Hiring guide in Greece

What should I know about hiring in Greece?

Several considerations must be made when hiring in Greece. First, the nation adheres to a stringent set of regulations concerning the selection of new employees. 

This means that you should take your time learning the guidelines before beginning your search for the ideal applicant. In addition, before posting an ad for a remote position, it’s wise to ensure that the salary and benefits package you’re offering is competitive.

An employment agreement must be in writing to be legally binding. However, terms of employment must be communicated to workers in writing. Under the Labour Code, employees have a right to know about their compensation, schedule, and other benefits.

Why is Greece a good choice for finding remote employees?

Greece is an excellent location for sourcing remote workers for several reasons. First, Greece is a great place to recruit remote workers, partly because of the country’s relatively low cost of living. 

This makes it a desirable choice for businesses trying to cut costs elsewhere. In addition, the Greek government provides financial incentives to companies that invest and expand in Greece, increasing employment opportunities for Greek citizens.

Greece also has a well-developed network infrastructure, which facilitates communication with distant workers. Finally, hiring Greek remote workers offers significant value because of their high level of technical education and English ability.

How can Native Teams help you hire in Greece?

In order to begin hiring Greek remote workers, you will need either a Greek legal organisation or the services of a global recruitment solutions provider. Through our Employer of Record services, Native Teams can assist you in hiring and onboarding your new team members, as well as managing their payroll, taxes, benefits, and overall compliance with Greek law.

Hire your first Greek employee with Native Teams.

Legal requirements for hiring in Greece

To ensure a fully compliant hiring process in Greece, employers need to comply with several legal requirements. 

Legal framework

Employment law in Greece is governed by national legislation, European Union directives, and collective agreements between employers’ associations and trade unions.

The main legal framework includes:

• The Greek Labour Code (Law 2112/1920): Establishes general principles and regulations governing employment relationships.
• The Greek Civil Code (Law 4270/2014): Contains provisions relating to employment contracts, the obligations of employers and employees, and liability.
• Other laws and decrees: Regulate specific areas of employment, including minimum wage, working hours, health and safety, and collective bargaining.

Together, these laws regulate key aspects of employment such as employment contracts, working conditions, wages, termination, and collective bargaining.

Types of employment contracts

Employment contracts in Greece may be concluded for either an indefinite or fixed term.

Indefinite employment contracts
These are the most common type of employment contract. If the contract does not specify a duration, it is considered indefinite.

Fixed-term employment contracts
Fixed-term contracts have a predetermined end date and require an objective reason, such as:

• Replacing an absent employee.
• Covering temporary work needs.
• Performing work of a limited duration.
• Work connected to a specific event.

A fixed-term contract may last for up to three years. A maximum of three consecutive fixed-term contracts may be concluded with the same employee, with their total duration not exceeding three years.

Content of an employment contract

Under Presidential Decree 156/1994, employers must provide employees with information about the material terms of their employment contract or relationship.

The employment contract should include:

• Parties: The identity of the employer and employee.
• Place of work: The location where the work will be performed, as well as the company’s registered office or the employer’s home address.
• Role: The employee’s position or specialisation, grade or employment category, and the nature of the work.
• Start date and duration: The commencement date and, for fixed-term contracts, the duration of employment.
• Paid leave: The employee’s paid leave entitlement and how and when it is granted.
• Termination: Applicable compensation and the notice required from the employer and employee when terminating the contract.
• Remuneration: All forms of remuneration the employee is entitled to and how frequently they are paid.
• Working hours: The employee’s regular daily and weekly working hours.
• Collective agreement: Any applicable collective agreement establishing minimum remuneration and employment conditions.

Information relating to paid leave, termination, remuneration, and working hours may instead be provided by referring to the applicable provisions of labour law.

 Download a free employment contract for Greece through Native Teams.

Oral, written or electronic employment contracts

Employment contracts in Greece do not always need to be concluded in writing. However, written contracts are required for part-time and temporary employment, as well as renewals of fixed-term contracts.

Under Law No. 5053/2023, which aligns with EU Directive 2019/1152, employers are required to provide employees with written notification of the essential terms and conditions of their employment. This information may be provided in either physical or electronic form.

While oral employment agreements may be permitted in certain circumstances, written agreements are generally recommended as they provide greater clarity regarding the rights and obligations of both parties.

Probationary period

Under Law 3899/2010, indefinite-term employment contracts in Greece include a 12-month probationary period, unless otherwise agreed between the employer and employee. During this period, the employer may terminate the employment relationship without prior notice or compensation.

