The labor market in Greece has undergone significant changes over the past decade, largely as a result of the country's financial crisis and subsequent bailout program. Despite facing challenges such as high levels of long-term unemployment, Greece's economy has shown signs of recovery in recent years, with sectors such as tourism, real estate, and investments helping to drive growth. In this article, we'll explore the current state of the labor market in Greece and provide practical information for those seeking work or looking to start a business in the country.
What is the current state of the Greek Economy?
Greece's economy has shown signs of recovery since the financial crisis that ended seven years ago, despite facing turbulence. Sectors such as tourism, real estate, and investments have helped the country recover, with assistance from the EU and the Greek government. In 2022, the economy saw progress, but the second half of the year was affected by inflation, although the RRF and government support helped alleviate its impact. Greece's economy is estimated to have a real GDP growth of 5.5% in 2022, and it is expected that the gradual decline in inflation will boost real income and private consumption for households. Inflation has been a challenge for Greek households, particularly in terms of high food prices due to high energy costs. The hope is that inflation will decrease to 4.5% in 2023. However, Greece's economy still relies heavily on tourism, and other factors such as FDI, exports, and reorienting the economy away from consumption would help increase economic growth.
Greece's long-term unemployment rate of 62.9% is the third worst by the OECD (Organisation for Economic Co-operation and Development), only surpassed by South Africa and North Macedonia. The basics of Greek labor law include that contracts do not have to be written except for contracts from specific employers. The employer must provide written terms of employment after two months of starting employment, which include information such as the job description, salary, and working hours. Employers and employees must register with the social security fund and tax revenue authorities. Non-EU nationals must have a work permit to be employed in Greece, and full-time employment is 40 hours per week. Greek labor law distinguishes between extra work and overtime, with extra work being up to 5 hours per week for businesses that operate five days per week and up to 8 hours per week for businesses that operate six days per week.
What are the most promising fields for Expats?
Expats with a specific skillset can explore promising job opportunities in Greece. For instance, English-speaking individuals can find employment in tour guiding in large cities like Athens, coastal areas, or islands with a high tourist influx. Summer tourism and short-term rental roles are often advertised months in advance on job platforms like LinkedIn and indeed.com. These platforms also list numerous customer service positions, where companies may offer relocation assistance, accommodation, and help with documentation.
Being proficient in Greek could open doors to more job opportunities in tourism, administration, translation, consular work and other fields. Greek language skills are highly valued, as it is common practice in Greece to speak at least two languages.
Expats also have the option of setting up their own businesses, provided they have the relevant documents, such as a residence permit and a Greek tax number (AFM). This allows them to offer services like business consultation, copy/content writing and other freelancing services.
To explore job opportunities, expats can search on the Greek government's website and the European Union's Job mobility portal. The latter is a search engine that collates jobs from all EU member states, with Greece being one of the options. Filter words can be used to refine search results.
Greek labour law
In Greece, labour contracts don't need to be in writing, except for those from specific employers like the Greek state, hotels, and tourist organizations, which include part-time and fixed-term contract renewals.
Once an employee has worked for two months, their employer must provide them with a written document containing vital information about their employment, such as the following:
- place of work,
- job description,
- duration of the contract,
- starting date,
- salary,
- benefits,
- working hours.
The contract should also include the employer and employee's names, social security AMKA number, tax number (AFM), and place of residence.
Before starting the job, the employer must register their employee's details on the Ministry of Labour's online platform (ERGANI) and complete registration with the social security fund (e-EFKA) and tax revenue authorities. Non-EU nationals need a work residence permit to be employed in Greece.
Full-time employment in Greece is 40 hours per week, and the law distinguishes between extra work and overtime. Extra work is up to 5 hours per week for businesses that operate five days a week and up to 8 hours per week for those open six days.
The compensation for extra work is a 20% increase in the hourly wage, while overtime is work that exceeds the extra work limits (above 45 hours per week for five-day businesses or above 48 hours for six-day businesses). The compensation for overtime is a 40% increase in the hourly salary.
National holidays in Greece include:
- New Year's Day (January 1st),
- Epiphany (January 6th),
- Greek Independence Day (March 25th),
- Easter Monday (date varies),
- Labour Day (May 1st),
- Veneration of the Virgin Mary (August 15th),
- Oxi Day (October 28th),
- Christmas Day (December 25th),
- and Boxing Day (December 26th).
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