In Greece, employment contracts can be categorized into two primary types:

– Full-time employment contracts of indefinite duration: These contracts offer long-term employment without a specific end date, providing job security and stability for the employee.

– Fixed-term employment contracts: These are temporary contracts with a predefined end date, used when hiring for a specific period or project. These contracts can be renewed but must comply with Greek labor regulations regarding their maximum duration and renewals.

By understanding these options, businesses can choose the right contract type to meet their staffing needs while adhering to local employment laws.

In Greece, the legal working hours are structured as follows:

– 5-day workweek: Employees can work up to 45 hours weekly, with a maximum of 9 hours per day.
– 6-day workweek: The legal limit is 48 hours per week, with a daily maximum of 8 hours.

For shifts exceeding 4 hours, employees are entitled to a break of 15 to 30 minutes. Additionally, the law mandates a minimum daily rest period of 11 consecutive hours and a weekly rest period of at least 24 continuous hours, including Sunday. Employees working a 5-day week are entitled to 2 days of rest each week.

These regulations ensure a balance between work and rest, enhancing employee well-being and compliance with labor laws.

In Greece, any work that exceeds the standard weekly working hours is classified as overtime and is governed by employment contracts or collective agreements. Employees working overtime or on holidays are limited to a maximum of 48 hours per week (including overtime) over a four-month period. Different regulations apply for minors, who have lower maximum working hours.

Overtime beyond the standard 40 hours per week is compensated as follows:

• The first hour of overtime per day is paid at 120% of the employee’s regular hourly wage for daytime work.
• Nighttime overtime for the first hour is paid at 125% of the regular wage.
• For additional hours (beyond the first), the rate increases to 140%.
• Employees may work a maximum of 150 overtime hours per year.

In Greece, employees are entitled to annual leave based on their length of employment. During their first 12 months of continuous employment, workers receive a proportionate amount of paid annual leave. This is calculated based on 24 working days for a 6-day workweek, or 20 days for a 5-day workweek. Employers are required to grant this leave within the calendar year of hire.

In the second year, employees qualify for a full allocation of annual leave, with an additional day granted each year thereafter, up to a maximum of 26 working days for a 6-day week or 22 working days for a 5-day week. This leave may be split into two periods if business needs arise.

Starting from the third year, employees receive their full annual leave on January 1 each year, along with a leave allowance (half a month’s salary). If leave is not granted within the first three months of the following year, employers are obligated to pay the equivalent wages, or double that amount if the employer is at fault.

Convalescence leave is based on employment tenure, with durations ranging from six months to two years depending on how long the employee has worked in the business.

Employees preparing for exams can access education leave after one year of service, and female employees are entitled to 17 weeks of maternity leave (8 weeks before and 9 weeks after childbirth).

Mothers can also apply for 6 months of special maternity protection leave, while fathers are entitled to 14 days of paternity leave after childbirth.

Additionally, parental leave allows both parents four months of leave, available until the child reaches 8 years old. For the first two months, the state pays an allowance equivalent to the minimum wage.

Parents also have access to child-care leave, allowing them to adjust their work hours for 30 months after maternity leave. Furthermore, employees can take caregiver leave for up to 5 working days per year to support a person with serious medical needs.

Additional leave options include absences due to force majeure, attending parent-teacher meetings, and leave related to child illness or hospitalization. Provisions for prenatal screening and assisted reproduction leave are also available in Greece.

Employees in Greece who present a medical certificate within 48 hours are entitled to paid sick leave, with the amount varying based on years of service. During the first three days of illness, employees typically receive 50% of their wages. From the fourth day onwards, social insurance takes over to provide sick pay.

• Employees with 1 to 4 years of service receive 1 month of paid sick leave.
• Employees with 4 to 10 years of service are entitled to 3 months of paid sick leave.
• Employees with 10 to 15 years of service can take 4 months of paid sick leave.
• For employees with over 15 years of service, 6 months of paid sick leave is available.

For those in their first year of employment, sick leave is granted at half pay for the first three days, followed by 15 days at full pay.

In addition, employees can take unpaid leave by mutual agreement with their employer for a period of up to one year, with the possibility of extension through further agreements.