Working hours

Working hours in Greece differ depending on whether an employee works full-time or part-time.

Full-time employment
Full-time working hours must not exceed 40 hours per week. Where working hours are not specified by law, a collective agreement, an agreement between the works council and employer, or the employment contract, full-time employment is presumed to be 40 hours per week.

Part-time employment
Part-time employment refers to working hours that are shorter than full-time working hours. A part-time agreement must be documented in writing and reported to the relevant Labour Inspectorate within eight days of its conclusion. Otherwise, the employee is presumed to be employed full-time.

An employee cannot work for multiple employers for more than 40 hours per week, except in cases of additional work.

When entering into a part-time employment contract, employees must inform their employer about any other part-time employment contracts they have with other employers.

Night work

Night work in Greece generally refers to work performed between 10:00 PM and 6:00 AM the following day.

Employers scheduling employees for night work must comply with specific requirements aimed at protecting employee health and safety. These may include:

• Providing appropriate breaks.
• Ensuring adequate lighting and ventilation in the workplace.
• Offering transportation options for employees working during late hours.

Breaks and types of leaves

Employees in Greece are entitled to rest periods and various types of leave, including annual, paid, unpaid, and sick leave.

• Rest breaks: Employees working more than four hours per day are entitled to a break of 15 to 30 minutes. The break is not considered working time and is unpaid. It cannot be taken immediately before or after the end of the shift.
• Daily rest: Employees are entitled to at least 11 hours of rest within each 24-hour period.
• Weekly rest: Employees must receive at least 24 hours of rest each week, normally on Sunday.
• Annual leave: Employees are entitled to annual leave each calendar year. The entitlement is at least 20 working days for employees working five days per week and 24 working days for those working six days per week.
• Paid leave: Employees may be entitled to special paid leave in certain circumstances, such as bereavement or important personal events.
• Unpaid leave: Unpaid leave may be granted by agreement between the employer and employee. Requests should generally be made in advance and may be subject to the employer’s approval based on the operational needs of the business.
• Sick leave: Employees who are unable to work due to illness or injury may be entitled to paid sick leave, subject to the conditions established by law.

Annual leave

Employees in Greece working under either fixed-term or indefinite-term employment contracts are entitled to paid annual leave. It is granted on a pro-rata basis, according to the length of time the employee has worked for the employer:

• 20 working days of annual leave for employees working a five-day week.
• 24 working days of annual leave for employees working a six-day week.

These entitlements correspond to 12 months of continuous employment.

Salary

Minimum wages in Greece are regulated by legislation and are determined and periodically adjusted through ministerial decrees.

The minimum monthly wage applies to employees aged 25 and above without specific expertise. Historically, adjustments were made every three years, generally with 10% increases for up to three cycles. Later legislation linked these increases to unemployment rates falling below a specified threshold.

Greece’s Supreme Administrative Court has affirmed that employees hired before 2012 are entitled to these three-year increments regardless of prevailing economic conditions.

Where a Collective Labour Agreement (CLA) establishes a higher minimum wage for a particular sector, the higher rate applies.

Employers and employees cannot agree on a salary below the legally mandated minimum wage or the applicable CLA rate, but they may agree on higher remuneration.

To calculate the salary and taxes in Greece, click here.

Sick leave

Employees in Greece who are unable to work due to illness are entitled to sick leave, provided the absence is supported by a medical certificate. The maximum duration of sick leave depends on the employee’s length of service:

• Up to 4 years of service: Up to 1 month.
• More than 4 but less than 10 years: Up to 3 months.
• More than 10 but less than 15 years: Up to 4 months.
• 15 years or more: Up to 6 months.

Paternity and maternity leave

Employees in Greece are entitled to maternity and paternity leave following the birth or adoption of a child.

Maternity leave
Female employees are entitled to 17 weeks of maternity leave, divided into:

• 8 weeks before childbirth.
• 9 weeks after childbirth.

New mothers covered by the e-National Social Security Fund (e-EFKA) may also be entitled to up to nine months of maternity protection leave after maternity leave.

This entitlement also applies to mothers who have a child through surrogacy or adopt a child up to the age of eight.

Mothers may transfer up to seven months of special maternity protection leave to the father, provided he is employed under a fixed-term or indefinite-term contract, either full-time or part-time.

Paternity leave
Male employees are entitled to two weeks of paternity leave following the birth or adoption of a child.

