his period of service has expired, however, and the employer accepts these, this is regarded as a tacit extension of the employment contract. The employment contract is consequently regarded as being extended for an unspecified period. Either party can terminate a contract of employment for an unlimited term.

According to Article 7 of Law N. 2112/20, any unilateral amendment of the employment conditions to the employee’s detriment is deemed termination of the employment contract by the employer. This covers the cases of posting of the employee abroad despite it being against his wishes, for example, demotion to a lesser position and salary cuts.

Length of service Period of notice or compensation Length of service Period of notice or compensation
2 months to 1 year 1 month or 1 month’s income 17 years 13 months or 13 months’ income
1 year to 4 years 2 months or 2 months’ income 18 years 14 months or 14 months’ income
4 years to 6 years 3 months or 3 months’ income 19 years 15 months or 15 months’ income
6 years to 8 years 4 months or 4 months’ income 20 years 16 months or 16 months’ income
8 years to 10 years 5 months or 5 months’ income 21 years 17 months or 17 months’ income
10 years 6 months or 6 months’ income 22 years 18 months or 18 months’ income
11 years 7 months or 7 months’ 23 years 19 months or 19 months’
12 years 8 months or 8 months’ income 24 years 20 months or 20 months’ income
13 years 9 months or 9 months’ income 25 years 21 months or 21 months’ income
14 years 10 months or 10 months’ income 26 years 22 months or 22 months’ income
15 years 11 months or 11 months’ income 27 years 23 months or 23 months’ income
16 years 12 months or 12 months’ income 28 years and above 24 months or 24 months’ income

Outsourcing Employment Through a GEO Employer of Record Service

Compliance with local employment requirements is just one of the issues foreign companies face when employing staff in Greece. For companies, which intend to employ their staff directly through their incorporated Greek entity, professional legal advice is recommended. Shield GEO provides an alternative path for companies to outsource the employment of their staff in Greece.

As a Global Employer Organization (GEO), Shield GEO acts as the Employer of Record and ensures the employment is compliant with host country regulations regarding employment. In addition Shield GEO will handle payroll processing, tax and immigration. Using Shield GEO is the fastest and most cost effective way to deploy local and foreign workers into Greece.

The Shield GEO solution is an attractive alternative where

– the company is looking to employ staff quickly

– the company doesn’t have an appropriately incorporated entity in Greece

– the company wants to work within a defined budget

– the company wants to limit its initial commitment in Greece

– the company needs help with tax, employment, immigration and payroll compliance in Greece

Shield GEO can contract directly with the company to employ and payroll their staff in Greece. Shield GEO supplies local employment contracts for the staff which ensure that local statutory requirements are met covering issues such as termination, probation periods, leave entitlements and statutory benefits.  Shield GEO is able to advise companies how to cover local employment regulations whilst still providing consistent global employment policies. Understand more about outsourced employment through Shield GEO.

Greece

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