In Greece, mandatory benefits for employees are set by law and include a range of entitlements such as annual leave, maternity leave, paternity leave, parental leave, sick leave, severance pay, and a notice period. Additionally, employees are entitled to public holidays and bonuses, commonly referred to as the 13th and 14th months’ salary.

Along with these employment benefits, the law mandates statutory social security benefits, which encompass pensions, healthcare coverage, long-term disability payments, and other social protections. These benefits provide crucial support for employees, ensuring both financial stability and access to essential services throughout their careers.

The most common employee benefits offered by employers in Greece include a range of allowances and insurance options to enhance employee well-being. Popular benefits typically include:

• Dental care and healthcare insurance to cover medical needs.
• Child homecare allowance to support working parents with childcare.
• Family allowance to provide financial assistance for family-related expenses.
• Travel allowance to cover commuting costs.
• Meal allowance to assist with daily food expenses.

These benefits contribute to improving employee satisfaction, health, and work-life balance, making companies more attractive to top talent.

The termination process for employment in Greece varies depending on the type of contract and the specifics outlined in the employment or collective agreement.

Termination of Fixed-Term Contracts

Employers can terminate a fixed-term employment contract before its expiration only for valid “compelling reasons,” such as poor job performance, professional incompetence, bankruptcy, or excessive absenteeism. If the termination is deemed justified by these compelling reasons, no compensation is required. However, if a court finds the reasons unsubstantiated, the termination may be invalid, necessitating full compensation.

Termination of Indefinite Contracts

To terminate an indefinite employment contract, the employer must issue a written notice to the employee, who must be registered with the Unified Social Security Fund (EFKA). This notice must be delivered at least one month but no more than four months before the intended termination, depending on the length of employment. Oral notices are not legally acceptable.

Employee-Initiated Termination

Employees can resign either verbally or in writing, providing notice within four months of their desired termination date. If an employee terminates their contract, they are not entitled to compensation and will not receive unemployment benefits since there is no requirement for prior notice from the employer.

Probation Period

While Greece does not mandate a probation period, employees can be dismissed without notice or severance during their first year of employment.

Notice Period 

Collective agreements may specify different notice periods. Generally, the notice periods for termination initiated by the employer are as follows:

• No notice required during the probation period (first year).
• 1-2 years of service: 1 month
• 3-5 years of service: 2 months
• 6-10 years of service: 3 months
• More than 10 years of service: 4 months

In Greece, severance pay for private-sector employees with an indefinite-term employment contract, terminated without notice, is calculated based on the employee’s length of service with the same employer. If the employer fails to provide the necessary notice of termination, they are obligated to compensate the employee as follows:

• 1 year to 4 years of service: 2 months salary
• 4 years to 6 years of service: 3 months salary
• 6 years to 8 years of service: 4 months salary
• 8 years to 10 years of service: 5 months salary
• 10 years of service: 6 months salary
• 11 years of service: 7 months salary
• 12 years of service: 8 months salary
• 13 years of service: 9 months salary
• 14 years of service: 10 months salary
• 15 years of service: 11 months salary
• 16 years of service and above: 12 months salary

It’s important to note that no severance pay is owed if the employee resigns voluntarily.

Non-EU employees intending to work in Greece must obtain a Type D visa prior to their arrival, which permits a stay exceeding 90 days for employment purposes. Upon arrival, they are required to apply for a residence/work permit within 30 days at a local municipal office or police station. Typically, these work permits are valid for one year, and any necessary renewals should be initiated at least 60 days before the permit’s expiration.

For business visitors, the Schengen C Visa is usually utilized, unless the individual is exempt from needing a visa. The Schengen regulations restrict stays to 90 days within a 180-day period, with the exact duration of business visits being determined by Greek authorities on a case-by-case basis.

Key work authorization categories include:

1. Installation of Equipment Visa: Designed for short-term assignments involving the installation, testing, and maintenance of equipment by technical staff under a service agreement.

2. Work and Residence Permit for Senior Employees: Intended for long-term employment and residency under a local employment contract.

3. EU Blue Card: Suitable for highly skilled workers recruited locally.

4. EU Intra-Company Transferee (ICT) Permit: This permit facilitates the transfer of managers, specialists, or trainees from outside the European Union to a Greek branch of the same company.