Paternity leave may be taken within six months of the birth or adoption. During this period, employees may be entitled to paternity benefits or compensation, although the specific provisions may vary.

Parental leave

Greek law provides several types of leave and working arrangements to support parents and childcare.

Childcare leave
For 30 months following maternity or maternity protection leave, parents may alternatively or jointly use reduced working hours by:

• Starting work one hour later.
• Finishing work one hour earlier.
• Taking a one-hour break during the working day.

By mutual agreement, this entitlement may instead be arranged as:

• A two-hour daily reduction for the first 12 months, followed by a one-hour daily reduction for the next six months.
• Full days of leave equivalent to the total childcare hours available.
• Another arrangement agreed between the parties.

Special Maternity Protection Leave
Under Law 4997/2022, mothers insured with e-EFKA and employed under qualifying employment contracts are entitled to nine months of Special Maternity Protection Leave.

This leave may generally be taken immediately after maternity leave, where childcare leave has not been converted into equivalent leave, and before using childcare leave based on reduced working hours.

Parental leave for raising a child
Working parents who have completed one year of service are entitled to four months of parental leave until their child reaches eight years of age.

The leave is an individual, non-transferable right and is unpaid by the employer. For the first two months, the employee receives a statutory allowance from D.YP.A., while the remaining period is unpaid.

Parents may also take unpaid leave when their child is ill:

• Up to 6 working days per year for one child.
• Up to 8 working days for two children.
• Up to 14 working days for three or more children.

Methods of employment termination

Employment contracts in Greece may be terminated unilaterally by either party or by mutual agreement. The applicable requirements depend on how the employment relationship is terminated.

• Resignation: Employees may terminate their employment by providing advance notice to the employer. The employee’s notice period is typically half of the notice period required from the employer and cannot exceed three months, regardless of the employee’s length of service or other factors.
• Dismissal: Employers may terminate an employment contract by issuing a written termination decision.
• Mutual termination agreement: The employer and employee may also mutually agree to terminate the employment relationship.

Ordinary dismissal by the employer

The requirements for dismissal in Greece depend on whether the employee has an indefinite-term or fixed-term employment contract.

Termination of an indefinite-term contract
An indefinite-term employment contract may be terminated without prior notice under specific conditions. The employer must:

• Provide written notice of termination, signed by the company’s legal representative or an authorised individual and delivered directly to the employee on the day of dismissal.
• Provide the employee with the applicable severance payment.

Termination during the probationary period
During the first 12 months of an indefinite-term contract, which are considered the probationary period, the employer may terminate the employment relationship without prior notice or compensation.

Termination after the probationary period
After the probationary period, the employer must comply with the applicable notice period when terminating employment.

Upon termination, the employee is entitled to a redundancy payment based on their rate of pay and length of service. The amount varies depending on whether prior notice of termination was provided.

Notice period and challenging the dismissal

The notice requirements for terminating an indefinite-term employment contract depend on the duration of employment.

During the first 12 months of employment, considered the probationary period, the employment relationship may be terminated without prior notice.

After the probationary period, employers may choose to provide written notice of termination. Where notice is given, the employer is required to pay half of the statutory severance payment applicable to termination without notice.

Employees have the right to challenge the validity of their dismissal if they believe the employer has acted unfairly.

Rights and obligations of unemployed persons

Unemployment benefits in Greece are provided by the Public Employment Service (DYPA) to eligible individuals who are registered with an employment office, have unemployment insurance, and are willing and able to work.

Eligibility is subject to specific work history and contribution requirements:

• Work history: The individual must have worked for at least 125 days during the 14 months before termination, excluding the final two months. Alternatively, they must have worked for at least 200 days during the two years before termination, also excluding the final two months.
• Contributions for first-time applicants: The individual must have paid contributions equivalent to 80 insurance days for each year during the two years preceding the benefit application.

Severance pay

Severance pay is a mandatory form of compensation provided to employees following the termination of their employment contract. The amount depends on whether the employer terminates the employment with or without notice.

Where termination occurs with notice, the employer must comply with the legally required notice period and pay severance equivalent to half of the amount required for termination without notice.

Prohibition of competition

Non-compete clauses in Greece may be enforceable where they are reasonable in scope, protect a legitimate business interest, and provide appropriate consideration to the employee. A legitimate business interest may include protecting the employer’s proprietary information, trade secrets, or client relationships.

The scope of a non-compete clause should be reasonable in relation to the nature of the employer’s business, the employee’s role, and the geographic area covered by the restriction. Restrictions that excessively limit an employee’s future employment opportunities or extend beyond the employer’s legitimate interests may be considered unenforceable.

Employees must also receive consideration in exchange for accepting the restriction, which may take the form of additional compensation or other benefits.

Remote working policy

Remote work in Greece allows employees to perform their duties outside the employer’s traditional workplace, typically from home or another agreed location.

Remote working arrangements are generally based on mutual agreement between the employer and employee. The applicable terms and conditions may be documented through:

• The primary employment contract.
• An addendum to the employment contract.
• A separate remote work policy issued by the employer.

In certain exceptional circumstances, specific employees may be entitled to request a remote working arrangement, including:

• Employees with serious health conditions.
• Parents of young children, typically under the age of 12.
• Employees caring for dependent family members.

Remote work is governed by the Labour Code, collective bargaining agreements, and specific provisions issued by the Ministry of Labour and Social Affairs.

Responsibilities within a remote work arrangement

Employers in Greece are responsible for covering expenses associated with remote work, including equipment, internet connectivity, and communication costs.

Within eight days of the start of remote work, the employer must provide the employee with written terms covering:

• The right to disconnect.
• Additional remote work expenses.
• Required equipment and its conditions of use.
• Employee availability requirements.
• Health and safety provisions.
• Confidentiality obligations.

Remote employees have the same rights and obligations as employees working on-site.

Employers may monitor employee performance, but any monitoring must respect the employee’s privacy rights. The use of web cameras for monitoring employees is prohibited.

Intellectual property rights

Intellectual property rights in Greece cover several types of protected works and assets, including copyrights, patents, trademarks, and designs.

The main types of intellectual property rights include:

• Copyrights: Protect literary, artistic, and scientific works, including books, music, films, software, and databases.
• Patents: Protect inventions that are new, involve an inventive step, and are capable of industrial application.
• Trademarks: Protect signs, symbols, logos, or words that distinguish one entity’s goods or services from those of others.
• Designs: Protect the aesthetic elements of a product, including shapes, patterns, and colours.

Initial ownership of IP rights

Under Greek law, the initial owner of an intellectual property right is generally the creator of the work. Specifically:

• The author initially owns the economic and moral rights to copyrighted works.
• The inventor initially owns patent rights.
• Trademarks are typically owned by the entity that registers them.
• The creator initially owns design rights.

Specific provisions may apply where intellectual property is created in the context of employment.

Employee data privacy

Employee data protection in Greece is primarily governed by the General Data Protection Regulation (GDPR) and Greek Law 4624/2019. Key concepts include:

• Personal data: Information relating to an identified or identifiable individual, including names, addresses, social security numbers, and employment records.
• Data controller: The entity, such as the employer, that determines the purposes and means of processing personal data.
• Data processor: An entity that processes personal data on behalf of the data controller.
• Consent: Employees must provide explicit consent for their data to be processed, except where legal obligations require the processing.
• Data subject rights: Employees have the right to access, rectify, erase, and restrict the processing of their personal data.

Employee background checks

Background checks must comply with the GDPR and applicable Greek laws. Employers must:

• Obtain explicit consent from prospective employees.
• Limit background checks to information necessary for the role.
• Inform candidates about what data is being collected and how it will be used.

What are the advantages of hiring employees from Greece vs other countries?

Hiring employees from Greece can offer several distinct advantages. Greece’s strategic location within Europe can provide logistical advantages for companies operating in the region, potentially reducing transportation costs and improving supply chain efficiency.

In addition, Greece has a rich cultural and historical heritage that fosters creativity and innovation. Greek employees may bring fresh perspectives and innovative ideas to the table, improving problem-solving. 

The country is also known for its tradition of entrepreneurship, with many individuals possessing an entrepreneurial mindset and willingness to take initiative. This can contribute to a proactive and forward-thinking workplace culture.

Why use Native Teams for hiring in Greece?

Native Teams helps you employ and pay your team in Greece directly through owned entities and infrastructure. 

• No paperwork: We will handle all the necessary paperwork for you.
• Save on taxes: We help you handle your taxes.
• No company setup: You can expand your business using our company entities.
• Online onboarding: We’re here to ensure your onboarding process is trouble-free.
• No accounting: We will handle all of your accounting needs, including invoicing, payroll, and more.
• Local expertise: We can help you navigate local regulatory environments and ensure you meet all relevant requirements.
• Dedicated support: We make sure your employees feel supported and cared for through the entire process.